Payment Processing for Merchants With Bad Credit

Aug 29, 2014

It is no secret that bad things can happen to good people. But this should not impact whether or not they are able to earn a living by accepting debit and credit cards. According to the U.S. Government, there were over one million bankruptcy filings in 2013. Could all these people be deadbeats who just will not pay their bills? No, many of these individuals met with financial disasters that were not of their choosing. This is a good example of why bad credit merchant accounts are available.

Then you have the individuals who stuck it out without filing for bankruptcy. Even without this protection, their credit is ruined. They may have made payments on their debts but for one reason or another fell behind. They did not give in. They kept on plugging until they were caught up and now their credit score is under 500. These, too, are the type of individuals who need a bad credit merchant account.

If you fall into this category be cautious when deciding on the best credit card processor. You want to compare each line item among the potential companies with whom you may do business. You will need to look at what each company charges for discount rates, authorization fees, application fees, monthly service fees, support fees, and (for e-merchants) a payment gateway fee all impact the bad credit merchant account. One processor may have a low authorization fee which looks great on paper. However, their monthly service fee is extremely high and will negate any savings that may be realized on the authorization fee. Look at the numbers very carefully.

There is a processor who looks at the whole picture and not just a credit score. How viable is the business? What is the demand for the product or service? How much experience has the owner had in the industry? These are all very important when determining approval for a bad credit merchant account.

You want a processor who can give you an answer within 48 hours, not days or weeks. You want a processor who had several options in how you are paid in order to get you approved. You want the money in your checking account as soon as possible. You want someone who has CPI-compliant gateways and no application fees. Another fact to consider is whether the processor requires you to have your own Visa and MasterCard registration.

To get approved for a bad credit merchant account in as little as 24 hours contact us below 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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