Which is the best High Risk Merchant Account offers the lowest processing fees and fastest approval?

For companies in high risk areas, finding the right provider of a best high risk merchant account can be critical. The majority of credit card processors are considered "low-risk" and have set risk thresholds based on various industry factors. High risk merchants have a different set of problems they must address when successfully enabled for a high-risk payments processing account. These problems related to establishing a merchant account can include high processing fees, increased underwriting, longer application processes, and potential underwriting compliance issues. Thankfully, more specialized providers are opening up to high-risk business segments and will consider competing on price and offer quicker application processes.

Understanding High Risk Merchant Account

High-risk merchant accounts are simply designed to enable businesses that are considered high risk because of increased chargeback risk, regulatory issues, or unusual business models. Many businesses fall under this consideration, including: online gaming, entertainment, travel services, subscription-based companies, products, and companies with prior weak credit.

The Best High Risk Merchant Account Providers

Trinity Consultings

Trinity Consultings is one of the leader merchant account providers within the high risk merchant space - theirs is a total payment solution provider with solid processing rates. They have experience with many high-risk industries and can accommodate the specific needs of new business in order to keep their solutions affordable.

PaymentCloud

PaymentCloud specializes in high risk industries and has a fast process for approval, with many same day approvals. They have an upfront pricing which means no setup fees and processing rates for qualified transactions can start as low as 2.9%.

Durango Merchant Services

Durango has some of the best rates in the high-risk space where processing fees can be as low as 2.49% for qualified transactions. Their application to approval process is often 24-48 hours which makes them attractive option for those who want to get setup and launch quickly.

eMerchantBroker (EMB)

eMerchantBroker focuses on fast approvals, often within 24 hours and works with challenging industries. They have flexibility on underwriting and will approve accounts that others deny.

Key Factors Affecting Processing Fees

High risk merchant accounts processing fees will typically come in between 2.5% - 5.5% depending on many different factors:

• Type of business and risk

• Monthly volume

• Average ticket

• Chargeback ratios and history

• Business credit and financial behavior

• Business location - both its base and customer locations

Fastest Way to Approval

One way to shorten the approval process is for the high risk merchant account to:

Provide good quality documentation showing its financials, processing statements, and business licenses. Provide good charge back ratios under 1% to show the ability to function at a stable basis. Lastly, find specialized providers that have some knowledge of your line of work, rather than working with the standard processors.

Finding the best value

The “best” high risk merchant account will be determined by individual business needs. Trinity Consultings, for example, focuses on customized solutions and deep industry knowledge, while others, like PaymentCloud, focus on quick turnaround times and transparency.

When looking at providers, consider what includes not only the processing rates but the setup fees, monthly fees, contract length, and quality of customer support, etc. The cheapest rate does not mean the best value if there are hidden fees, or customer support is not anything to speak of.

Final Thoughts

Finding success in high risk payment gateway processing can be a challenge. Business owners should partner with providers that understand the unique challenges of their particular industry. By working with specialized companies like Trinity Consultings and other reputable providers, businesses will be able to reap all of the benefits associated with having competitive pricing, quick approvals, and the support needed to keep their payment processing relationship healthy into the future.