Having a credit repair business can be financially rewarding. However, finding a merchant account processor that deals with credit repair businesses is difficult. Finding one that has reasonable fees is even more difficult, but with thorough research, it can be done.
Credit repair businesses are considered high-risk businesses, and many merchant account processors turn up their nose at businesses considered high risk. However, there are some merchant account processors who specialize in high-risk accounts. The majority charge higher rates, because high-risk companies come with a higher risk of failure. With careful consideration and research, you are sure to find that there is a merchant account processor that is right for you and your company.
When you decide on your chosen merchant account processor, you will have to provide information about yourself and your business. Basic information such as driver’s license information, copy of voided bank letter, customer contract sample, and previous months of account statements and bank statements are all normally asked for. If you are a startup company, a merchant account processor can also consider you. For a startup credit repair business, with no previous processing history, a reserve is usually required from the bank. A reserve account is an account set up by the bank to hold a percentage of your sales in “reserve” to pay for any possible chargebacks or disputes that may occur. These reserve payments are held for a few days, and then are returned back. It is a simple way for merchant account processors to check that you are truly a business.
Having a high-risk company such as a credit repair business can be a headache, but it can be well worth it. Not only are you helping yourself out financially, but you are also helping those in need of credit recovery help. While finding a merchant account processor may be tough, it can be done. Be sure to check out all of your options before you make a decision, as choosing the wrong company can hurt your business.
Need a Merchant Account for your Credit Repair Business?