For those of you that are new to the Internet business, or simply have not heard the bad news on Ibill, I would like to inform you regarding this company. Before deciding to use them as a payment processor you may want to search around a little. They have been stealing money from Webmasters for years and have a history of not paying out. I'm not just talking about a percentage of funds, I'm talking about everything. They currently owe me over 8,000 from back in 2004, and I am by no means the only one. Do some research on them before deciding. If anyone else has had similar experiences, please post your replys. There is also a site at ibillowes.com where you can add your two cents.
This isn't quite a true description of what happened. iBill basically got stiffed by the credit card companies and couldn't pay what they owed to merchants. iBill was split up and sold wither which way with porn merchants going to Penthouse and non-adult merchants sold off to iPay. Then iPay was sold to Pay by Touch, which is shutting down iPay this weekend. I also just got an email from iBill warning me that they too are closing some aspect of their system down, so I guess even the "old" merchants are all still on their email lists. Either way, I think you're right about avoiding them. But the situation looked more like iBill was just another mismanaged gravy train that came to a nasty end when the credit card companies got serious about preventing chargebacks on internet-bought services.
regardless of their excuse, from what I've read, it was their gravy train mismanagement that got them there in the first place. For their 1st series of hard hits, they were warned by their primary bank that the contract would end by a specific time period. Ibill did not take enough action to find a replacement before the sh*t hit the fan and that was just their 1st major hit until other things added to the downward spiral. It is poor mismanagement if you ask me, regardless of what related consequences might've happened after that fact which may have been partially out of their control. I even heard they brought in new management now and or got bought out, but remember, when you buy out a company, you are buying it's mistakes as well. I've not heard that they've been doing a great job of recovering either