What is Billpoint?

Articles in this Topic Discussions in this Topic

Aug 14, 2001

Billpoint* was founded in 1998 and then was acquired by eBay* in 1999 with partial ownership by Wells Fargo. In March 2000, an alliance with Visa* was set up in order to support the credit card payment function. Billpoint is offered in over 40 countries,

Billpoint was founded in 1998 and acquired by eBay in 1999 with 35% ownership by Wells Fargo bank. The basis of transactions is electronic payment by credit card or check payment (US only). Like Paypal*, it is all electronic transfer, whereas with Bidpay*, a money order is created.

This program is good for the seller because there are no setup fees or monthly minimum sales requirements. Only transaction fees apply. Merchant accounts are available for sellers who have a high volume business and a proven track record at eBay. Although eBay is now the owner of Billpoint, sellers can use this service to accept payment for merchandise sold at other sites.

Here is what the sellers pay.

Standard Account - Credit Card

Transaction Fee: 35 cents (purchases under $15) and 35cents + 2.5% (purchases over$15)
Auto Deposit Fee: 0.5%
Per Transaction Limit: $500

Standard Account - Electronic Check

Transaction Fee: 35 cents (purchases under $15) and 35cents + 1.5% (purchases over$15)
Auto Deposit Fee: 0.5%
Per Transaction Limit: $200

Merchant Account - Credit Card

Transaction Fee: 35 cents (purchases under $15) and 35cents + 1.75% (purchases over$15)
Auto Deposit Fee: 0.5%
Per Transaction Limit: $2000

Merchant Account - Electronic Check

Transaction Fee: 35 cents (purchases under $15) and 35cents + 1.5% (purchases over$15)
Auto Deposit Fee: 0.75%
Per Transaction Limit: $200

Here is what the buyers pay to Billpoint: $00.00

For the buyer, all purchases made with Visa*, MasterCard* or Discover are protected against fraud. So if your credit card gets stolen and a Billpoint purchase is made fraudulently, you pay nothing.

By having electronic funds transfer or electronic checks, the seller does not have to wait for a check or money order to arrive in the mail. The funds are transferred directly to the seller's bank. Not only is there a chance of the item getting lost in the mail, the seller still has to take the checks and money orders to the bank for processing. This is a lot safer, faster, and convenient.

All transactions are kept private by using Secure Socket Layers (SSL), the Internet encryption standard for secure commerce transactions. Sellers are not given the buyer's credit card details or bank information.

From a buyer's point of view, Billpoint is convenient and cheap. I use it when a vendor does not offer Paypal. Both services do not charge me a fee so it's a matter of tossing the coin when I buy goods from a seller who offers both payment methods.

Go To Page: 1 2

The copyright of the article What is Billpoint? in Internet Communication is owned by Maureen Fleury. Permission to republish What is Billpoint? in print or online must be granted by the author in writing.