RegNow retains transaction fee when charge back takes place

[Yuriy O]

Is this fair? RegNow charges a customer 19.99 for your game. Then they take out 3.20 for a transaction and leave you with 16.79. Let's say you sold two products and have 33.58 on your ballance. Here comes a charge back from a fraud customer. They just deduct 19.99 from you account! You end up with 13.59! They just take your money to cover transaction fee.

This is all according to their contract as they say. Is this a fair contract? When both parties are at risk. You and Regnow. Why do they think that you are responsible to pay them transaction fee back?

[Jack Norton]

There's a simple solution: www.plimus.com
They DON'T keep their commission when they refund. I call this fair play.

[SteveZ]

That is the reason I switch out of Regnow after using it for 3 months.

In addition to charging me 20% per transaction (I still abide by the old contract, new contract deducts ~16%), they don't cover chargeback (<1% of my sales), although it is not so big of an issue for me.

Just because of the huge amount they take off per transaction merits a change in service provider. I would also recommend you check out BMTmicro.

-Steve Z.

[Roulette]

There's a simple solution: www.plimus.com
They DON'T keep their commission when they refund. I call this fair play.

That's incorrect. Here's a quote from Plimus:

When a refund happens, the original commission is not returned to you, so there is a net cost for having a refund, if you sell for $10, we take $1 commission, if a refund occurs, we deduct $10 from your account.

So...it looks like they handle refunds identically. That said, I'd still recommend Plimus.

- Roulette

[tonyedgecombe]

The real problem I have with RegNow's policy is there is no longer an incentive for them to improve the fraud detection on their systems. They have nothing to loose from fraud, in fact they probably gain because they keep your fee.

SWReg only charge $1 for refund's, I think its a bit more for chargebacks but I haven't had any of those yet (touch wood.)

[Emmanuel]

Is this fair? ... They just take your money to cover transaction fee.

As others said on this thread, switch to Plimus (http://www.plimus.com/) BuyNow. I use it for my games and novels business that just started, FunPause (http://www.funpause.com/). Their fees are fair and the amount of customization you can bring to your secure payment pages is excellent!

[Jack Norton]

Hmm well probably I remembered it wrong... the fact is that I had so few refunds or chargeback with Plimus that's hard to remember... I think I have 20-25% of refunds than I have with other vendors I've tried.
I agree, BMT micro seems a good choice too.

[Tom Cain]

Here is the Plimus info directly from Plimus. I asked them this question one week ago and received this response:

The chargeback is free when the monthly rate is lower then 0.4% of the orders after then there is the $15 penalty. For a refund there is no extra fees but we do not give back the commission for the purchase.For the record, I don't use Plimus and cannot comment from experience.

[Rainer Deyke]

Even if they keep the transaction fee, RegNow loses more from a chargeback than you do. If they get too many chargebacks, they can lose their merchant account. And you can bet that the bank where they have their merchant account keeps their transaction fee when a chargeback occurs.

That said, RegNow is ridiculously overpriced.

[svero]

It makes sense to keep the fee. The work has been done. From a strict business point of view they could even charge a refund transaction fee and it would be pretty reasonable.

[mkovacic]

It makes sense to keep the fee. The work has been done. From a strict business point of view they could even charge a refund transaction fee and it would be pretty reasonable.
True, but it's a show of good will not to charge it. Our payment processor does not charge commision on refunds initiated by us, so refunds cost us nothing.

[arcadetown]

A merchant account is charged transaction fees for both credits and debits so it makes sense that a payment provider would pass some of that along. Most of the time we'll get a customer requesting a refund to do an exchange instead thus avoiding both the loss of sale plus the extra refund fee.

[Uhfgood]

Plimus seems interesting, better commision than regnow. I have some stuff in regnow that's not getting sold mainly because I don't have the old website up now, and i'm not planning to sell my old games. Off the top of their head can anyone tell me how to get out of regnow? Before I had tried just removing a program and I couldn't figure out how to do that either... I may go with plimus with my latest project, if I deem it playable :-)

Thanks
Keith

[mkovacic]

Plimus seems interesting, better commision than regnow. I have some stuff in regnow that's not getting sold mainly because I don't have the old website up now, and i'm not planning to sell my old games. Off the top of their head can anyone tell me how to get out of regnow?
Why get out of it at all? At least keep it for possible affiliates.

[svero]

True, but it's a show of good will not to charge it. Our payment processor does not charge commision on refunds initiated by us, so refunds cost us nothing.

Yeah well.. a site can offer those benefits as incentives to the customer and it does make a difference, but the act of charging for work done or extra work is not in itself something I see as a negative strike against the company. If their competition doesnt charge then they either have to compete or lose customers to plimus or whoever. It's just that there's not dishnoest or unethical about retaining the fee as the original post implies. (ie asking about fairness.) I think it's fair. I might opt to use a company that doesnt charge, but it's fair.

[SteveZ]

..Off the top of their head can anyone tell me how to get out of regnow?


From what I remember (~1.8 years ago), just email Regnow that you want to cancel your product(s). I think a rep will then ask if you want to cancel your account as well.

[Yuriy O]

It makes sense to keep the fee. The work has been done. From a strict business point of view they could even charge a refund transaction fee and it would be pretty reasonable.

Work has not been done well. A fraud has been passed along. So, the transaction fee must be at lease cut in half. It sounds like a fair deal.