If you offer multiple payment methods, do you want to be saddled with the hassle of various contracts, different reports, multiple simultaneous (net) disbursements to your bank and complex offsetting of orders versus disbursements? No, of course not. There must be another way! It is possible with Ingenico Collect; with just one technical link, one contract, one report including costs per payment method and one payment to your bank. Now that’s easy!
Requesting payment methods
Entering into contracts, with Visa, iDeal, MasterCard or the Belgian Bancontact, for example, involves quite a bit. You need to send your passport, your Chamber of Commerce details, things need to be arranged around an Ultimate Beneficial Ownership and annual reports need to be provided. Because of the many actions required, the financial and administrative impact is therefore considerable.
The catch
With this type of direct contract with payment methods, payment is also made directly, and separately, to you for each payment method. In principle, this is not a problem: with iDEAL, for example, you then get a line per transaction on your statement including your order number (if smaller than 12 characters). You download them as MT940 or CAMT files and can then effortlessly insert them into your accounting system.
So far, no details. However, what is not mentioned is that every quarter, the bank charges additional costs per line. These costs can easily amount to between 5 and 14 cents per line. So that is a hefty extra charge, while you hardly notice it.
A completely different problem is if you get paid per payment method, in batches. Costs of the payment method (of iDEAL or Visa/MasterCard) are then immediately deducted and you receive a net amount and your accountant has to puzzle over whether all paid orders worth € 50,000 were actually paid in the € 49,750 payment… Now we’re describing an easy amount here, but you understand: if amounts don’t automatically match your turnover, you’ll have to check every single payment again. Not to mention merchants who also accept other currencies and have to check and match those amounts again. A waste of time and money.
Collecting checkout
It can be different! Because Ingenico is one of the few hybrid Internet checkouts, and you notice it. How? When you contract with Ingenico, one contract is often enough for several payment methods where the cash flows also run through Ingenico so that Ingenico can make a 100% reliable report on orders, payment methods, costs per payment method and explanations for the difference between gross and net amounts paid out, everything! This is the so-called collecting model.
Hybrid model: retain own contracts
Now, we can imagine that you simply have a good relationship with a number of banks and therefore want to keep the payout without financial intervention from Ingenico. That too is possible with Ingenico, because in the so-called hybrid model you can combine both collecting and distributing! This can also be useful, for example, if you want to tune parameters for the fraud risk filter of credit card payments yourself. If you are a kitchen retailer, the low payment frequencies of usually high amounts will soon be able to set off alarm bells with a collecting Internet checkout. If you conclude your own contract, you can have your payment dynamics tailored to your standards.
Think of it as follows for convenience: if we think of the Internet checkout as a socket, if it is only used technically, you still have to plug in all the plugs of the payment methods of your choice yourself. Ingenico’s collecting Internet checkout offers you the total package: all the plugs are already there and can be plugged in and out as required.
We can take all the worry out of your hands. For more information, get in touch.
