High-risk Merchant Account
Years of experience, fraud & chargeback mitigation, and in-house underwriting & risk
A high-risk merchant account enables payment processing, such as credit card processing, for businesses that are deemed high-risk. This can be due to them operating in industries prone to chargebacks and fraud, which can be due to card-not present transactions, recurring billing models or because of the product or service offered. Specific products and services can also be high-risk due to regulatory scrutiny, aggressive claims, or because the billing model. Because of the complexities, most banks and processors stay clear of engaging with high-risk merchants causing these merchants a difficult time to secure a reliable payment processor that truly understands their business. These merchants may also receive scrutiny and require additional restrictions such as age verification because of the product/service type, such as e-cig and vape products, which can cause the supporting processor or bank “reputational” risk and in most cases, this is why traditional banks and processors prohibit these high-risk merchant types. Due to our years of experience, being a full-service provider meaning underwriting and risk management is performed in-house, and flexible underwriting managed by seasoned employees, high-risk payment processing can be provided by Maverick with reliability and longevity.
High-risk Merchant Services
Maverick understands these higher risk industries and works to simplify the process of obtaining the merchant account as well as having a hands-on approach regarding ongoing management to avoid any sort of disruption. High-risk credit card processing is a non-stop job – the work does not stop with the approval as ongoing management is imperative to avoid any issues. With our client-centered model coupled with superior customer support and seasoned staff, we work had to build longstanding relationships with our merchants from the point of approval to ongoing management and support.
Maverick BankCard understands that different high risk merchant industries have different requirements and high-risk payment processing needs. We specialize in high-risk payment processing and these higher risk industries include: tobacco-related businesses, electronic cigarette & vape, adult-related business, firearm, travel agencies, ticket brokers, SEO services, direct response, nutraceuticals, document preparation (doc prep), collection agencies, seminars and coaching, pawn shops, precious metals & coins, consumer lending, business owners with poor credit, head/smoke shops & paraphernalia, business opportunities (biz op), discount savings clubs, magazine subscriptions, and more. Just because your business is non-traditional does not mean you can’t secure a reliable and transparent merchant services provider. Talk with a Maverick specialist today to get a industry-specific solution that is competitive, reliable, and long-term!
Shopping Cart, CRM & Software Integration
With technology-driven payments, we integrate with thousands of different shopping carts, CRM systems, and different software programs. A lot of high risk merchants are card-absent, which can be a factor of them being high risk, and therefore utilize a shopping cart or some way to process sales in a card-not prevent environment. For our eCommerce merchants, the Maverick Gateway offers a virtual terminal, batch processing, fraud prevention, real-time reporting, and a suite of other added value services. We understand running a business can be difficult and with a higher risk business, it can be crucial to leverage third party tools to help business processes such as recurring billing, customer relationship management, fraud prevention, chargeback mitigation and more, which is why our integration is always seamless and technology-driven. Our proprietary technology is truly unmatched – with advanced analytics, fraud analysis, sophisticated reporting, notifications and more, our added-value technology simplifies a lot of the on-going requirements for high-risk merchants.
Risk Management & Mitigation
With in-house risk experts with years of experience, we know industry specifics such as trends, typical culprits of fraud and chargebacks, which allows us to not only get you processing but ensure you are running as smoothly as possible. We simply work behind the scenes to ensure no issues occur! Our white-glove approach allows us to work closely with our merchants and partners to keep processing as healthy as possible, including suggestions on ways to improve business practices and other factors to help reduce fraud, chargebacks, increase customer satisfaction, and more. We’re seasoned experts versed in these niche verticals to help ensure reliability and effectiveness.
Hands-on Approach With High-risk Credit Card Processing & High risk Merchant Account
As a reputable, knowledgeable and very experienced high-risk merchant services provider, Maverick understands the complexities of the high-risk space, what is the reason for a business being deemed ‘high-risk’, the best practices with associations & agencies, the differences among different industries and importance to know each industry specifically, the typical cause for chargebacks, fraud and/or other factors impacting a merchant’s business along with the resolution needed to be long-term, sustainable and compliant.
High-risk Merchant Account Differences
If you own a restaurant, bar, hotel, auto dealer, hair salon, or a more “traditional” business type, chances are likely you will not be scrutinized and it will be fairly easy to get a merchant account with a local bank or mainstream payment processor. High-risk merchants typically find it more difficult to find a payment processor and merchant services provider who will support their business. The reasons can vary, which may include “reputational” risk or chargeback and/or fraud liability. These risks may be mitigated with a reserve, delayed funding (rather than next-day funding), and higher fees. Some other differences with a high-risk merchant account will include more supporting documents to be required and the reasons are typically due to increased due diligence required to ensure the merchant is compliant, legal, and is supportive of the application. High-risk credit card processing and merchant account services may also take a bit longer for approval, versus typically a 24-hour approval or same-day with a low-risk business, due to the longer amount of time it takes to review documents and overall application package.
High-risk Merchant Account Requirements
High-risk merchant account requirements can vary due to industry-specific requirements but typically they all have one thing in common, which is a increased amount of supporting documents to ensure full compliance and legality. For electronic cigarette (e-cig), vapor (vape) and related businesses, such as smoke shops, paraphernalia and tobacco, card-present retail businesses typically come with “reputational” risk. If the business is online and selling in a card-not present way, there is increased compliance requirements due to age restrictions and verification to ensure customers are of age to legally purchase the items. Furthermore, card-not present tobacco sales require Mastercard tobacco registration, which is seen as a burden by some banks and processors, which can be a reason they stay clear of the industry. For a collection agency, the requirements can vary due to regulatory requirements, such as complying with the FTC’s Fair Debt Collection Practices Act (FDCPA), the card brand’s limited acceptance rule to ensure debit-only processing, along with “reputational” risk as some debt collectors have unfortunately historically abused consumer rights. For additional industry-specific requirements, please see the above section for different high-risk merchant industries. Regardless of the industry and situation, Maverick is happy to help.
Questions Many High-risk Merchants Have
- What are the fees for a high risk merchant account?
- Just because I may be high-risk, do I need a reserve?
- How do the fees differ on a merchant account for a high risk merchant compared to low-risk merchants?
- What is the typical funding schedule for high risk credit card processing?
- What shopping carts are supported for high risk businesses?
- Can a high risk merchant accept all card brands and types?
- How long does it take to get approved for a high-risk merchant account?
These questions along with others are typically brought up by merchants, which are all the right questions to be asking. Because there are numerous factors in high risk payment processing and Maverick tries to take away the usual “cookie cutter” policy many banks have to truly understand each merchant, the answers can vary. Being a full-service provider differentiates Maverick as all operations, including the most crucial ones for higher risk businesses such as underwriting and risk management, are done all in-house at our headquarters in Calabasas, California. This means you get direct support and quick answers – reach out today to discuss how we can help your high-risk business accept payments in a reliable, secure and economical way.
High-risk Merchant Experts With High Risk Credit Card Processing
We understand that there are certain factors of being a high-risk merchant that make running a successful business difficult, payment processing shouldn’t be one of them. Our experienced team, including our in-house underwriting and risk management staff, make it seamless to acquire payment processing for your business.