Whatever magic wand PayPal used will hopefully clear up things. It does not change that we were told this was not a matter of paying more or doing something different and being in the right account club. We were told the club does not exist. I'd love to be wrong.
Can't use credit cards to buy loose tobacco online?
- Thread starter karlj
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I explained this up a bit - we are apparently in danger with any cards according to the advice we have caught because Mastercard flagged us as selling an unacceptable item. In hindsight, it would have been a good idea to remove MC before this happened and saved the headache for us and everyone who has waded through this thread. We cannot at this point go backwards and list everyone else through any standard or high risk systems. We can use PayPal through there pro system with some work.
We may someday take MC again - but yes, in the foreseeable future they will be turned off when we get the others functioning through PayPal.
The $500 doesn't feel good, but that is a cost of business. They have on file prof and opinions that we area legal shop and I can even understand calling that a PITA fee for high risk companies. Someone has to keep track of all the accounts and paperwork. I may not like it, but it's not really uncommon
Not a law.
This came up last week. Our email went out the next day and we've been updating as our info updates. Pipes are still safe with credit cards online.
Last one
Jessica or Christian
417-886-8380
Sorry to hear that, I heard of a couple other small shops yesterday getting calls. Please feel free to share our info with them if they would like to ask any questions or talk anything through. One person who had been through this before us called and helped us get through parts quicker because he had started with the same questions and potential solutions and could let us know what to skip trying.
Jessica or Christian
417-886-8380
Well, I am the type of person that can admit when I am wrong. In this case, I was wrong.
I apologize to Christian, Jessica and the entire staff of Just For Him. I am sorry I added extra grief to your already trying circumstances. I hope you can work through it all and come through with a stronger merchant account on the other end. I will place an order when I get the chance.
I apologize to Christian, Jessica and the entire staff of Just For Him. I am sorry I added extra grief to your already trying circumstances. I hope you can work through it all and come through with a stronger merchant account on the other end. I will place an order when I get the chance.
Thanks for the great explinations, JFH is a top notch store. It is unfortunate that the email sent looked so threatening (since it was only one company), but it was definatley a wake up call for all of us. I would just discontinue MC if it'll get sales going again, that'll stick it to them. If they are going to make sales of tobacco products impossible online, why let them profit from any sales inside your store. Are a lot of customers using MC? I have never seen one before, all I see are Visa and AMEX (which I know is not technically a credit card).
It's a rough line between wanting to stick it to a company and doing something we know would make it more difficult on some customers. I don't know how many customers have a second option of credit card, but many do use a mc in face to face sales. Because we did not turn off MC until after they flagged us, turning on some is not an option right now. I know, silly and backwards and ridiculous... We'd be happy to turn them off and leave the others on! We have spent a lot of time the past few days explaining our business and true pipe tobacco to reps of various places to explain how this came about and who we are and how that is different than the actual target. Who knows, maybe something will stick
This truly is a grievous mess. I'm tempted to burst into a coherent banter of the evils of corporate America and the Nanny State. But I won't.
I am a little confused about the in & outs of all of this so a few questions here...
1. MasterCard, and any credit provider that follow MasterCard policy, have decided to no longer support the sale of loose tobacco in a non face to face method? Pretty much meaning online?
2. The only way to side step this is to accept credit card payment through PayPal?
3. This one is an assumption... Why has this new policy not automatically effected all online retailers of loose tobacco? I'm guessing that MasterCard would have a database of retailers who sell tobacco online and automatically notify them of their new policy on non face to face sales of loose tobacco?
4. If this is MasterCard new policy(loose tobacco is a no sale in non face to face transactions) and all the major cc companies do the same. Then the only way any of the retailers can accept online payment, via credit card, is through paypal?
I am a little confused about the in & outs of all of this so a few questions here...
1. MasterCard, and any credit provider that follow MasterCard policy, have decided to no longer support the sale of loose tobacco in a non face to face method? Pretty much meaning online?
2. The only way to side step this is to accept credit card payment through PayPal?
3. This one is an assumption... Why has this new policy not automatically effected all online retailers of loose tobacco? I'm guessing that MasterCard would have a database of retailers who sell tobacco online and automatically notify them of their new policy on non face to face sales of loose tobacco?
4. If this is MasterCard new policy(loose tobacco is a no sale in non face to face transactions) and all the major cc companies do the same. Then the only way any of the retailers can accept online payment, via credit card, is through paypal?
Karl I don't think anybody knows for sure what is happening or what is going to happen, so I wouldn't expect too many concrete answers at this time.
It sounds like all of the credit card companies are trying to crack down on any loose tobacco sales, period. So they seem to be trying to implement a de facto ban on online tobacco sales because I assume that most people use credit cards.
I wouldn't count on Paypal for being a viable option if the credit card companies lean on them as well.
It sounds like all of the credit card companies are trying to crack down on any loose tobacco sales, period. So they seem to be trying to implement a de facto ban on online tobacco sales because I assume that most people use credit cards.
I wouldn't count on Paypal for being a viable option if the credit card companies lean on them as well.
Guess we're going to revert back to checks and money orders. If we're lucky maybe e checks. Of coarse you could use PayPal and have the funds automatically withdrawn from your bank account.
What about bank cards with a MasterCard logo? Funds come right out my bank account so is it still a no go because of the logo?
What about bank cards with a MasterCard logo? Funds come right out my bank account so is it still a no go because of the logo?
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Even though I've expended my tobacco budget for the year, I guess I will have to place an order with JFH by phone, mail or whatsoever just to thumb my nose at MC. Don't have a MC, so I can't cut it up and return it. Best I can do is give business to their competition and those whom they shun. Really irritates me when large corporations take this kind of approach with smaller vendors. Had similar experience with Bank of America, but got the pleasure of cutting up their VISA and mailing it back to them. Doesn't really affect them but makes me feel better.
Besides, I've been wanting to try STM and the other Middle Earth series smokes.
PS. Will never do business with Paypal again. Had security breach and don't trust them...
Besides, I've been wanting to try STM and the other Middle Earth series smokes.
PS. Will never do business with Paypal again. Had security breach and don't trust them...
Mastercard has, correct.[/quote] According to Mastercard this is a "verbal policy" meaning it is not fully documented.
This is a potential work around. As I understand as of this morning it would not remove the risk or fines though if a company was "caught" violating policy. We will not be using PayPal for Mastercard for this reason. Well, and the whole springing unwritten rules on us thing...
We were contacted after a Mastercard secret shopper who found us violating an unwritten policy - so this would be the reason. First, the retailers and processors don't have good info. Second, because it is not all tobacco, it is a subset, Mastercard can't just turn off all tobacco people with one note. Most tobacco retailers are not pipe tobacco retailers. A note might also make it written
According to Mastercard, this is correct once they are caught and Paypal may not be immune. I hope they are
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