04 Feb

By Sienna Harper

Category: best high risk merchant account provider, best high risk merchant services, high risk merchant account provider, high risk merchant account solutions, High Risk Merchant Accounts, high risk merchant payment processor, high risk merchants uk, high risk payment gateway uk, High Ticket Merchant Account, High Volume Merchant Accounts

High-Risk Payment Processing and its advantages. Comments Off

High-Risk Payment Processing and its advantages.


High-Risk credit card processing is a tricky term. Any business no matter how big or small they are should have the option of paying with credit/debit cards. Especially for e-commerce businesses, online payment option is the only solution. To have a payment solution for your business, you have to approach a bank or a merchant account provider who is also a high-risk payment processor. The Bank or the Merchant account provider studies the nature of your business, and review all required KYC documents. Based on their initial review, they will decide whether your business falls into high or low-risk business.

Generally, high-risk businesses are those which brings along with them a lot of financial threat to the acquiring bank. One of the prime reason is chargebacks. While other factors such as the legality of the goods and services offered, questionable marketing practices, as well as a bad credit history too, play a vital role in determining whether your business falls into the high-risk category and requires high risk payment processing.

Many processors will simply refuse to approve a high-risk merchant for a credit card processing solution while others will charge significantly higher rates and fees than you would otherwise have to pay. Unfortunately, there is also plenty of high-risk payment processor that deliberately market to high-risk businesses that are struggling to get approved for a high-risk credit card processing solution, only to rip them off with outrageously high fees and rates, as well as stringent contract terms.

Having a high-risk credit card processing solution can enable a business to maneuver around most high-risk payment processors. They can do it by providing similar services for processing payments using cards at very reasonable rates.
Besides that, high-risk credit card processing solution also has some benefits of its own.

1) Minor issues Whenever a Chargeback is filed

Having a low-risk merchant account also has its own risk: a high volume of chargebacks can result in immediate suspension of an account, which is terrible for any business. But on the other hand, if the merchant account is high-risk, the high-risk payment processor will be aware of any potential danger that might occur beforehand. When someone uses a fraudulent card, or when a chargeback happens, the loss of an account won’t affect the business. The high-risk payment processor will have the business taking its preventive measures instead to protect it against any form of fraud.

For high-risk credit card processing account, the high-risk payment processor will simply require a business to hold a reserve fund to fill in and prevent chargebacks from affecting a business industry’s overall progress. The average rolling reserves vary from 5-12%. What the high-risk payment processor requires as a reserve amount is entirely dependent on various outlining factors when the high-risk credit card processing account is opened. It is also a requirement for the account to contain a specific amount of money for a particular period. Although it is considered to be a problem for most businesses, they are still necessary for high-risk credit card processing accounts.

2) Higher Security Standards

To get rid of every deceptive credit card is impossible, it is attainable to catch them using indicators and several other detection plans.
Many high-risk credit card processing accounts use a trustworthy set of strategies for detection in the transaction phase. Such set parameters will determine whether or not the card is genuine. These methods can also protect the business, the high-risk payment processor, and the card’s owner from fraud. Lesser deceitful transactions take place, the better it is for your business. Most of the high-risk payment processors use very secure high-risk payment gateways which have additional security features to save your account from fraudulent transactions.

3) The road to Bigger Market Opportunities

Applying for a high-risk credit card processing account permits you the opportunity to establish and create an online sales website. Your website will serve as a digital medium for offering and promoting products to any potential customer who has access to the internet. Without a website, any business will only limit itself to a local market, restricting its own growth and revenue. Whether it’s a product sold, or service acquired, it really doesn’t matter at all. Obtaining high-risk credit card processing will generate more customers who prefer to conveniently and safely secure their credit/debit cards.

To apply for a High-Risk credit card processing account just fill out our online application form and we’ll get back to you and help you save time and save money. IPAYTOTAL is here not only to provide you with a high-risk credit card processing account but also to assist you and help you anytime (24/7).

Whether you are planning to start a new business or need help to expand an existing business, we can help you. Our highly experienced and well-educated team, with more than a decade of experience in the industry, are always ready to help in giving you payment solutions to start your new business with safe and secure policies and also to expand your existing business.

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