International Recurring Payments (How We Handle It for You) (How We Handle It for You)

If you are managing international recurring payments There are three major aspects to consider:

1. Staying current with local tax laws and transactions regulations
2. Making it really easy for customers to make their first purchase, and then join for regular installments
3. Making sure that every subsequent payment passes through

Although this might sound easy, there's a plethora of variables to take into consideration to achieve those three goals such as:

• Conversion rates for currencies
• Preferred payment types
• Payment processing
• Tax collection and remittance for each nation, state, or territory and so on.
• Payment failure handling
• Fraud prevention
• Management of subscriptions
• Translations of the site
• Chargebacks
• The process of dunning
• and much plus

A majority of the recurring payment service providers can only aid you in a few of these areas and leave the remainder for you to determine. For example, certain payment service providers can assist you in processing transactions in foreign currencies, but they will not help you pay your taxes in those countries.

In this post, we cover what it takes to be an Merchant of Record and how :

•   We collect and pay sales tax (including VAT, GST and GST, etc.) to you
•   Keeps up to date with local regulations and laws
•   Reducing churn by pre-emptive payment retries and notification
•   It makes it easy for customers to buy
•   Controls the recurring payments for you
•   Offers all the features at a single price

What Does it Mean to Have as Your Merchant of Record

A Merchant of Record (MoR) is the business entity which sells products or services to buyers. The MoR is responsible for every aspect of transactions, from the collection and processing of payment information, security, taxes as well as compliance issues and audits. Chargebacks, audits, etc. If there is a problem or has been done improperly, the MoR will help resolve the issue on your behalf.

Businesses can be their personal MoR and manage all of this internally or they can transfer the entire process to us, and we take on full liability for each transaction. As the MoR for your company, you are in charge of the service or product, customer experience and brand and we take care of everything else, such as taxes, legal compliance, credit card network approval rates, dunning rates and more.

Let us handle the collection and Payment of Sales Tax and VAT

It was once the case that SaaS as well as software were not free from tax regulations in many countries throughout the world (or in other words, not a big source of audits). However, tax laws regarding digital sales are changing and becoming more rigorously applied.

Every country, state, province, territory, etc. which you conduct business each has their own regulations about the amount and the type of taxes that need to be collected and when they must be paid. That's quite a bit to keep up with.

Note:.

Typically, global tax management requires using a payment processing platform as well as the tax compliance software to calculate and collect tax on sales and VAT for each transaction. Though some payment processors take care of tax collection however, you'll be accountable for paying the taxes. If you don't make the proper payment of taxes, you might end up owing thousands of dollars in interest, penalties and penalties. But figuring out how to be tax-paying in all jurisdictions is often very time-consuming and often requires a team of tax experts and accountants.

In the event that your MoR has been issued, we collect and remit consumption tax (including GST, VAT, SST, etc.) for every transaction and file all necessary tax returns for you.

Automatically calculates and applies the tax amount to be included in the cost at the time of checkout. Additionally, we support tax-free transactions and other special cases.

Effortlessly Stay in Compliance with Local Laws and Regulations

Just like taxes, each state, country and territory. is also governed by its own laws and regulations for how transactions that are recurring take place. For example there is a law that states it is the case that the Reserve Bank of India limits automatic recurring payments to the amount of Rs 15,000 INR. If a payment is over the limit, the consumer has to manually authorize the transaction by using an another factor of authentication (AFA) for example, an One-time Password (OTP). To comply with this RBI rule, you must file an electronic mandate that outlines the type of AFA that you'll use.

This is just one example of different regulations you have to consider when transacting globally.

Being up-to-date with the local regulations of each region can be a time-consuming process and cost a lot. If you do not have the correct procedures implemented, you will not be able collect payment. A few payment systems can aid you in keeping abreast of local regulations and laws by notifying you if they discover the new rules or laws. But, you are ultimately responsible for knowing the applicable laws and regulations.

However, for our customers, this is not an issue because, as the MoR for you, we assume full liability in ensuring that we adhere to the local laws and regulations for transactions. Our team of legal experts remain up-to-date with the relevant laws and regulations, making sure that all processes are in place to collecting payments.

We are fully in compliance with the EU General Data Protection Regulation (GDPR) and the California Consumer Privacy Act (CCPA). We also renew our Level One accreditation (which is the highest level that is possible) with the Payment Card Industry Data Security Standard (PCI DSS) each year.

Eliminate Involuntary Churn through Automatic Retries to Pay and Notifications to Customers

As involuntary churn is among of the main ways subscription-based businesses lose customers and customers, many businesses have a system for automatically retrying failed payments or notifying clients of payments that have failed. This is a good first step, but the following step is to notify the customers about payment types due to expire before the payment and to monitor repeatedly times following a failed payment. But, it will take a lot of employee hours and energy to manage these systems.

