Introduction
There is a difference between high-risk and low-risk merchant account and the criteria for differentiating the merchants as high-risk or low-risk differs from providers to providers. However, there are some rules that classify both kinds of businesses as such. There are several indicators of low-risk merchant which is dependent on the account provider’s favourable scrutiny of the businesses and it most of the time comprises of – working with only single currency, selling of products that are low-risk like the books, clothing, household goods and so on. Learn more on, instant approval high risk merchant account and know whether you want to open a merchant account. Other important points to ponder on are, having a well-set up business which has been around for several years. An income of less than 15,000 pounds per month.
Some Points to Consider
Next, the average credit card transaction is not more than 50 pounds, a very less chargeback frequency the use of 3D technology to stop the fraud, are some of the crucial characteristics of high-risk merchant and may also differ but mostly comprise of the following – several currencies accepted, a completely new business, bad reputation due to the nature of the business, service or products, poor credit rating and fiscal instability, a high chargeback and fraud rate, the average monthly sale volume is more than 15,000 pounds, or the average credit card transaction is more than 50 pounds. There are many merits of high-risk merchant account. Let’s look at some of them.
High-Risk Merchant Account Merits
The first and the foremost merit is of flexible choice for accepting payments. Another thing, you ought to know is that high-risk merchants are not stopped as low-risk merchants but are with the kind of revenue which they can collect by debit card or credit card. For instance, they can sell a huge range of services and products, they can collect the recurring payments, they can process high sales volume for a different sale and also, launch events. Also, you should note that there are low risk merchant accounts which can permit the options above and they can enhance the chances that the merchants may require a high-risk account. Next, merit is the ability to take international transactions that is accept it. Similar to accepting a huge array of payments, a high-risk merchant are not limited as low-risk merchants when it comes to taking international currencies and transactions from outer countries. This provides a good base for eventual business enhancements and expansions into global markets.
Choosing a High-Risk Merchant Account
Selecting a provider that is familiar with your business or industry has some benefits. They will be more understanding of the typical transaction kinds and what are they like, and it is possible that they may better be equipped to identify fraudulent activities.