Warning: Clickbank anything else than Customer friendly

Posted by Rieke F.
7
Aug 11, 2011
1845 Views
Hello Dear Reader here,

are you involved in Affiliate Marketing? Are you using Clickbank?

Do you already fit the payment rules of Clicbank?

If not - stay alert!

Some month ago Clickbank changed the rules, did you read this?

"

Dormant Accounts

Accounts with a positive balance but no earnings for an extended period of time are considered dormant. Dormant accounts are subject to a charge of $1 per pay period after 90 days of no earnings, $5 per pay period after 180 days of no earnings, and $50 per pay period after 365 days of no earnings."


So, in case you have an account which does not fit the payment rules because you don't have enough different clients or the amount of what you earned so far is beneath $500 than it can easily happen that you will be charged with $1 every two weeks!


To come to this explanation, you should have been reading a lot through all the changes Clickbank did on their Contract Terms.


To give you an example what happens to me on one account: Here I had a recurrent payment which stopped in May 2011. As it was only 1 payment from 1 client, I did not fit any payout rule.


1. I did not have 5 different credit card clients

2. my earnings are not above $500


When the client - which is his right and also understandable - for some reason stopped the membership of the program, I did not see any longer money coming in  on this Clickbank account.


Now, thanks to the a.m. Contract Term, Clickbank is taking money from what I have earned. I call this simple "larceny".


My advice: When you are starting with affiliate marketing or not doing so well actually with Clickbank, go and have a look at other Marketplaces.


Think twice and have a look at the Terms before joining a place from where you can sell products. There are a lot of fair places out in this 'www'.


 

    
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Comments (19)
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Rieke F.
7

Consultant

@The Old Coot - thanks a million for supporting my article. Point is, that someone who wants to sell his product does not like to have all the huzzle with payments, refunding etc. So for the seller it might be easier to sell the product throughout a place like CB. But there are other places, much more convenient for the seller and promoter too!

BTW - as this behaviour of CB is criminal, I invite everyone here to report them at "The Internet Crime Complaints" and "eCommerce Complaints". I am n

Aug 16, 2011 Like it
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Arthur Webster
7

Just plain honesty

Hi, Aderemi, I never doubted it which is why I sugested that the terms were applied country by country. In Spain, where I live, we can often have our affiliate commissions paid into PayPal rather than Clickbank, because it is a fully regulated bank. Many affiliate programmes will pay direct to PayPal so if you want to promote a Clickbank product, go to the original owner and become his affiliate.

Aug 15, 2011 Like it
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Arthur Webster
7

Just plain honesty

I see that the significance of my reply on the technicalities has not been acknowledged. Let's say you have a balance of $40. A>Clickbank inform the tax office B>A 30% tax payer sees his tax liability rise by $12 C>You are charged $40 by clickbank BUT you cannot claim against tax since it is a penalty - you lose $12 in tax relief. Your $40 balance will cost you $64 and you will have nothing to show for it. Clickbank have your original $40 and then charge you a further $40 - a nice little $80 ear

Aug 14, 2011 Like it
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Arthur Webster
7

Just plain honesty

Aderemi, the changes relating to penalties for not having enough money in your account were notified to me less than two months ago. Maybe they were applied over a long period, country by country?

Aug 13, 2011 Like it
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Arthur Webster
7

Just plain honesty

Hi, Rieke, that reply by Clickbank makes no sense at all. If they are concerned about dormant accounts with balances below minimum payment, they only have to create a Journal entry to transfer the balances to an Unsecured Creditor's Contingency Account. Commissions due to affiliates, once recorded are ALREADY PART OF THE TAX RECORD. The only tax due on these commisions is payable by the affiliate and EVEN IF THE COMMISSION IS NOT PAID TO THE AFFILIATE, THE TAX OFFICE WILL ASSUME IT WAS AND LEVY

Aug 13, 2011 Like it
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Rieke F.
7

Consultant

@The Old Coot - right when you don't agree to the changes you cannot access.

In the meantime CB replied that they will payout the amount on this account. But I will leave CB as I don't trust them, although until now I don't know how I can quit. Have to study it again. :)

As said before, I reported this to the "Internet Crime Complaint" and "eCommerce Complaint". I am also looking for s.th. else. Here's a quote of CB's answer:

"We charge a Dormant Account Fee so that the earnings we are

Aug 12, 2011 Like it
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Arthur Webster
7

Just plain honesty

I, and presumably every other Clickbank member, was asked to agree to the new terms and conditions because they represented a radical change (reason to read them, no?). I did not agree to the terms so I am now unable to log in to my Clickbank account - since I sell nothing, no great loss, but I am surprised that other Clickbank clients did not spot these terrible penalties for being unsuccessful (as if that wasn't bad enough!). It is disturbing that I was not given the option to refuse to accept

Aug 12, 2011 Like it
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Philippe Moisan
16

Tutorial videos, sci-fi writer

Ulrike, please top Cindy's comment, it adds info to your article and so is required reading too.

Aug 12, 2011 Like it
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Cindy Bolley
16

HHCTB?

BTW.... I just checked mine and they have new rules for people who have products listed with them too. I would guess that if they don't comply they will be gone and if your promoting one of those products and not checking the links they may be going nowhere this is the message......Updated Promotional Guidelines: As of August 1, 2011, all ClickBank clients are required to comply with our updated Promotional Messaging Guidelines (Product Promotion Guidelines). All new products are immediately

Aug 12, 2011 Like it
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Cindy Bolley
16

HHCTB?

Thanks for posting this. It is very important that people know this. Also you have to jump through hoops to get your very FIRST paycheck from them. Cindy

Aug 12, 2011 Like it
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Luis Figueroa
9

Independent Entrepreneur

For me ClickBank is not affiliate friendly, as all our efforts seems to mean nothing to them. They are only after the money after all, either from vendors and of course us affiliates. That is why I moved to PayDotCom.

Aug 12, 2011 Like it
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Neville Dinning
10

Independent Consultant

Thanks, I just checked. My Clickbank balance is reducing by $1 each pay period. I was not aware of that before. Soon there will nothing in it!

Aug 12, 2011 Like it
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Vishwajeet Kumar
14

Blogger

Thanks for the update!

Aug 12, 2011 Like it
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Ashish Desai
1

Can we delete our dormant accounts and create a new one in order to avoid the penalty ?

Aug 12, 2011 Like it
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Rieke F.
7

Consultant

I am reporting Clickbank with an IC3 Complaint Report!

Aug 12, 2011 Like it
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Jean DAndrea
7

Retired

Well, I used to have a Clickbank account, but I closed it because they took all my earnings faster than I was making them. It's hard enough to make cash online sometimes, without this!

Aug 11, 2011 Like it
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Philippe Moisan
16

Tutorial videos, sci-fi writer

This article is required reading for everyone. Who doesn't have a Clickbank account ?

Aug 11, 2011 Like it
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