Choosing the Best High Risk Merchant Account Provider

Aug 14, 2017

In the modern world of business, it’s become so much important to be able to accept credit cards. According to a 2016 survey by one of the payment processors, which included 1.000 consumers, 40% percent chose credit cards as a safe payment method, while 35% selected debit cards. Only 11% percent preferred cash. Consumers’ preference for credit cards grew by 5% over the same survey’s results from 2015, while the results for debit cards fell by 65.

According to Federal Reserve, in 2015, Americans made 33.8 billion credit card transactions (up 3.1 billion from 2012), accounting for $3.16 trillion (up $0.61 trillion since 2012).  In 2015, Americans made 69.5 billion debit card payments (up 13 billion from 2012) with a value of $2.56 trillion (up $0.46 trillion from 2012).

To process credit card transactions, it’s critical for merchants to find a reputable payment processor to turn to, and this can be more difficult than you might think of it. Finding a respectable processor can be of a challenge especially for those businesses that are classified as high risk.

The reason why your business is considered as high risk is that it presents higher risks of fraud to the processor. Your business can also be tabbed as high risk if you have bad credit or it caters to customers that present higher risks of fraud. It’s important to note that criteria used for determining whether a business is classified as high risk may vary from processor to processor.

There are a number of businesses such as adult, e-cig, vape shops that are normally classified as high risk. Furniture stores, for example, are also sometimes regarded as high risk because of their large average ticket size. In any case, the high risk nature of your business will make it intimidating to get approved for a merchant account. You’ll end up with higher processing rates and account fees, a long-term contract and an early termination fee. There are cases when you’ll be required to put up a rolling reserve to get approved.

Fortunately, reputable high risk merchant account providers like offer exceptional services to merchants of any type to make it simple to get approved for a high risk merchant account. EMB is voted the #1 high risk processor in the US and has an A+ rating with the BBB. Moreover, EMB is rated A by Card Payment Options and is one of Inc. 500’s Fastest Growing Companies of 2016. Even your bad credit isn’t a problem for EMB offers the lowest possible rates in the industry.

When applying for a high risk merchant account, find a reliable and trustworthy high risk specialist to turn to. High risk specialists are ethical, honest, and have years of experience in the high risk sector. Reputable high risk specialists focus on getting you a decent deal on a merchant account.

Let us help you get a high risk merchant account today!

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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.

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