High Risk Merchant Accounts – Is Your Business in The High Risk Category?
Accounts
You might have what you believe a brilliant idea for a business. Perhaps it’s a innovation on just how to offer the public an agency or an item. Whenever you decide to apply for your merchant accounts, yet, you figure it out may be more difficult to be eligible than you thought.
In spite of a good credit history, plenty of collateral, and a proper business plan, you will find some markets which are only considered”high-risk” by credit card processors.
Pharmaceuticals
Any type of company that sells medicinal products online is tagged as”highrisk.” As there are several people selling scam services and products that are supposedly health in character, this entire industry is painted with all the risky brush. You might desire to sell perfectly valid services and products, but as pharmaceuticals have a rather large rate of disputed payments, companies that sell them will continue to pay more for the privilege of processing payment by bank card.
Medical Marijuana
Perhaps not quite a pharmaceutical but still illegal in 36 nations, medical bud drops right into a strange category. This situation makes it rather tricky for dispensaries to be eligible for any kind of merchant account. There are some credit card processing firms that are actively seeking out medical marijuana organizations in order to supply the services they need, plus it is worth it to search for such a company if you want to simply accept plastic in your store.online gaming merchant account providers
Adult Entertainment
This is pretty simple to understand. Picture the scene; a man purchases a picture to watch online, his wife sees the fee on the charge card statement and queries him. He denies any knowledge of the fee plus she calls around dispute the fee. As the charge card provider will always side with the buyer , the refund will be issued. Talk about a company challenge.
Downloadable Products
Whether it is computer software, pictures, or gaming, the items also incur a higher level of disputes. People rarely see the complete description, are astonished by the things they get, and also refuse to pay. Once again, this contributes to credit card processors labeling such businesses as”insecure” and charging more or less denying to provide service.
Online betting, debt products and services and dating web sites are also thought of as riskier than conventional organizations so far as the bank card processing business is concerned.
That really is a extensive list of course, if you find that you’re being turned down as your enterprise model is considered more risky compared to most, keep in touch with the representative about what you can do to increase your odds of qualifying. Small changes in your company strategy, a slightly different tack, and you may just find yourself being approved for any number of merchant accounts. Irregular modifications to your plan might even result in a qualifying minus the dreaded”high risk” label and the resulting in additional expenditure.