 That's why handles every payment error and notification for our customers.

Sends reminder emails to cardholders when their card is due to expire. This way, they can change their card information prior tothe card's payment is processed. also automatically retries failed payments. When the payments continue not work, we will notify the user. It is also possible to be able to send reminder email notifications two, five, seven, 14 and 21 days after the payment method fails. In our experience, these reminders and alerts could significantly decrease the level of voluntary turnover.

While this is happening your client's service will not be affected. In the event that the subscription is continued it will make the client less likely to allow the subscription lapse and more likely to make the effort to change their personal information.

You can also choose to stop rather than end their service if they fail to update the payment information. This makes it easier for the customer to resume their service without having to go through the process of having to re-enter their payment information.

Facilitate buyers to purchase using preferred Payment Methods, Localized Transactions Translates, Payment Methods, and Much More

In the process of purchasing, friction may cause companies to take on less customers than they otherwise might have. For customers who are international clients, there may be several causes for payments-related friction. Examples include:

• Don't provide the payment method they prefer
• The checkout text isn't written in a language that shoppers can comprehend.
• The price doesn't appear in the currency of their country.
• It's declined or is delayed to complete

 assists you in overcoming these challenges by:

• accepting a wide variety of payment methods (and managing these choices so that transactions are swiftly authorized)
• The translation of your checkout page(s) to many different languages
• Converting prices to local currencies

We will discuss this in more detail in the following sections.

Preferred Methods of Payment

Different types of payments are widely used in various nations. If you do not offer the types of payments that specific customers use, you'll convert less of them to customers. It's the reason it's essential to make sure that your solution is able to support all kinds of payments your target customers are most comfortable with. However, many global payment services will be restricted in terms of transactions they can accept.

In particular, certain payment services will exclusively support debit transactions. If your target customers prefer to pay with credit cards or e-wallets (e.g., PayPal), this will be a problem.

In addition, if you wish to take payments from abroad You must also consider the range of credit cards that are used across different nations. In particular, although MasterCard and Visa credit cards can be commonly employed by people in the United States, UnionPay is much more popular in China.

In reality, integrating and managing payment methods that are popular is more complicated than the addition of their logos to your checkout screen. Each card issuer has different tolerance levels to fraud and chargebacks. They also have different rules regarding how transactions take place. If you're not complying with these requirements, the card network may stop authorizing payments altogether.

also supports the most popular payment techniques, such as:

• ACH
• SEPA
• BACS Direct Debit Scheme
• PayPal
• Amazon Pay

Additionally, the card network is more likely to authorize local-processed payments when the buyer's bank and the seller's bank are within the same region (for example, a buyer in Germany paying a business that is also located in Germany). Works with several acquiring banks across the globe and will continue on adding more. Since we sell to you on behalf of a MoR and your business is a MoR, more transactions will be processed locally. This means that more payment are authorized.

Automatic Currency Conversions and Translating Language Translations

People are more likely to trust a checkout experience offered in their native language as well as in their local currency. So, if you haven't translated your checkout text or changed your pricing to the local currency it's likely that you'll lose prospective customers.

 You can also translate your shopping cart into several languages. You can also change the price that customers see to local currencies.

For shopping cart translations, you can:

1. Each buyer should choose their preferred language using the drop-down menu.
2. Lock the language and will instantly select the correct language in accordance with the purchaser's geographical location.

There are two choices for currency conversions:

1. Set your own price for each currency. Our team can assist you in determining what the fixed price should be.

If you choose to let transform the price of your products to match your needs, we will follow the format used by the price. Example: If your starting price is $19.99 and your conversion rate to Euros is EUR20.29 It would be changed to EUR20.99.

Customize Your Subscriptions and Let Manage the Rest

It comes with all the necessary tools to create and manage different types of recurring online payments. Here are a few examples of of recurring transactions you can control using the following tools :

• Trials for free or without collecting payment details in advance
• Prorated subscription payments
• Periods of variable billing
• Subscriptions that have been suspended
• Upgrade renewals
• Prepaid, recurring billing
• The subscription comes with a single purchase when you sign up
• And more...

It's easy to set up nearly any subscription scenario with just a couple of clicks. The majority of subscriptions without writing codes, however, you may make more sophisticated subscriptions using our API and webhooks library.

All-in-One Pricing (No Hidden Fees)

A lot of payment processors charge a base price per transaction, and charge extra for each extra features (e.g. access to global card networks, specialized subscription logic, etc.). The pricing structure of this type makes it challenging to figure out the exact amount you'll pay. This can make it difficult to expand globally when your business expands because prices will increase as you need additional features.

 We don't add any additional cost for every service. Instead, our team will work out a simple, flat-rate price that gives the user access to all aspects of . Pricing is based on the amount of transactions the system handles , and you'll only be charged for transactions that take place.