Cashtronics recently announced that it believes too many merchants risk time, money and reputation with an internet payment service provider (IPSP) that is illegally aggregating merchants.
The online payment company advises that merchants should take time to find out as much as possible about the IPSP they operate with or plan on working with.
Chief executive officer of Cashtronics online payment system Carl Buchalet, said: "Over the last few years we have seen a sharp increase in the number of merchants coming to us requesting their own legitimate merchant account number after being cut off from Visa and MasterCard through no fault of their own."
According to Cashtronics, asking IPSPs the following questions could save companies from potentially serious problems:
ο Are they PSP PCI-DSS 1 certified?
ο Do you receive your own merchant account?
ο Do you sign a contract directly with the bank?
ο What will the descriptor say on the client’s credit card statement? (Will it be your company or the ISPS name- in which case they may be aggregating)
ο Who is wiring you the funds, the IPSP or the bank? (Whoever is handling your funds must be in good financial health)
