The number one problem for online sellers and website owners accepting and processing micro payments is the very high fees charged by payment processors and credit card companies 소액결제 현금화 , which can typically eat into a significant portion of the payment revenue stream.

Before we examine the various options and solutions in dealing with this pervasive problem, we should first define what constitutes a micro payment.

A micro payment is a payment for an item or service that is of low value. For example, website payments for ring tones, pay-per-views, downloads, e-books, and subscriptions in the $1 – $3 range would be considered as micro payments. A 25 cent payment for a download or a 5 cent payment for a SMS are very good examples of lesser value micro payments.

There are two basic methods that an online seller might employ to accept a micro payment. The first method is to use a credit card, but the merchant fees would be quite high to accept a large number of payments for $1 and $2 micro payments, and this is not usually a cost efficient option.

Some online business owners whose websites sell micro payment valued good and services will ask customers for their credit card details, and will process fees and invoices to their customers’ cards when account balances reach specified payment threshold amounts.

Another variation of this method is to charge the customer’s credit card a minimum charge amount of (say $10), and a credit in this amount is then posted to the user’s account, which depletes as nominal value goods and services are purchased from the vendor.

The problem with this method is that customers don’t like providing their credit card details to strangers, and they don’t like the idea of making a down payment purchase commitment for goods or services which the customer might ultimately decide not to purchase.

The other option is to process payment for each micro transaction as it occurs using an online payment system, and there are a few viable options with several companies competing in this space, some of which are much more cost efficient than others, as i shall explain.

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