HighRiskPay.com is one of the leading High Risk Merchant Account providers of credit card processing & payment gateways to businesses with bad credit.
High risk businesses are ones that sell items that fall into areas such as adult entertainment, online gambling, ticket sales, or medications. While the products sold and services provided are completely legal, these items come with a higher risk of theft.
Major credit card processors tend to stay away from giving high risk businesses the power to process credit cards because of possible false refunds and stolen cards. These credit firms also want to avoid the issues that come with a high risk merchant account. Some card processing companies feel they’ll lose larger customers if they offer high risk card processing services.
No Setup Fees!
Privacy Information: Your contact information will not be used for anything except contacting you regarding the question or comment you have.
Some companies are ones that credit card processors typically won’t serve:
These types of businesses and others like them have to use a high risk bad credit merchant account to process credit cards. Indeed, customers like the safety and ease of using a credit card both online and for purchases over the phone.
For a business to make sales and profits, a business owner needs to accept credit card payments. Otherwise, customers may go somewhere else to buy the product or get the service they require. Ask yourself if lost sales are worth not taking credit cards or using an undependable external processor.
Sadly, customers can buy products without paying for them. They may use stolen credit card numbers and later deny the charges took place. For a business, the result is lost income and product in cases where credit card banks back up their customers.
While these situations are common for any operation that accepts credit as a form of payment, some industries come with more risk than others. Credit card processors like to limit their exposure. Some won’t offer high risk merchant accounts to business owners. You could be in a tight spot to keep your customers happy and profits high.
Fortunately, many people who buy goods and services with a credit card intend to pay for their purchases. Not every transaction is a false one. But, a 5 percent return rate is too high for many banks. Banks can close an account of a merchant who has too many refunds and stolen cards during a certain amount of time.
Even if 95 percent of credit card purchases go through without problems, the risk is still too high. The amount is not enough for a credit card processor to keep the account open. In turn, the business loses the ability to accept credit cards when the account closes.
Why should you open a high risk merchant account, especially given the trouble that could come with taking credit cards? While you can boost your sales, turnover, and profits by accepting credit cards, you gain more as a business owner. You add a layer of respectability and trust to your business.
Customers think of a business that accepts credit cards as credible and well established. People get the feeling that a business isn’t going to close and disappear when least expected. Customers also know that you’re going to keep the doors open, and you’re willing to help them through all aspects of a sale.
Accepting credit cards can also increase your customer base. You’re no longer restricted to your home area or region to sell your products and market your services. With a high risk merchant account, you can reach customers that live all across the country and around the world. Limit the places you’re willing to sell and ship to, but you can grow your customer list to a size you may not otherwise have thought possible. Accepting credit as a form of payment can make these benefits possible.
A high risk merchant account lets business owners accept all methods of payment. You can give customers the option to swipe a card at a physical location, call in an order and process a card not present for the transaction, or pay through a secure payment system on your business website. You give your customers the freedom to shop at their convenience through an online shopping system. In return, all you need to do is fill the order and make sure the customer gets it.
What about fees? High-risk merchant accounts can have higher taxes and restrictions on it. We don’t punish customers for being in a business that presents a greater risk for more theft or refunds compared to other companies.
Through HighRiskPay.com, fees are similar to traditional card processors. In return, you as a business owner get many ways to accept credit cards for transactions. You’ll have the pleasure of serving your customers, and you make transactions convenient for them. Read more; What is a merchant account for e-commerce.
In an economy based on best ecommerce merchant services, high risk businesses that can’t take credit cards as a form of payment have a weakness. If conventional processors or lenders think your merchant services are high risk and won’t give you an account, you’re not out of luck. High risk merchant accounts let you accept cards and get the benefits of it without having to go out of pocket.
Take the time to think about what a high-risk merchant account can offer for you and your business. Remember, this account type can help you give your customers multiple payment options.
Your business may be in a high risk industry, but you gain respect and trustworthiness when you can accept credit cards. Customers view you as a reputable business, and they are more willing to buy products and services from you. When your business has the backing of a high risk merchant services provider, you can feel better about reaching your customer base and making customers happy. A high risk merchant account can mean the difference between making sales and struggling for sales with your clients.
We are a team of high-risk merchant account providers comprised by talented experts who can help you find a payment solution for any business:
Your business is unique, and your high-risk payment gateway should be, too. No matter what industry you’re in, we have a payment and retail solutions for you so that you can satisfy customers and keep them coming back for more.
