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Bolt: An End-To-End Payments Stack with Zero Fraud

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Re: Bolt: An End-To-End Payments Stack with Zero Fraud

#121
post #104
post #36

Earlier quoted context omitted.

No, it isn't? Those are the prices for two providers that aren't even close to lowest-cost providers in the space. They compete on service, not price. I can get .9 to 2.0% (depending on the industry of my business) off the shelf from at least 6+ sources. And that's before any interchange rebate programs, volume discounts, or specially negotiated interchange waivers past a certain fee per quarter.

2.0% blended pricing wouldn't cover the interchange for Amex, VISA Signature Cards or Mastercard World Elite. 0.9% wouldn't cover anything except durbin debit cards. If you're big enough you do interchange plus pricing where the interchange is passed through and small processing fee is added. Blended rates are for small companies.

Smallco can do interchange plus too. It's more daunting, but almost always a better option.

2.0% blended does actually cover premium segment cards on a per transaction basis even at the top-end shelf rate depending on how you've structured your payment processing pipeline. Fully international transfers on high-end cards often cost less than intra-jurisdictional premium card purchases. Shelf rate, you're looking at 2.7 in the worst case without negotiation or any work on the part of the merchant.

But even if didn't - premium card penetration isn't very high.

So why are you paying for the full premium card interchange on every transaction?

Your merchant agreement restricts how you can do it, but you can provide incentives to use different payment venues. You don't have an incentive to push people towards low-interchange channels if you're getting fleeced on every channel.

Given the difference for a 10% margin product purchase between a 1.0 and 3.0 blended rate processor is literally a 28% difference to your bottom line, getting on top of the minutiae of your agreement is tremendously important.

Re: Bolt: An End-To-End Payments Stack with Zero Fraud

#122

Earlier quoted context omitted.

Looking at the docs ( https://docs.bolt.com/v1/docs/step-2-load-bolt-checkout ) it instructs the reader: "The onSuccess method will be called when Bolt successfully processes a transaction. This can be used as a way to create the order (...)". This opens up a massive security hole if the merchant is making decisions based on this method being called client-side, right? What prevents a malicious actor from calling tha…

> This opens up a massive security hole Have you considered that discussing API design decisions regarding security in a public forum is a bad decision of your own? After literally 10 seconds on the site, I found this: https://bolt.com/security

"Security hole" may have been poor word choice on my part. "Potentially unsafe process recommendation" would probably be a more apt description.

My concern is not a security issue or vulnerability on their site or service. I am concerned that a processes they are recommending may not be safe, and if I am incorrect (I still feel that I may be missing something), I feel that a response may be insightful to others.

Re: Bolt: An End-To-End Payments Stack with Zero Fraud

#123
post #104
post #36

Earlier quoted context omitted.

No, it isn't? Those are the prices for two providers that aren't even close to lowest-cost providers in the space. They compete on service, not price. I can get .9 to 2.0% (depending on the industry of my business) off the shelf from at least 6+ sources. And that's before any interchange rebate programs, volume discounts, or specially negotiated interchange waivers past a certain fee per quarter.

2.0% blended pricing wouldn't cover the interchange for Amex, VISA Signature Cards or Mastercard World Elite. 0.9% wouldn't cover anything except durbin debit cards. If you're big enough you do interchange plus pricing where the interchange is passed through and small processing fee is added. Blended rates are for small companies.

Very true, interchange plus is the way to go outside of Europe or Durbin-regulated customer bases.

Re: Bolt: An End-To-End Payments Stack with Zero Fraud

#124

Am I reading the "acceptable user policy"[0] correctly in noting that any of the adult entertainment industries and those currently operating in the unknown at Patreon (Stripe), would likely not be welcome at Bolt either? [0] https://bolt.com/acceptable-use

Nothing in adult for now. I'm not sure what "those currently operating in the unknown" means.

Hoping to expand to more business categories as we grow.

Re: Bolt: An End-To-End Payments Stack with Zero Fraud

#130
post #4

Earlier quoted context omitted.

CEO of Bolt here. We'll be writing more about this in the future. In short, our fraud detection is really really good (although not perfect). However, the fraud that ends up making it through the pipeline is so minimal that we cover it fully. So, for a small fee as an online business you never have to pay for / deal with fraudulent chargebacks again. There are other companies that do this, but none of them also do pa…

Looking at the docs ( https://docs.bolt.com/v1/docs/step-2-load-bolt-checkout ) it instructs the reader: "The onSuccess method will be called when Bolt successfully processes a transaction. This can be used as a way to create the order (...)". This opens up a massive security hole if the merchant is making decisions based on this method being called client-side, right? What prevents a malicious actor from calling tha…

I imagine there is an HMAC or similar that can be verified?
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