We are rated #1 for the provision of High Risk Merchant Accounts.
iPayTotal caters to the needs of high-risk businesses, helping them boost sales and generate revenues using specialized high-risk merchant account.
Generally, a high-risk merchant account is a business or an industry that is famous for chargebacks and fraud, borders on the legitimateness or is viewed as risky by affiliation. But there is no need to worry. We will dive into the details of what all that implies in no time, so continue reading. Businesses with higher than normal chargeback rates (such as travel agencies), businesses with age-restricted items (like tobacco sales) and other businesses that are perfectly legitimate and legal. Individual businesses can also be considered higher risk even if they aren’t in overall high-risk industry.Not all high-risk businesses are considered high risk because of their industry. In addition to particular industries, individual businesses may be considered high risk for factors including poor personal credit; inclusion on the Terminated Merchant File (TMF or MATCH list) for processing misconduct, non-payment, or fraud; high dollar value transactions with no business history; high dollar custom products; large number of international transactions.
Businesses are also treated differently depending on the level of financial risk they present to their processor. All processors will cautiously judge your business to decide if you fall into the “high-risk” category.If for reasons unknown, your business is categorized under high-risk one, the results can be serious. Most of the processors will basically decline to approve you for a merchant account, while others will charge you undoubtedly higher rates and fees than you would some way or another need to pay.Much like applying for a loan, when a business owner applies for a merchant account, there is an underwriting process the account provider (or loan provider) will go through to estimate the risk of adding your account to their portfolio.
What is a high-risk business?
Is your Business Hard To Place? – No Problem
Not all businesses are created equal especially when it comes to banks. It’s important to work with a merchant services company that understands your business type. We have aligned ourselves with banks that are comfortable with hard to place merchants. Tired of getting rejected because of your business type? That stops here.
- Businesses vulnerable to frequent Chargebacks
- Blacklisted Companies
- Industries with Poor Reputations
- Businesses vulnerable to Fraud
- New Businesses
- Companies that primarily accept card-not-present transactions
- Businesses with Recurring Billing Cycles
Some of the points taken into consideration when applying for a merchant account are:
- Your personal credit history
- Company financials
- Number of years in business
- Merchant account history such as if you ever had a merchant account before. If so, do you have a history of chargebacks and have you been blacklisted on the MATCH list or Terminated Merchant File (TMF).
Our underwriters and business consultants have broad experience with all business models considered “high risk” by traditional banks. Leverage our staff today, and let us service your credit card processing needs.
List of industries considered High Risk
|Tobacco and electronic cigarettes|
|Drugs and drug products (including prescriptions)|
|Airline, travel, tourism and lodging|
|Debt management and collection agencies|
|Foreign exchange (Forex)|
|Dating and escort services|
|Timeshares and holiday clubs|
|Casinos, gambling or gaming|
|Check cashing services|
|Cigarettes, e-cigarettes, or vape retailers|
|Coupons or rewards-points programs|
|Credit protection, counseling, or debt repair services|