Let's talk Cascading Billing

[Hell Puppy]

So is cascading billing still a good idea in the age of 1%?

I'd say it's a no brainer to cascade a declined credit card buyer to ACH, 900, dialer or whatever other alternatives you have. But is it a good idea to take a card turned down by one iPSP and feed it to another?

Obviously, we're all greedy and if the guy wants to buy, we'd like to have his money. The question is whether the initial processor's scrub is TOO tight or did they detect something that would indicate fraud that the second processor missed?

[SykkBoy]

Well, each one scrubs differently, so why not give someone an alternative?

Cascading is definitely viable and highly suggested.

We've found the scrubs SEEMS to be different at different times of the month for the IPSPs, so we swap them around from time to time to optimise sales.

[Lee]

Originally posted by SykkBoy@Feb 3 2005, 11:23 PM
We've found the scrubs SEEMS to be different at different times of the month for the IPSPs, so we swap them around from time to time to optimise sales.
That is interesting..

When you say you swap them around, presumably you mean so the one with a lower scrub becomes primary processor?

If so, would it not make sense to have the one with the higher scrub become the primary? Im just thinking out aloud here but it would seem to me, if the transaction goes through during a 'high scrub' period, you have less chance of that being a fraudulent transaction no?

[SykkBoy]

Originally posted by Lee+Feb 4 2005, 02:28 AM--></div><table border='0' align='center' width='95%' cellpadding='3' cellspacing='1'><tr><td>QUOTE (Lee @ Feb 4 2005, 02:28 AM)</td></tr><tr><td id='QUOTE'> <!--QuoteBegin-SykkBoy@Feb 3 2005, 11:23 PM
We've found the scrubs SEEMS to be different at different times of the month for the IPSPs, so we swap them around from time to time to optimise sales.
That is interesting..

When you say you swap them around, presumably you mean so the one with a lower scrub becomes primary processor?

If so, would it not make sense to have the one with the higher scrub become the primary? Im just thinking out aloud here but it would seem to me, if the transaction goes through during a 'high scrub' period, you have less chance of that being a fraudulent transaction no? [/b][/quote]
yes, we swap which one is primary based upon when we presume the scurb is tighter on one processor...

we have other methods of fraud control in place based on login sessions and other things which we keep secret so as to keep cheaters at bay...both consumer based and webmaster based

[*KK*]

Cascading billing is pretty much a must if you ask me. First thing to do is take anyone who is non US and push them to the "local" currency with someone like 2000Charge -- Eurodebit, dialers and that sort of thing. Take the Asian traffic and push it to JCB, Samsung, Hyundai credit solutions. Then take as much of your US traffic and push it to a decent check solution as you can. Yes, I know checks come back NSF but check joins also rebill longer and they aren't subject to chargeback rules. You make more money off check joins in the long run, and if you don't offer it, you're only hurting your own bottom line.

If you're doing any considerable join numbers per day -- I'd say 100 plus, you'd be wise to have your own merchant account as well, and send your good traffic to your own accounts, so the customer data is all truly yours. If you go to a non US region, you get 2% allowable chargebacks and you control your own scrub. Yeah, you can mess up a merchant account but you can also get hit by a bus, pay attention to where you step and you lessen your chances of either occuring.

Last but not least, send your not so good traffic to an IPSP, I don't think it really matters which one is primary and which one is secondary. Shit that doesn't pass scrub doesn't pass for a reason and pushing them over to a backup processor only means you are running the risk of breakout listing yourself on the backup, which also affects you on the primary account if they are both US IPSP accounts.

Those are my suggestions, your mileage may vary.

[nickdark]

Originally posted by *KK*@Feb 4 2005, 10:20 AM
Cascading billing is pretty much a must if you ask me. First thing to do is take anyone who is non US and push them to the "local" currency with someone like 2000Charge -- Eurodebit, dialers and that sort of thing. Take the Asian traffic and push it to JCB, Samsung, Hyundai credit solutions. Then take as much of your US traffic and push it to a decent check solution as you can. Yes, I know checks come back NSF but check joins also rebill longer and they aren't subject to chargeback rules. You make more money off check joins in the long run, and if you don't offer it, you're only hurting your own bottom line.

If you're doing any considerable join numbers per day -- I'd say 100 plus, you'd be wise to have your own merchant account as well, and send your good traffic to your own accounts, so the customer data is all truly yours. If you go to a non US region, you get 2% allowable chargebacks and you control your own scrub. Yeah, you can mess up a merchant account but you can also get hit by a bus, pay attention to where you step and you lessen your chances of either occuring.

Last but not least, send your not so good traffic to an IPSP, I don't think it really matters which one is primary and which one is secondary. Shit that doesn't pass scrub doesn't pass for a reason and pushing them over to a backup processor only means you are running the risk of breakout listing yourself on the backup, which also affects you on the primary account if they are both US IPSP accounts.

Those are my suggestions, your mileage may vary.
:pearl: imho!