How do you like to be paid?
August 6, 2008
During the development of the “pre-payment” feature you have all been waiting for, we have had a good chance to look over what different payment methods designers and contest holders use and the pros and cons of each. The following payment methods will be offered and endorsed by 99designs:
If offered in your country, PayPal is by far the best option. They have low transaction fees and great fraud protection for all parties. Accounts can be linked to banks and credit cards easily.
Payments can be made to a variety of countries, and can be made from a PayPal account. This is great for contest holders who already have a PayPal account but need to make a payment to somewhere like Bosnia or the Philippines.
Like Xoom, Money Bookers offers payment to a wide variety of countries. The transaction fees are also quite low. Payments cannot be reversed, but they can be tracked and customer support seems to be quite responsive.
We have decided to NOT offer Western Union or MoneyGram. These services are often associated with fraudsters and money laundering, have extremely high fees when compared to other services and in almost all cases requires payment in cash at a physical location.
What payment method is your preference? How do you feel about the removal of Western Union as a supported option for payment?
Update: We have decided to still offer Western Union payments and are looking at the addition of Payoneer.