If you want to open a high-risk merchant account but are confused about how to get it? So we will discuss everything about a high-risk merchant account in this blog.
What is a High-Risk merchant account?
A high-risk merchant account refers to a business account designed for high-risk businesses. Businesses that have a higher than average transaction rate are considered to be at greater risk for fraud. A high-risk merchant account can help you to reduce the costs of chargebacks, returned charges, and other charges from fraudulent transactions and bad credit merchant accounts. You should also be aware of the differences between high-risk and low-risk merchant accounts.
Let us explore the differences between Low risk and High-risk merchant accounts?
Before applying for a merchant account, you must know the differences between high-risk and low-risk merchant accounts. So these are some differences between low and high-risk merchant accounts that you should know:
Low-Risk Merchant Account
The credit card transaction average is $500Minimum returnsThe monthly sales value should be less than $20000Zero to low chargeback ratioThe business in which merchants operate is considered low risk.
The credit card transactions are higher than the average $500The monthly sales value are more than $20000Excessive chargebacks and poor credit historyA business sells products and services that have high levels of fraud.
Examples Of High-Risk Industries
Sometimes, a business is suffering from the issues like chargebacks, returns, or fraud, increasing financial risk for the providers. Here are some examples of businesses that are considered high-risk industries.
CryptocurrencyAdult entertainment and dating servicesCasinos for online gamingPrepaid debit cardsPharmaceuticals and online drug providersTobacco/E-cigarettes/cannabis productsTelemarketing salesAirlines, accommodations, and ticketing agentsSubscription services Financial counseling/credit repair/debt reduction
If you want to apply for a high-risk merchant account. You will have to find a reliable high-risk payment platform like Amald to accept card payments. Then you will need to fill out an application form online to get a merchant account of high-risk. The process of applying for a high-risk merchant account is so easy. Like, if you choose Amald as your payment partner. We will help you to find a bank. That is suitable for your business requirements. And if the acquiring bank approves your business. Then you will be able to start processing payments online.
What Factors To Know Before Applying For Merchant Account?
There are a lot of factors that you can consider when looking for a high-risk merchant account. Some important factors which you should know are as follows:
Customer Support. When anything happens bad on your website or you have stuck somewhere, you will need someone ready to help you. At Amald, we will assure your business that every issue will be addressed.Flexibility. At Amald, we will integrate many payment features that fulfill all your business requirements. And especially when you run a complex business. You can also discuss the costs, conditions, and features they will provide to your business.Transparency in Costs. You will have to search for accurate details about the costs and the potential added charges. You will have to make sure that there are no hidden or extra charges.Technology. You should ask for the payment platform API so that you will have full control over the setup and the payment process. The factor that also matters is rapid onboarding. And payment intended for users, without downtimes.Experience. You will have to research how long a payment corporation has been working in the market and the background of that corporation. Moreover, you should have information regarding its knowledge and experience. And it will ensure you that the payment gateway platform with that you are going to work is reliable. So your money will remain safe.
Let Us discuss the main Advantages Of A High-Risk Merchant Account.
Some benefits of a high-risk merchant account are as follows:
It helps in expanding your business. You can sell products or services with the help of a high-risk merchant account. And which is not enabled when you have a low-risk merchant account. So, it will provide you with long-term growth.Increment in Profits. With having a wide range of products, you can increase the chances of earning more money.Chargeback Prevention. It will provide you with a big chance of keeping your high-risk merchant account in perfect shape. For example, when a merchant crosses the chargeback ratio with a regular account. It may end up with the ended amount. They need to look for a high-risk merchant account. It will provide you with a chargeback prevention feature. And it does not mean that you can ignore chargeback management.Expand Globally. If you have a high-risk merchant account, the performance of your business will increase by accepting the transaction in various currencies. And selling services or products to customers outside nations that are considered low-risk. So it means that you can access large markets.
If you are going to apply for a high-risk merchant account with Amald, it can be a good idea. You will get a lot of benefits if you are going for Amald. Also, it is an independent payment processor company. We have great experience in providing payment services to the merchant account. And you can contact us anytime.
Visit Page : International Merchant Account, Online Credit Card Processing, Offshore Merchant Account