A PayPal Alternative For High-Risk Businesses

Feb 03, 2020

PayPal is without a doubt the most popular, most ubiquitous payment provider worldwide. Its impact continues to grow so much that a survey conducted by Statista indicated that in the third quarter of 2018, Paypal had amassed 254 million accounts from around the world, a far cry from its humble beginnings of only 84.3 million in the first quarter of 2010.

It is the most favored provider for low-risk businesses due to: no setup fees, secured transaction reports, lower online fees, easy integration with most shopping carts, and reasonable prices for merchants.

However, as mentioned before, these benefits are only available to low-risk merchants. Although many financial institutions and payment processors steer clear of high risk merchants, PayPal does not expressly reject high risk merchants. But, high-risk merchants need to proceed with caution as entering with an agreement with Paypal will cost you.

One of the most common complaints high-risk merchants have against PayPal is that they hold funds for too long, taking even longer to have the funds deposited into their checking account. If you have to request funds from your PayPal account, the transfer can take up to five days. This will not work as a business is entirely dependent on cash flow to operate properly. Lastly, if PayPal has the slightest suspicion that you might have some fraudulent sales due to chargebacks, they will freeze your account or outright shut it down.

None of this will fare well for our high-risk merchants trying hard to fight for its existence. So what is the high-risk merchant to do? Luckily there are alternatives to the behemoth that is Paypal. One PayPal alternative for high-risk businesses that comes to mind is eMerchantBroker.com or (EMB).

Specializing in high-risk merchant accounts, EMB has no application fees or setup fees. You don’t need to have your own Visa and Mastercard registration. And they have 24/7 support for any questions you may have.

Some of the high-risk industries that EMB proudly serves include: tech support, gaming, nutraceuticals, adult entertainment, debt consolidation, airlines, gambling, and many others.

High-risk merchant account providers are notorious for burdening their high-risk merchant clientele with outrageously high rates and fees. They also trap them into contracts that are just as expensive to break free from. Not so with EMB. They are known for being more honest and transparent when working with high-risk merchants.

Merchant account providers also distance themselves from exposure to fraud by prohibiting certain industries from utilizing its services. However, EMB differentiates itself from other high-risk specialists by having a shorter list of prohibited industries.

EMB also offers its very own payment gateway called the EMB Payment Gateway. It can accept multiple types of currency. To facilitate access and usage, the gateway comes equipped with a web portal interface as well as reports, which can be personalized for specific needs.

Unless you are running a fraudulent operation, EMB will more than likely approve your account. In fact, they boast a 99% approval rate for all their applicants.

EMB provides customer support via telephone, email, and live chat and they have an excellent, reputable sales team.

In Conclusion

Although PayPal is one of the most common options that merchants use to process credit card payments, that doesn’t mean that high-risk merchants will fare well with this option. You want to go with a provider that will treat you, the high-risk merchant, as an equal and enjoy just as many benefits as your low-risk merchant counterparts.

Award winning.

  • 2012
  • 2013
  • 2014
  • 2015
  • 2016

Having a merchant account allows an account holder to take advantage of merchant cash advances. When a merchant is approved for an advance, the business agrees to receive a lump sum of cash in exchange for an agreed-upon percentage of future credit card sales.

Pricing varies depending on the merchant’s industry, past credit card processing history, the type of business seeking the account, average ticket sales, and average transaction volumes.

Yes, EMB works with merchants who are building their credit, as well as those who have poor credit. EMB also approves merchants that have no credit card processing history and businesses that have lost their merchant accounts due to high chargebacks.

Several factors influence a merchant’s risk level. Though only one factor likely will not get a merchant classified as high risk, a combination of these may: business size, location, and industry, credit score, credit card processing history, a industry’s reputation for excessive chargebacks, a prior history of high chargeback ratios, and whether a merchant exclusively sells online.

Virtual terminals are stationed on a merchant’s website, making it easy for customers to make a payment or purchase online. Merchants or a payment processor can easily set up virtual terminals, so online businesses can accept credit and debit card and e-check transactions.

A merchant account is a business account with an acquiring bank. Without this business account, which actually works more like a line of credit, a merchant cannot accept and process credit and debit card transactions. Businesses need a merchant account to accept major credit cards via a static point-of-sale terminal, mobile card reader, or through a virtual payment gateway.

After filling out EMB’s simple online application and submitting any necessary, requested documents, many merchants get approved within 24 and 48 hours.

EMB specializes in working with high-risk merchants. EMB works with many merchants, including but not limited to businesses in these industries: gambling and gaming, adult entertainment, nutraceuticals, vaping and e-cigarettes, electronics, tech support, travel, high-end furniture, weight loss programs, calling cards, e-books and software, and telecommunications.

Live Chat