What % of the books profit is lost on the outrageous cost to transfer money?

Journeyman · Mar 15, 2004

I would think this often overlooked fee that some books eat is rather costly...While some books do pick up the entire Neteller transer, other will stick it to their customers pretty good...Western Union is a whole nother story altogether, how much are the books losing on these costly transactions?

For every dollar the book takes in, what is lost right off the top on average?

Anyone either know or can make a good guess on this one?

Thanks

HerzvanRentle · Mar 15, 2004

Think there is a thread from Jul'03 where Haden from WSEX says it cost them 1% of turnover.

WildBill · Mar 15, 2004

Books could control this by dictating certain levels of play to earn a free transfer. Play a lot and earn plenty of free transfers. Play a little bit before every transfer and pay for it. I would say it is only fair. I have played with some books for many years and beyond first bonus I haven't gotten much out of them as I probably make 3 or 4 transfers a year, both in and out, at most of the books I deal with. I am sure in a way I am "subsidizing" some of those fees from those players that are in and out at every chance they get.

Journeyman · Mar 16, 2004

Wild Bill, I think your idea is right on.

DarrylParsons · Mar 16, 2004

WildBill is right on IMO. WSEX's 1% should be considered in light of their very flexible payout policy. They make frequent small payouts often and that pushes up the price. A book like Pinnacle probably pays about 0.25% or less because they pass on the costs if the w/d's are small or frequent.

Soothsayer · Mar 16, 2004

Excellent question! Some will cover fees on all deposits of $200-$300 or more... Throw in the operational costs and that adds up real fast!

marc · Mar 16, 2004

WIldbill is dead on. A lot of books have very stupid withdrawal policies. A common one is that they will cover one free withdrawal a month. FOr neteller, that means you get 1 withdrawal up to $2500 free, and the rest you pay for. This is regardless of whther your inital deposit was for $500 or $10,000. SO right away your larger cusotmers are getting screwed. Because while the smaller cusomters will be able to withdraw their funds right away free of charge, the larger one's will either have to pay to withdraw thier money, or withdraw it slowly. And then you have rulese like you can get one free check a week but all others are $40. ANd some have a rule that every 30 days you can withdraw as much as you want. But you can only make one request, so all they doing is giving you an incentive to withdraw more that you otherwise would, because you can always redeposit your money if you withdraw too much, but if you decide later that you wnat more money you'd either have to pay insane fees, or wait another 30 days.

I think $15 towards withdrawal fees for every $2500 in action is a fair amount for the books to give