Technology is moving fast and systems are fast becoming redundant due to the ever-evolving applications for businesses worldwide. There are a number of options available for choosing the best system for the business, however, finding one which not only offers attractive pricing per transaction and annual fees, but also one which can combine all aspects of international payment processing to ensure that the merchant is getting a good deal, for frequent processing.
The unfortunate truth is that global payment processing is a complicated system, and often payment fails due to a variety of factors that contribute towards it. International payment disputes are, therefore, very difficult to resolve, although not impossible, time-consuming. It is crucial to choose payment providers that offer comprehensive solutions to international payment disputes in a short time and in an efficient manner.
What are the main reasons for payment failures for global processing? Complicated systems for payment processing on a global scale, means that there are many transactions that fail. This can happen due to a number of reasons and some of them are briefly discussed below.
Incorrect account and routing number One of the main causes for payment disputes happened due to wrong account numbers and routing numbers are incorrectly entered. While for local payments, the problem can be solved within a few days’ time for international payment, this process can easily take up to two weeks or more, depending on the countries transacting.
Page not in local language Another contributing factor for failed payments is that the checkout page language is not in the local o language or English, and is not easy to understand. It is most likely, that international customers will not follow through with the payment unless they have some comprehension of the matter; this is one of the main reasons why so many international payments fail due to the inability to understand the language well enough to feel safe proceeding with the payment.
To handle this problem, merchants will need to invest in a cross-border payment system that will automatically detect the customers’ URL to translate to the local language. This eliminates the biggest obstacle in the path for global payment processing, with better transparency for the customer.
Local currency missing It is often that merchants opting for international payment processing do not use the local currencies. This is not a good tactic as most international customers will consider the fluctuating exchange rates and the price of the product or the service. This is too much work unless the website is providing converted prices, to make it simpler for the customers.
With a good application, the system should be able to detect the URL of the customers’ locations and automatically change the currency with the right conversion rates.
Unprocessed credit card transaction for a local acquirer It is necessary for the merchant to have multiple acquirers, at least for international payment, in the various countries of operations. This is because many merchants start accepting international payments without checking if their acquiring bank will accept international credit card payments; while many banks do, there are an equal number which does not. With multiple acquiring banks, the transactions can be processed in the country it is originating in, cutting back the hassle for the local banks which do not process the same.
Unclear shipping and tax amounts are another reason, why many shoppers abandon their carts and do not proceed with the payment; it does not give a proper idea of the cost, until the time of payment, when customers are forced to abandon the cart. There are be many factors that lead to failures of global payment processing, and merchants need to thoroughly research into the system that they are investing in for their business.