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eMerchant - frequently asked questions

How much does Locall.Net eMerchant cost?
Locall.Net eMerchant has been designed to make it easy for your business to take card payments online. We've kept our charges to a minimum with no up front deposits, no monthly minimum volumes and no additional bank processing fees. All you pay is a low one-off setup fee, a monthly gateway charge and a small amount for each transaction processed.

Nothing to pay now - the setup fee and first month's gateway fee will be charged to your new merchant account when your application is approved.

One-off setup fee:
£100 (limited offer: normal price £150)

Monthly gateway fee:

Merchant service fee:
3.5% per transaction

Fraud/chargeback management fee:
30p per transaction

Example: a £100 payment would have a charge of 3.5% for merchant processing and 30p for our transaction fraud/chargeback management service, meaning you receive £96.20.

How and when will I be charged?
You will only be charged the setup and first month's fee if your application is successful. If your application is not successful you will not be charged at all.

The initial setup fee and ongoing monthly fees will be charged to your new internet merchant account, meaning that your account will open with an overdraft. If your internet merchant account remains overdrawn for a prolonged period, an equivalent payment will be collected from your bank account to clear the debt.

How do I get paid?
Your money will be electronically transferred from your new merchant account to your chosen bank account. There are no charges for transfers to UK bank accounts.

When do I get paid?
Payments are made weekly, five days in arrears.

Can I use an existing merchant account with this service?
No. Locall.Net eMerchant combines a full internet merchant account with a payment gateway and fraud/chargeback management service.

What is the merchant service fee?

Visa, MasterCard and other card service providers charge a percentage fee of every transaction they process. Locall.Net eMerchant has one of the market's lowest rates for "cardholder not present" transactions.

What is the fraud/chargeback management fee?
All payments are received and processed in a fully secure environment performing real time verification against fraud and other up-to-date databases. We also employ advanced fraud pattern checking, CV2 and full address verification, to assess the risk of each transaction.

For full peace of mind, a dedicated chargeback management team work on your behalf to minimise the impact and success of attempted chargebacks. At every stage of the payment process, the highest levels of security are employed to ensure your risk of fraud is minimised and that your payments are safe.

What is a reserve?
Many internet merchant accounts require you to pay a deposit as security for chargebacks. These non-interest bearing deposits can be as much as twice your predicted total monthly card transactions. To make it easy for your business to start taking card payments, we do not require a lump-sum deposit. Instead, 5% of each payment processed on your internet merchant account is reserved for a period of six months. To ensure that all transactions from the first month are at least 6 months old when the reserve is repaid, on the first day of the 8th month you will be paid the first month's reserve, for example:

Month Reserve taken
Month Reserve taken

What is a chargeback?
When a customer successfully disputes a payment to your internet merchant account with their credit or debit card company, they are entitled to a full refund for that particular purchase. This procedure is known as processing a chargeback. If you cannot provide adequate proof that the transaction is valid, they will be given a full refund by the credit/debit card company. The amount will be debited from your chargeback reserve and a fee of £15 applied to your account.

Chargebacks can occur as a result of processing errors, authorisation issues, customer fraud and other transaction irregularities.

How can I prevent chargebacks?
Not all chargebacks can be prevented. However, Locall.Net eMerchant employs a number of tactics to minimise your exposure to chargebacks. For example, your merchant name will appear on the customer's credit/debit card statement thereby reducing the risk of customer confusion. We also recommend that, for physical goods, you only deliver using a courier that requires the customer's signature for delivery. Our dedicated chargeback management team will also help you to dispute chargebacks where evidence, such as a signed sales receipt, exists.

How do I void a transaction after it has been processed?
You can void a payment up until 4am on the day after the transaction. After that time the transaction has been settled and you will need to issue a credit to the customer.

Can I obtain a merchant account for a currency other than Pounds Sterling?
Not at present. We plan to offer US Dollar and Euro internet merchant accounts, in the near future.

Can foreign cards can be processed by the payment gateway?
Your eMerchant account can process customer cards, irrespective of the country of issue.

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