Affiliate network ClickBank is offering several guidelines regarding best business practices for continuity program merchants in the wake of several merchant account closures, due to “ambiguous continuity program terms” in the eyes of major credit card companies.
Clarity is key, according to Dush Ramachandran, ClickBank Vice President of Sales and Business Development.
Some more advice from Ramachandran…
- If you are engaged in a practice in which goods or services are provided automatically, and the customer must either pay for the service or specifically decline it in advance of billing, you must be very clear and upfront about it. This type of practice is not unethical unless buyers do not fully understand the terms or sellers do not accept the consumer’s decision to discontinue the service or return the product.
- Credit card companies are no longer going to support merchants engaging in ‘free’ offers that are not actually free.
- Customers must receive good or contracted services in exchange for a credit card payment and, for any offer, must provide an affirmative consent such as a mandatory “I agree” statement checkbox where the customer acknowledges the terms and conditions of the offer and consents to be entered into a continuity program.
Further, Ramachandran says “At ClickBank, we’ve found that the best way to avoid compliance issues and keep our client’s continuity programs up and running without interruption is to be completely transparent with consumers regarding the terms of continuity programs.”
Get more details on Clickbank.