The Forex market is one of the largest, most liquid markets in the world.
Statistics reveal that in general, more than $5 trillion are traded on average every day.
A recent Survey showed that in April 2019, trading in Forex markets reached $6.6 trillion per day.
Despite its remarkable growth, it is still challenging for Forex merchants to obtain payment processing alternatives for Forex businesses, mainly due to its classification as a high-risk industry.
The biggest challenges for the Forex industry as a high-risk business
Many Forex merchants make the common mistake of applying for a traditional merchant account without knowing that their business is flagged as high risk. The main challenges they face to obtain a merchant account are due to several reasons, such as: —
High average transaction amounts
Transactions in the Forex industry are usually very high since it deals with different currencies. There are many fees involved also, which is why foreign exchange companies earn large revenue from each customer. These high average transaction amounts make the industry a risk because of the possibility (and reality) of fraudulent activity as well as a higher chargeback ratio. use of fraudulent activity and a higher-than-normal chargeback ratio.
A large volume of chargebacks
Forex brokers face the problem of a high volume of chargebacks around the world. It has been a problem for all types of business. However, the foreign exchange industry is likely to attract a significant volume of chargebacks due to its nature and its wide range of transactions.
It is an international business
As an international merchant, you must deal with currencies outside the UK or USA, and Forex is all about international transactions. However, financial institutions do not provide merchant accounts to this type of business. Only experienced Forex merchant account providers, such as iPayTotal, can offer you a Forex merchant account.
The payment solution for Forex trading companies
A high-risk merchant account specially designed for Forex traders is the best alternative to overcome the forex industry’s challenges. At iPayTotal, you will find customised solutions for your forex business’s needs by a team of experts.
iPayTotal can also help through the regulation process. Once you have your licence, we can help you obtain a reliable and affordable Forex merchant account. We have a complete set of solutions for Forex businesses to accept and make payments quickly and efficiently.
Finally, you will have a customisable fraud protection system to keep your transactions safe, be able to integrate with major shopping carts, process payments in multiple currencies and much more.
Contact us at iPayTotal and find out more about our customised solutions for Forex traders.