If we talk about International Merchant Account, there are different account types which could be categorized into three slots according to their business nature. Every account has a diverse requirement for processing credit card hence the solution is also different for each category. Businesses are generally categorized into following:
- Low Risk – Consulting, Tutoring, etc.
- Medium Risk – Jewellers with CP transactions.
- High Risk – Travel and Tourism and Online Gambling etc.
Risk is gauged by various parameters. Merchant, whosoever has an active business running and is looking to get an International Merchant Account assessment. The risk assessment of a merchant concludes the deposit requirements and the rates. Moreover, it also concludes what should be the rolling reserve and fees. On the other hand, International Business Account comes with a lot of benefits like accepting multiple currencies, accepting credit card processing, increment in sales, the better way to manage the cash flow, preventing bad checks, etc. A merchant can offer multiple purchasing options to the consumers depending on their convenience. Besides, the merchant can be much organized in terms of cash flow management.
Common Characteristics to determine the risk level
As mentioned earlier “risk is generally measured by various parameters”, so every bank has their own way of calculating risk ratio, however, below are some of the common characteristics on which the banks determine the risk level.
• Business Registration.
In order to obtain an lo, the Business Registration is one of the vital information on which risk level can be measured. The point is to find out which country has registered the business.
• Financial Past.
The past financial history of a merchant is the main factor to measure the risk level and obviously the major part for the underwriters to conclude.
• Processing Statement.
Past record with any bank or the financial institution is sometimes very essential and depending upon the business category the underwriters may ask for it. The processing history helps underwrites to understand that they have been assessed earlier & any new banking partner can also take this into the consideration and show faith while applying for International Merchant Account.
• Shareholder’s/ Director’s Residence country
Apart from the business registration country, the director’s & shareholders country for residence is equally vital for the risk assessment.
• Business Volume and Processing.
The business volume and processing is most important of all, which allows the bank to choose if they are even willing to the work parallel with the business.
The dedicated facility offered to merchants by business account processors
Business Account Processors provide International Merchant Account along with the Payment Gateway to make hassle-free transactions. They allot the multi-currency payment processing platform optimizing funds in the desired currency. Smooth integration is one of the best features which is initiated and completed within a fraction of minutes and doesn’t require much of technicality. Along with mobile optimized payment page, you can now experience the same functioning experience that one has on computers. The processors understand how critical could be payment processing with high-risk businesses and with the best technology they try to simplify the online transaction process with a minimal chargeback.