Hacker Newsnew | past | comments | ask | show | jobs | submitlogin

what is "mid burning" in this context? what do you expect % of charge backs to be for something like onlyfans? if you were to start a company in this field what would you use as a payment processor?


Mid burning is when a company will have many shell companies and just open up at many acquirers and knowingly will breach their chargeback ratio with the expectation that eventually their acquirer will shut them down but they don't care because they'll move onto another acquirer. This goes on until Visa/Mastercard blacklists them at the card level but these merchants don't care because everything is shells corps and structured that it looks like it has no ties to the parent corp.

I expect the CB ratio to be 0.7% if they're aggressive with not leaving money on the table and refund anything that looks like it'll give them bad press. If they're they're trying to keep it as low as possible I've seen the ability to operate at 0.3%.

CCBill & Epoch when I want to shift high risk liability. Rocketgate for everything else. Getting the processor is the easy part, finding an acquirer and getting a mid is much harder.

I have no advice on how to find an acquirer/getting a mid for high risk it is very much networking and knowing people club.




Guidelines | FAQ | Lists | API | Security | Legal | Apply to YC | Contact

Search: