People don’t usually like taking risks in life and especially not with their money. This is the same for most merchant account providers. So, how do you know if a bank or merchant account provider will issue you an account? How can you tell if you’re looking for a low or high risk merchant account? It’s nothing to do with what type of person you, but everything to do with the business you run.
If you answered yes for more than one, you’re most likely a high risk merchant by service providers. That being said, the difference between high risk and low risk isn’t always black and white. That’s why at Purepay, we don’t automatically reject merchants in industries that are usually considered high risk. We work with you to find the best solutions that match your business type.
Some service providers specialize in high risk merchant accounts, but they have to charge higher fees and offer terms and conditions that are less advantageous for their customers. If you’re a high risk business, you can expect to:
Like we mentioned above, most of the factors that make you a high risk business aren’t things you can changeâ€”like the industry you’re in, or the way customers use your products. If you think you might be a high risk merchant, do what you can to reduce risk before you bring your application to the underwriters’ attention, and go through your financial statements, business model, and credit scores.
Regardless of your official classification, there are steps you can take to lower your risk:
Although you may be high risk on paper, we have come to understand that it doesn’t always mean you are a high risk merchant. Summer camps are a great example of businesses that are high risk on paper, but are actually considered relatively low risk in our books.
Even if you’re high risk on paper, it’s worth checking to see if we’ll be able to set you up to accept payments. Your journey to becoming the next star in your industry has only begun and Purepay will be here to help you along the way.
Whether you do high risk or low risk, apply with us today to get the lowest fees on the market and the best service!