[futurebasic] Re: Re: [FB] [XFB] Accept Credit Card pmts by email--free

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From: BMichael@...
Date: Sat, 11 Mar 2000 12:18:47 EST
Peter said:
>This sounds _extremely_ suspicious to me.

Did to me too - I refused to let him post it at first, until I checked it 
out.

Bank One, the 4th largest US bank, has started "eMoneyMail" - to compete 
with PayPal and X.com, the two existing such services. (X.com is buying 
PayPal right now.) I'd never heard of PayPal or X.com, but apparently 
they have a working model, and are making enough money to interest the 
"big banks" in joining the competition.

The "Internet Fraud" group hasn't listed PayPal or X.com as having any 
complaints against them.

The "$10 for joining, $10 for referring" bothered me, since I couldn't 
see how they could pay the credit card fees on the transactions, _not_ 
charge the users a fee, and make any money. I'm still not clear on it 
other than interest on the "float" - and eMoneyMail will be charging the 
sender $1/transaction. (No word on paying new members.) However, given 
the choice of paying $1 vs. getting $10, and as long as it's all done on 
a "clean" credit card (I keep one _only_ for online transactions; if that 
number gets out, I just cancel that one card) I'm going to give PayPal a 
try for accepting futurebasic.org payments. And put the link up on the 
site so new members can join PayPal to pay, get $10 of the $20 membership 
back, and meanwhile I get an extra $10 from PayPal. (I'm sure the $10 bit 
won't last long. It's advertising, not part of their business plan.)

Yes, it's a risk, but as Jay pointed out, if he gets burned, he's in a 
lot of company. PayPal & X.com together have already handled a ton of 
such transactions. And I don't see the risk as being any greater - and 
maybe even less - than giving your credit card number to every vendor you 
buy from. This way _only_ PayPal has the number. (Assuming the vendors 
accept PayPal of course; that's still a minority so far.) I'm already 
disputing one set of charges that appeared on my card. In this case it's 
probably just a vendor error, but still, the fewer people I give the 
number to, the better I'll feel. Two companies have already had their 
entire customer list "cracked" and the numbers stolen.

Bill