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Feb
15

South Africans and Paypal and Hostgator

There’s a great post at imod.co.za about why South Africans can’t get paid by Paypal – the comments are especially interesting.

Since I mentioned Hostgator yesterday, I’ve discovered that they have a somewhat discriminatory policy regarding South Africans. If you live anywhere in the world except, it seems, China and South Africa, you can pay for your Hostgator account on a month-to-month basis. South Africans (and presumably Chinese) can open a new Hostgator account, but only if they pre-pay a year in advance. The annoying thing about this is that they don’t say it up front – you apparently have to sign up for an account and pay for the first month’s hosting before they let you in on the secret.

The other two hosting companies I mentioned are quite happy to take your money once a month – although A Small Orange gives you 2 months for free if you pay a year in advance.

bluehost.jpg

Many hosting companies insist on annual payment in advance, without the option of monthly payments at all (although most of them do it with all their clients, not just those from ‘suspect’ countries). Of course, this is great for the hosting companies – not so great for their clients. Or they’ll make you pay more for their ’3 monthly’ or ’6 monthly’ packages.

Look out for ‘extras’ as well, like ‘Setup costs’… reminds me of South African hosting companies. Then they have the cheek to say ‘No hidden fees’ on their home page.

nosetup.jpg

Hosting companies are a dime a dozen, and it’s a cut-throat industry. The bigger companies offer you tons of bandwidth and disk space – more than you could probably use, unless you want to be the next YouTube. But what happens when you start to push the limits? Most hosting companies are not that concerned about bandwidth and disk space – their biggest problem is accounts which use too many resources on the server, which affects all the other accounts on the server. From Hostgator’s Terms of Service:

“User may not:
a) Use 25% or more of system resources for longer then 90 seconds. There are numerous activities that could cause such problems; these include: CGI scripts, FTP, PHP, HTTP, etc. ”

I’m quite happy with Hostgator. I’ve used them for more than 2 years, with very few problems. They haven’t told me to switch to annual payments in advance!

The big problem with pre-payment in advance is – what happens if the hosting company goes under? Or even if you just want to change hosting companies after 4 months or so? Are they really going to honour their ‘money back guarantee’? Who knows?

Just on principle, I’d rather have the money in my bank account earning me interest than in someone else’s bank account earning them interest.

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