Before your business can accept transactions from customers, a merchant account is necessary to process payments successfully, especially for high-risk businesses. However, not all businesses are granted a merchant account due to risk indicators for which traditional banks deem too risky to support.
Such businesses, in order to compete in their field, seek payment solution companies who have the right connections with suitable acquiring banks or entities that can support high-risk businesses. — It is through this relationship or partnership that such businesses can receive a merchant account (MID) and begin accepting online payments.
iPayTotal, a premier UK payment solutions company, has offered insightful information for merchants and businesses requiring merchant accounts.
One of iPayTotal’s leading payment solutions experts, Oluwole Bamidele, Head of Operations at iPayTotal (Africa), provided key information that explains the delicate and important relationship between merchant services providers and acquirers.
The importance of a good relationship
Acquirers who provide merchant services companies with acquiring solutions ought to be in good standing so that merchants receive the best possible offers.
“This also smooths out our working relationship,” Bamidele says, “providing an easier placement solution for our merchants with quick issue resolution, while ensuring that negotiations are easier, providing our merchants better solutions offered by the acquirer.”
By selecting the right acquirer means selecting the most cost-effective solution for the payment solutions company, which is then passed on to merchants, enabling companies like iPayTotal to be in a position to offer the best rates.
Bamidele explains that it is also a good idea for merchants to have relevant good transaction and chargeback history, which would afford a far better deal from the acquirer’s side.
Not all payment solution companies can offer global support because not all these companies have strong relationships internationally.
“Thankfully, and through our special rapport with our acquirers,” Bamidele says, “we work with more than twenty acquiring banks and partners across the US, Europe, the UK, Asia, LATAM and Africa.”
Owing to the nature of a specific merchant account, there will naturally be a need for specialised acquiring banking solutions that can support such enterprises. Unfortunately, not all acquirers can support all verticals due to risk appetite as well as jurisdiction limitations.
“However,” Bamidele says, “one of the advantages in working with iPayTotal is that we have secured partnerships with multiple acquirers. This means,” Bamidele goes on to explain, “we are able to act as a liaison among such multiple acquirers, ensuring that our merchants are placed with the most suitable acquirer.”
Top security features
Besides the specific SSL-encrypted requirements a payment solutions company ought to have in order offer a payment gateway to its merchants, the acquirers themselves also have security systems in place to ensure safe and secure transactions.
In addition, before an acquirer can underwrite for a merchant, they ensure that all checks are compliant. They also have regulatory systems in place in compliance with VISA and Mastercard schemes.
“iPayTotal works with our acquiring partners to collate this information for auditing purposes,” Bamidele explains, adding, “and we implement internal risk management and transaction monitoring for our portfolio of merchants.”
Optimal support for merchants
In addition to the abovementioned benefits merchants receive, payment solution companies also have specific criteria through which they utilise in order to select the right acquirer. Some of these include: —
- High acceptance rates to enable the appropriate conversion rate for transactions.
- Available card schemes for authorisation to ensure successful processing of transactions.
- Support for multiple currency processing.
- Easy and streamlined technical integration, with preference for API integration.
- Timely settlement options to ensure merchants have enough liquidity for normal business requirements.
Moreover, as Bamidele explains, iPayTotal has something unique to offer its merchants in that it has its own payment gateway, designed in-house, to ensure secure payment processing, which is integrated with the merchant’s website.
“The payment goes through a number of checks,” Bamidele says, explaining the importance of security, “checking for fraud, and only once the merchant has accrued enough money through successful transactions, will they be paid through the relevant payment method such as FIAT or Crypto.”
Finally, the length of a relationship is important to note when choosing your payment solutions provider because it speaks volumes about solidity and reliability of the merchant services provider.
“We are confident and desire to share this confidence with our merchants and future merchants in the knowledge that we still have the same, strong relationships with our acquirer banks with which we started working three years ago,” Bamidele concludes.
For more information about iPayTotal’s merchant services solutions as well as its acquiring banking solutions, contact iPayTotal on +44 800 776 5988 or email firstname.lastname@example.org.