High Risk Merchant Accounts
High Risk Merchant Account Options
High Risk Merchant AccountServices
Options for a High Risk Merchant Account
If you're business is identified as a "High Risk" then many merchant service providers will turn you away. High risk merchants range from travel agencies to multi-level marketing companies, to casinos, to online pharmaceutical companies, to many Internet start up companies, and the list goes on. In fact, some companies get turned down no matter who they go for processing payments. Once your application gets turned down it can be very discouraging, especially if you are an honest business seeking help in accepting credit cards, whether retail or Internet based.
What is considered High Risk?
These types of services would follow under our High Risk Accounts:
Computer Software (electronic download)
Computer Software (tangible)
Discount health cards
Discount/Prepaid phone cards
Financial Advisory Services
ISP/email services/search engines
Miscellaneous food sales
Weight loss products
* Additional fees may apply to certain high risk industries
High-Risk Merchant Account Info
There is a segmented area in the industry that caters to this type of account and usually charge more because of the risk involved. There is really no choice in accepting a high-risk merchant account because the processor is the one taking the risk and the merchant is charged according to the risk. In any type of financial institution either a bank or loan company, and all risk must be accessed before money is transferred or given. There are steps involved and it is important to find someone qualified to help you and answer any questions you might have.
Typically we have to review the product type that is immediately delivered, future type delivery service or annual membership programs because they are at more risk.
We also do a criminal background check and cross check information as well as to whether or not termination from another processor was happening. If you are switching from some other processor we look at previous statements to see how placement is done. Having a few Chargebacks is ok but have to be within the tolerance of certain guidelines.
Electronic companies are at high risk along with others that go into the specialty area, which include Canadian Merchant, and Off Shore Merchants. The rates are higher and advantages are that we have solutions for what you have to offer. In very small cases there is a reserve requirement for the high risk Merchant.
If you were considered a high risk and have a reserve account and if after several months or more, we can get that reserve back for you. The underwriting is done in house and the decision of reserve control falls on us and can be filtered back slowly if Merchant is in good standing. We can provide this service for the Online Merchant or the Retail side of processing as well.
Which types of businesses do not qualify for processing?
Cigarettes and cigar companies and including pharmaceutical accounts are not qualified. The adult services market is very difficult to get approved unless you are doing high volumes. Also, new travel agencies and lotteries and replica goods. Anything that has an FDA taint to it is nearly impossible to get approved.
InfoMerchant Can Help if You're High Risk
At InfoMerchant we can help you determine what is the best option for your type of business. We offer merchant account information for free with just a phone call.
If you are looking for high risk or offshore merchant accounts there are different guidelines and fees that are accessed in making that decision. You can always refer to our merchant services introduction for the most up to date questions and concerns you would have in chosen a merchant account provider. See what the monthly fees are and set up fees as well the longevity of the company. Take time in filling out our online form and we can direct you in the right direction.
Merchant Account Questions
Below are some of the most important questions and answers on how to prepare
yourself for the world of merchant accounts and credit card processing.
What are some important questions to ask before signing up for a merchant account?
What is an explanation of a merchant account?
How much do I have to pay for a merchant account cost?
Why should I consider Fasttransact for my merchant account?
How many merchant accounts can someone have?
Is having a merchant account the best way to accept online transactions or should I use a PC?
How long does the merchant account approval process take?
Do you accept non-U.S. merchants?
Do you have any hidden fees for merchant accounts?
How fast can you set up my merchant account to accept credit cards?
Do you decline any merchant account applications or online processing applications?
Can I process for more than one business with my merchant account?
Do I have to be a U.S. citizen to open a merchant account?
What if I want to open a Canadian merchant account?
What are your fees and costs for merchant account processing?
What are the underwriting requirements to open a merchant account?
What kinds of typical startup costs can I expect in obtaining a merchant account?
I already have a retail merchant account, can I use this for internet processing?
Are there merchant application fees involved?
How do I apply for a merchant account?
How long will it take for my merchant application to be processed?
What if my merchant application is not approved?
Can you describe the merchant application process?
Does Fasttransact require a contract or is it month to month?
Will you charge me for a second merchant account?