If you’re an eCommerce merchant, you’ve most likely heard of both payment gateways and merchant accounts. In fact, you need both to effectively run your online business and take payments from your valued customers.
A payment gateway is technology that connects merchants and payment networks. It integrates with your online store so that you have more online credit card processing capabilities. It then captures those payments for transactions and transmits that information to a payment processor or acquiring bank. An approved or declined message is then sent to the merchant.
Not all payment gateways are created equally, however. Many go beyond their standard function and offer other services:
Many customers now shop online with Paypal or eWallets, so it’s important to have more than just a credit card payment gateway.
Every time online businesses accept payments online, they are at risk. If your fraud level gets high, your business may be negatively impacted by chargeback fees and penalties. Payment gateways with strong fraud detection can prevent these problems.
Having detailed data about payments can help you make better and more informed business decisions. Your payment gateway for high-risk businesses will give you access to a variety of payment analytics. These reports can show you which payment processes your customers favor, or which ones they encounter trouble with.
Running your business can be difficult if you can only accept cash. Getting a merchant account can be difficult for some types of businesses, which is why you need to work with a company that offers high-risk merchant account services.
Obtaining final approval for a high-risk merchant account typically takes a lot longer than one for low-risk companies. Approving high-risk businesses requires extensive investigation into credit history, which is why instant approval is so important.
Instant approval typically takes around 24-48 hours, which is a lot faster than many other timeframes for merchant accounts. Instant approval can be extremely beneficial for businesses who need to be able to take credit cards online. Since it can be difficult for people to purchase a product without a card of any kind, it’s important for a business that needs to sell its products to be able to take those sales and begin shipping.
Work with a partner with a proven track record of experience in your industry. We’ll make sure to answer all of your questions before the process begins so that you’re completely comfortable working with us.
You’ll need to provide us with a lot of information. Having your papers ready during the initial application can save you time during the approval process. Scan all required documents so that you can email them to us as part of your application.
No matter what you sell, it’s important to be honest about your business. We understand the desperation to get approved for a merchant account, but the more honest you are with us, the more helpful we can be. In many cases, you can still be approved despite having negative information to share.
Depending on your industry, you could enjoy fees as low as 1.79% with a $0.25 to $0.50 transaction fee per swipe plus a $10 monthly fee. On average, many industries find themselves at 2.95% with a $0.25 transaction fee with a $10 monthly fee.
When you compare these high-risk merchant fees to low or non-risk credit card processors, you won’t see much of a difference. Merchants usually pay 1.5% to 2.9% for swiped credit card payments and 3.5% for keyed-in transactions. Even popular apps like PayPal take a more substantial cut with an average rate of 2.9% plus a $0.30 transaction fee for merchant accounts.
Some businesses believe they can outsmart credit card processors by not completely disclosing the nature of their business. In other cases, they only reveal the safer side of their business. For example, an online tobacco dealer might report that they sell pipes, lighters, and other accessories.
This seems like a relatively safe risk, so the company hopes the credit card processor approves their application. Once approved, that business can accept credit card payments for tobacco, something merchants typically view as high risk.
While this may seem like a successful way to beat the system, it won’t work. Credit card processors are notorious for doing their research and examining your business. That means they are likely to discover your deception. If they decide to do a full audit, you’ll have to spend a great deal of time and money, not to mention deal with the stress of the ordeal.
In the end, these companies will drop merchants who weren’t honest. Just like having an eviction on your rental history can make finding a new apartment difficult, being removed from one credit card processor for falsifying your application can make it challenging to find another option.
Merchants who want to get approved should be completely honest on your application. Even if you can get away with using a non-high-risk merchant account, you won’t have the best protection for your business. You want to work with a processor who understands the needs of high-risk merchants.
Merchants who try and sell to other businesses are known as business to business (B2B). This could be anything from payroll processing to office supplies to motivational speaking. Instead of selling products directly to the consumer, B2B companies go after other companies to offer raw materials, finished parts, service, and consultation. For example, an online tobacco and cigarette sales company might focus their efforts on selling to retailers as opposed to customers.
Business to customers (B2C) offer products and services directly to customers. This is often what people think of when they think of businesses. Every industry has an example of B2C companies. This is true in the high-risk merchant world as well. For example, fantasy sports websites, travel agencies, and credit repair firms may all offer services directly to individuals. Merchants do this constantly when they stand outside of a shop trying to get customers to come inside their stores to take a look.
The term enterprise is just another term for a for-profit business. It is most often associated with entrepreneurial ventures. While nearly any business structure can fit the enterprise definition, enterprise companies are often new and growing. More and more enterprise companies are started by merchants launching in the tech and online space, among other places.
