MOTO stands for Mail Order/Telephone Order. It’s a funny, yet cute little word. Isn’t it?
In MOTO, you don’t see your customers’ face-to-face. You normally key in the transactions on a payment gateway or on a physical terminal. And if the major chunk of your sales comes through phone, mail, or email, the best option you can consider is a MOTO merchant.
So, what does a MOTO merchant do? MOTO merchants hold an account type which differs from retail or restaurant accounts. Compared with others, this account has much more room for error. But, don’t panic.
The MOTO merchants should key in at least 50 percent of their transactions. Since the data of customers are entered manually, the rates by Visa/MasterCard/Discover Interchange are higher than those with card-present transactions.Keeping aside all these, Merchant Processing Solutions has several features to keep the processing costs low.
A MOTO Merchant
Does not see the customers face-to-face
Has higher Visa/MasterCard/Discover interchange rates
Should provide at least 50 percent of their transaction