that might be the case in the US/UK but not here and in many other parts of the world. Here credit card companies dont put all your funds on hold because you've just joined nor do they charge 5% or more in fees on EVERY transaction as that'd annoy too many customers... My problem is paypal are operating a flawed business model and so dont want to hear any feedback or fix things. @sumiko wrote: If you go to your bank and apply for a merchant account to accept credit card,you will find fee higher and requirements more stringent. I did so years ago,I have to have a commercial checking account and keep $1500 in the account,get a certficiate of DBA doing business as,print commercial checks,chargeback fee is higher like 35 instead of 10 then with Paypal,the discount rate is lower,not too low as my volume is not that high. then comes the VISA.MC requirements,if you dont give them enough business,there si a minimum fee of $15 per month,there are tiered rates,some cards which give great benefits to the cardholder,it cost me more,then there is membership annual fee. it will deposit the sales proceeds in your bank account while paypal you have to do this yourself,but THEY CAN ALSO WITHDRAW FUND FROM YOUR Account when you lose a chargeback. Shop around,Costco offers such service ,it is cheaper than your bank,or back pages of a magazine,they advertise . your problem is not new seller ,but you sell digital goods which cannot be tracked and it is easy for buyers to claim non delivery. as long as you accept credit card,you will have the same problem. Buyers prefer Paypal because they dont want to give a merchant their cc data,and they dont want to key all that data on the screen,and they dont want to go out and mail you a check or buy a money order. You can remove Paypal button from your site and see if it make any difference in your sales.
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