High Risk CC Processor for CREDIT REPAIR Credit Restoration Credit Counseling Companies
Easy hassle free merchant accounts for credit repair/restoration/ counseling companies
Opening a merchant account is now important in almost every industry. Whether your business runs based on brick and mortar stores or based on e-commerce platforms having a merchant account would ensure that your business accepts convenient payment options. So customers would be able to make purchases small and big without any trouble.
There are some businesses that need merchant accounts more than the others. But unfortunately, not all banks are ready to help open a merchant account for all types of businesses. Some industries and some businesses, in general, are labeled as high-risk businesses. Credit repair, credit restoration, credit counseling companies all fall into this category. So what should you do when you would like to open a merchant account for your high-risk business? Approach a high-risk merchant account provider. Having weighed and analyzed the differences in high risk vs low-risk businesses these merchant providers are able to tackle the unprecedented risks that make these businesses high risk.
Why do online businesses have so much to handle?
When the business has a lot of transactions occurring online there is the absence of physical cash transactions. Online credit repair companies also involve making the payment before actual delivery of the service. Most online payments also come attached with a refund policy. When a customer initiates a refund who pays the customer on time? Given that the business must have already utilized the paid amount for executing the order, the merchant account provider would have to bear the expenses. There are also numerous fraudulent transactions that occur in online businesses. There are large chargebacks involved in these cases making them risky bets for the conventional banks and money lenders. High-risk merchant account providers, however, would have a lot of experience in handling such cases. So they have the best strategies to tackle these situations without suffering big losses.
Don’t worry if you get shutoff by most merchant account providers
The case of credit repair there are several reasons why the business is considered to be high risk. It is the type of clients the business handles that makes it a high-risk business in this case. Credit repair and restoration, as well as credit counseling, are often opted by those clients whose credit performance has been bad. Betting big on a client whose credit performance has been bad is in itself a big risk. So you might have been denied a merchant account by most of the conventional merchant account providers. But when you choose high-risk merchant account providers who can also conveniently handle ACH Processing/Check Processing, then you are all set.
Startup/new businesses, as well as the existing businesses, can all benefit from high-risk merchant
Irrespective of the industry when the business is just starting out there is zero background available to check the credibility of the business and the possible credit performance to expect. So banks might either increase the fees, rates involved or might cancel the application. Sometimes the application processing might be delayed. And in some cases, the merchant account would be opened, but later when a risky situation comes up the account might be locked. So all your funds would simply be cut off. All such situations can lead to delays and hurdles in your transactions. Given that you are answerable to your customers it would be a good idea to make sure that you have a resilient merchant account to help in handling all those high chargeback cases. These merchant accounts are also flexible for Startup/Business which is relatively small. The size or the experience of the business would not be a concern for these high-risk merchant accounts.
Benefits of a high-risk merchant
There are some who are still skeptical about trusting any merchant provider than the conventionally trusted ones. But here are the benefits of choosing a high-risk merchant account provider:
They are backed up by multiple underwriting banks. So there would not be a situation when you are being denied funds to cover the customer. If there is a problem with one source or if the situation involves a large chargeback then with the support from the underwriting banks the merchant provider would be able to offer timely refunds.
With conventional banks and merchant providers, Rates Vary by Startup vs History of the business. But whether it is a new business or an old one the high-risk merchant would treat them all the same. The application process, as well as the processing times, would all remain the same.
You would be able to receive assistance in setting up a virtual terminal for payment along with the help in gateway setup. Some also offer iPhone/Droid Mobile Apps for easy tracking of the payments.
You have no application fees to bear when you apply for a high-risk merchant account. The approval rates are very high. And so almost all the applications are instantly approved and processed.
For credit card payments recurring billing is a handy feature and this can also be availed with high-risk merchant accounts.
Are you looking for offshore accounts?
Online and offshore accounts both have their own perks and drawbacks. Some prefer offshore accounts when they have a lot of transactions that occur in multiple currencies. There are others who prefer offshore accounts being opened in countries where there are flexible legislations on the merchant accounts. But with the domestic account, the setup process is relatively simpler. The rates also might be lower for the domestic account. In the end, it all depends on how your business would benefit from the domestic or offshore account. So consider all the options you have at hand. Look for a high-risk merchant provider who offers both offshore and domestic accounts. This would make the transition simpler if you decide to switch your accounts somewhere in the future. No matter which type of account you choose always understand the payout terms and the pricing conditions in order to choose the one that is worth the expense.