Some would argue that small and medium-sized businesses are the backbone of the U.S. economy. In a world where more people expect to shop online, and fewer people carry cash, accepting credit cards is one of the best ways to ensure your company can grow.
When commercial transactions take place via the internet, it’s considered eCommerce. Most industries have found ways to either operate in a virtual space or receive payments online. Your company doesn’t necessarily have to have an online store to be considered eCommerce. A travel agency, for example, might simply take deposits via an online invoicing system.
There is a common misconception that businesses need either a payment gateway or a merchant account. These two gateways serve entirely different functions. To best serve your customers, it’s often necessary to utilize both.
A merchant account is a holding account where information about payment transactions is collected. If you accept credit card payments, your merchant account is where funds are held. The actual funds are not passed on to your business bank account until those funds are verified.
A payment gateway is the link that makes the connection between a customer’s bank account and your merchant account. This connection is what allows funds to flow into your merchant account after a payment is cleared.
One way to think about the difference between these two options is to consider a public transit system. A merchant account is like the main bus station, while the payment gateway is like the various bus lines that connect the main bus station with your customers’ banks. Each payment transaction is like a bus. For the payment to get from your customer to you, it has to travel through the bus line to arrive at the main station.
There are tons of different credit card processors on the market, including those who work with high risk merchants. Before you apply with the first one that appears in a search, make sure you explore options and research each company you consider. Sadly, not all high-risk credit card processors are created equally, so you’ll want to get the right fit for your business.
Here are some things you should consider when exploring your high-risk merchant account and payment gateway options:
If something happens that impacts your payments or ability to accept payments, your business could suffer severe loss. High risk merchants want to work with a company that not only responds to your concerns right away, but that can offer your high risk business an assurance that they will address every issue.
No two businesses are the same, even if they are similar industries. That means there is no one-size-fits-all credit card processor. Merchants will be best served by a processor who can customize their approach to meet your needs. Flexibility will go a long way to making your business succeed.
If you find a payment processing company that doesn’t advertise their prices or make it easy to get a quote, run away. The processor you choose should have clear information regarding their pricing structure and fees. Take the time to understand how they charge and if there are any hidden merchant fees involved.
To keep up with the ever-changing technological landscape, you should avoid processors who are still living in the past. Ask for the payment platform’s API so you can have control over the setup and payment process. Make sure they know what they’re talking about and have plans to keep up with updated applications and technology.
Ask any potential payment processor about their security, anti-fraud tools, and policies. Your processor should adhere to strict security rules and have a powerful chargeback prevention system to avoid those looking to take advantage of the system.
Always check to see how long a company has been in business and who is in charge. Look for online reviews or even try to have a conversation with one of their clients. Understanding if they have the right expertise will make it a far easier decision to do business with them. Merchants should ask direct questions to help gauge the other party’s knowledge.
Before you sign the final deal, make sure to read it in full. It’s even worth hiring a lawyer to help make sure the contract is fair. Merchants also want to know about options if you decide it’s not a good fit. Make sure to fully understand the payment company’s terms.
Every company is going to have a different process to apply, but the process is often similar. To start, you’ll fill out an application online. To best prepare for this application, you should prepare several items:
The payment company with whom you apply to do their work to evaluate if your business qualifies for a high-risk merchant account. If you have an unfortunate history of fraud, a high chargeback ratio, or have been dismissed from other payment processors, you may have difficulties getting approved.
Payment companies are going to look at applications on a merchant-by-merchant basis. That means their decision may be based on other factors. Make sure to be organized, detailed, and honest in your application.
Merchant account providers follow specific criteria to determine if an account is a high or low risk. Every payment processor uses its own set of guidelines, but there are some commonalities to consider.
Low-risk Merchants
High Risk Merchants
A high-risk account is a bank account or payment agreement that is connected to a business that is considered high-risk. The business itself is not a risk and may offer completely legal products, but the products are associated with higher levels of theft and fraud, which makes them a risk.
A high-risk business is one that sells items that are legal but have a high risk of theft or fraud. These businesses can include online tobacco and cigarette sales, electronic cigarette and vape shops, adult entertainment venues, eCommerce businesses, debt collection agencies, non-licensed ticket brokers, and fantasy sports websites.
A high-risk payment is a payment that has been sent to a high-risk business or is being processed for a high-risk business to buy their products. These payments have a higher possibility of being returned or canceled. These chargebacks cannot always be processed.
