High Risk Merchant Accounts
No two businesses are exactly the same. The services or goods being offered may differ, or each can cater to a specific customer demographic. One business selling shoes may only sell at a brick-and-mortar location while another shoe seller may only peddle its wares through mail order or e-commerce, or all of the above. Merchant account providers also look at businesses differently, and one important distinction is being labeled as a “high risk merchant.” The consequences of being considered a high risk merchant can mean higher rates or being unable to secure a payment processor at all. A lot of big banks have no interest in helping high risk merchants, but Merchant Processing Advisors is different. We specialize in high risk businesses and act as an advocate on your behalf. Such businesses are used to hearing “no” for an answer, but MPA only offers solutions.
You would be surprised at what is considered a high risk merchant. Businesses like auction houses, real estate firms, pawn shops, credit counseling, mail order, and even online stores on Amazon and eBay are considered high risk merchants. There can be several reasons for this. One reason is that your business is based offshore, or it could be that your industry is known for a higher percentage of fraud or chargebacks. There are some obstacles that high risk merchants may face, but Merchant Processing Advisors is here to help.
One area of concern is that high risk merchants will likely have to pay a higher rate for a merchant account provider. This may be unavoidable, but Merchant Processing Advisors has affiliates throughout the entire world. We may be able to find an account provider that does not consider you a “high risk” at all. At the very least, we will be able to offer you rates from multiple merchant account providers. When processors compete, merchants win! We can help you choose the right one to get the lowest possible rate along with cutting edge state-of-the-art products & services.
There are other issues facing high risk merchants that Merchant Processing Advisors can help navigate safely. Some providers may require a rolling reserve from the merchant, which means a percentage (usually between five to ten percent) of a sale is held for a short time to build up a cash reserve to cover any future chargebacks that may occur. MPA can negotiate, help you fully understand this program, and plan accordingly. Merchant Processing Advisors can also help high risk merchants by ensuring that they are not taken advantage of by hidden fees or murky terms of service that are hidden in the fine print. We will thoroughly review every detail of an agreement and make sure that every requirement is clearly spelled out and understood by all. There are unscrupulous people out there who use the market to take advantage of high risk merchants who are just looking for some help, but Merchant Processing Advisors acts as a shield.
Call us today to stop hearing “no” and begin hearing solutions.