Hi guys,
I like to start payment processor site like paypal. Before that, I want to know following things. If anyone can answer these, that will be more helpful to me.
1. There are lot of online payment processor scripts available. But which one is good? Any recommendation?
2. What will be the minimum investment required to start?
3. Do I need to get permission from any financial insitution?
4. What is the main difference between the Western Union and Paypal?

Thanks!
waddies

And do you have the several thouands of (pounds/dollars) it costs in insurance, secure systems, hosting, maintenance and security etc to start off such a venture and keep it going for the 4 or 5 years before it will become trusted enough to be earning money?

Market is oversaturated, I would look elsewhere.

This is the first time I have ever seen a post about someone wanting to start an 'online bank' like paypal.

Wow, you will need more than GOD'S PRAYERS to get this running...No offense to you, but it would be COMPLETELY IMPOSSIBLE TO DO SOMETHING LIKE THIS UNLESS YOU ARE HIGHLY CONNECTED WITH ACTUAL BRICK AND MORTAR BANKS...DOESN'T MATTER HOW MUCH YOU KNOW ABOUT 'VIRTUAL BANKS" OR HOW THEY WORK.

This is probably not the best goal unless you truly have something that will make you stand apart from paypal and google? (Apart in a good way)

You have got a big big step to be done buddy. So you want to open up an online business sych as PayPal? Well that is very big company that has already made name in the industry. God bless you on your plans buddy! The difference between paypal and western union? well paypal is more of online transactions and western union has lots of branches worldwide where you can do transactions.

Well, I'm not going to poo poo his idea. It is just a payment processor...this isn't rocket science, and he isn't trying to be a bank, nor do I doubt he is anticipating offering all the same features as Paypal out of the gates.

It is all about securing relationships with the various credit card vendors, ensuring PCI compliance at your hosting facilities, and then setting up the technology to handle the payment processing...not that difficult...people do it ALL THE TIME. Yeesh, for a very entrepreneurial group, you guys are awfully negative today.

And paypal and western union, while they offer similar functions, Paypal's main function is a payment processor, not a money sender between individuals.

If you want to start your own payment processing website like Paypal, I can help. I have designed a complete website script, similar to Paypal but different.

With my website script, all you have to do is install my website script into your hosting account, and you will have your own payment processing website set up.

I am offering only the script, not installation.

I can provide a picture (screenshot) of my website script or a demo if you wish.

Send me a message for more info and we can discuss price.

Originally Posted by legallink

Well, I'm not going to poo poo his idea. It is just a payment processor...this isn't rocket science, and he isn't trying to be a bank, nor do I doubt he is anticipating offering all the same features as Paypal out of the gates.

Not poo-pooing the idea just pointing out what it takes to get such a venture off and running.

PayPal started at a time when there were no other real options for online transactions (1998) and fraud wasn't such a huge problem, so they had time to build security systems (eventually)

Originally Posted by legallink

It is all about securing relationships with the various credit card vendors, ensuring PCI compliance at your hosting facilities, and then setting up the technology to handle the payment processing...not that difficult...people do it ALL THE TIME. Yeesh, for a very entrepreneurial group, you guys are awfully negative today.

Exactly! Which takes time and money to implement.

It would certainly be possible to set up such a venture using merchant accounts to process payments, however you then have to add their charges onto what you charge your clients.

Entrepreneurial is about creating NEW ideas and running with them. NOT copying another idea because you think "they make money and I want some of it" without the slightest clue of how to start.

Thanks for all your comments guys!

Originally Posted by SiteSmart

Market is over saturated, I would look elsewhere.

I agree...unless you have the bankroll to come out strong. There are other ways that are cheaper and easier.