Dwolla: Revolutionizing Fee-Free Electronic Payments

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Dwolla

We review Dwolla and try to figure out why such an innovative fee-free payment system is so undiscovered and unrenowned.

Dwolla Review - A Fee Free Credit Card Payment Mechanism

Dwolla was created to try to change the electronic payments industry. In 2008, the company was established with the aim of avoiding credit card interchange fees. You sometimes have to pay interchange fees when you buy things on the Internet, or when you swipe your credit card.

Dwolla set out to provide a low cost payment service that businesses may use so that they need not charge an interchange fee. They also set up their business so that their private customers could use their credit cards with new companies without having to pay interchange fees.
The short answer is that they are charging nothing for electronic payments. You are allowed to send and receive money for free with a Dwolla account, which is only partially true for PayPal holders. For example, if you send money to a friend via PayPal, then it is free, but if you pay somebody for something, then there is a fee with PayPal. With Dwolla, there are no fees for individual friend-to-friend transfers and no fee for payments to friends and merchants.

There are no additional fees, no cancellation fees, no service agreements, and no PCI Compliance fees. If you are a business, you may pay a flat monthly fee to use the payment network, and there are no transaction fees, which suits businesses that make frequent transactions for smaller amounts of money. The rates for merchants are very competitive to the point of being the best in the industry.

Making Waves In The Industry

Dwolla has made quite a few waves in the credit card industry. People in the credit card processing industry and have been standing up and paying attention. Dwolla is offering low-risk payment alternatives to merchants, and they are offering it for free. The only drawback is that the merchant and the customer need to have a Dwolla

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