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Hey guys, best of luck in your efforts. I have a question, while it makes sense to have payments in the range of 100s I see 2.5% adding up to uncomfortable amo
by eklavya 12y ago
Hey guys, best of luck in your efforts.
I have a question, while it makes sense to have payments in the range of 100s I see 2.5% adding up to uncomfortable amounts easily in the range of 1000s and beyond that it's a mini heart attack :P
Do you plan to have a max cap on your charges?
- harshilmathur 12y agoHi, unfortunately Visa, Mastercard and other card networks charge in percentage terms without a cap and there is nothing anyone can do about it. We do offer better pricing at volume. Also, think of it as a cost of doing business like service tax which is also always in percentage. Even huge players amazon, flipkart have to pay it in percentage terms only inspite of their enormous volumes.
- eklavya 12y agoOh, thanks. Didn't know that. I wonder if it's so just because these big companies control almost all the cash flow or there are costs which increase linearly with the paid amount.
- harshilmathur 12y agoYes, most credit cards and debit card transactions have to be routed through their network and they charge in percentage only. Their costs are hardly affected by the paid amount but that is the business model they and all the banks pursue to make it uniform for all big and small players.