said by PX Eliezer704:Having a merchant agreement with a credit card company myself, I know that the fees are absolutely ridiculous.
Agreed. It's time for a new payment system which keeps the convenience and SECURITY of a CC payment.
BTW, number of people incl. myself signed up with Localphone BECAUSE they offered a 1$ payments, I would not have paid $ 25.- up front. There is a huge difference between pre paid and post paid. So that certainly works well for them.
Now I indeed pay in 5 or 10 $ increments and I would even pay more I just do not want to loose more money to possible SIP scammers/scanners. They do not take AMEX though, which I hate but understand.
One way around this issue would be charging transaction surcharges for established customers who choose very small payments.