Looking for a user review of Nochex? Looking for a UK alternative to Paypal? Read on.
I’ll give a positive shout here for the Nochex SELLER ACCOUNT. We use it on our site for small orders, but it is limited to £100 per transaction, and UK cards only unless you open the Merchant Account.
DO NOT open a Nochex Merchant Account. We got stung this way when asking them for a larger transaction limit on our seller account (trying to escape the awful Paypal). They ask you your likely monthly turnover, you tell them, and they then want to retain that much forever as security against chargebacks! This means depositing maybe thousands of pounds with them, and then just kissing it goodbye, with no interest even, as long as you want to use the account (ie forever)!
They tried to sting us this way. They don’t tell you all this until you have opened the account and they have had your £50 setup fee. I asked them to revert the account back to seller status when I found this out; they wouldn’t. So I closed it and my wife opened another the same day.
They then held our money in the old account frozen for 6 months in case of a chargeback (that we have never had anyway). Big thumbs down for the Nochex Merchant Account.
However, the basic seller account, for small orders from UK customers below £100 each, is not too bad. That said, there is a £1000 a week withdrawl limit. They charge less fees than Paypal, have a UK call centre, the money is in your account faster, and no account freezing or silly chargebacks like Paypal as well. If you are a small UK seller with UK customers, the SELLER ACCOUNT is just fine.
We use Paypal for some larger and overseas transactions, but currently have hundreds of pounds reversed, frozen or whatever they call it, for spurious chargebacks where we can prove the item was delivered by courier. I am seriously searching for a viable alternative to Paypal, preferably one that doesn’t have the fraudulent chargebacks that Paypal allow people to get away with.
When selling with Paypal, you must accept that there is always the possibility that you will be giving the stuff away. If you can accept that, then Paypal is for you. Why is this? Because they will take your money back at the drop of a hat on the slightest whim of any buyer. If it isnt in your account, they will steal it from any linked accounts. (Hint: never load a Paypal account from a card or account if you are a seller, or if you must, use an empty account, one you intend to close or a card you can cancel or “lose” and get a replacement [with a new number] tomorrow). Paypal WILL steal your money. It’s not a matter of “if” — its a matter of when, how often and how much. Can you afford that risk? I cant.
Also, NEVER leave money you cannot afford to lose in your Paypal account. They WILL freeze (read steal) it! If a business seller, clear it out as soon as it reaches a couple of hundred. Never get complacent and leave £500+ in there. That’s when they find a spurious reason to freeze it. Good luck with the call centre in India trying to get it unfrozen this year.
I have yet to find a serious alternative to Paypal that isn’t without excessive fees or silly restrictions. If you know of one that works in the first world, PLEASE tell me using the comment box.
Its a shame Nochex has the silly UK restrictions and transaction limits on their seller account. They could be so much more. They could be the serious contender to Paypal if they could only wake up and smell the coffee……