It is generally easy for a person to open a merchant account to start accepting credit card payments from customers especially with merchant service providers like Solid Trust Pay. But there are certain types of businesses which are identified as high risk by merchant banks because of the very nature of the business they are involved in or due to the history of high levels of chargebacks the business has had. Businesses classified as high risk by acquiring banks will almost certainly be refused to operate a normal merchant account by merchant account service providers like Solidtrustpay due to the risk posed to the bank because of the higher risk of credit card fraud. Instead they are given the option of a high risk merchant account which will allow them to process credit card payments.
The main difference between a normal merchant account and a high risk merchant account are the fees charged. A high risk merchant account will involve much higher fees to mitigate the high risk undertaken by the merchant service provider unlike with a normal merchant account. Find out the rates charged for merchant accounts by Solid Trust Pay by clicking on to www.solidtrustpay.com .
Businesses such as adult themed entertainment businesses, gaming industry and such where there is a higher possibility of fraud due to the doubtful legality of these industries means the bank will have to undertake heavier risks and therefore will refuse a normal merchant account.
Another reason a merchant can be classified as high risk is the high levels of chargebacks. Chargebacks mean the merchant bank has to put in considerably more time and effort into sorting them. So a business has to take steps to keep chargebacks to a minimum to avoid not being able to open a merchant account with reputed service providers like Solid Trust Pay.
A merchant placed in the terminated merchant file will also be categorized as high risk merchant and would have to operate a high risk merchant account.
It is due to the importance of credit card processing facilities in today’s business world that many businesses categorized as high risk businesses opt to pay the higher fees to be able to process credit cards.
But there are steps that can be taken to avoid being a high risk merchant.
Open several merchant accounts with several service providers including Solidtrustpay so that the chargebacks will not be centered with one bank who will categorize you as a high risk merchant whereas having several will distribute the chargebacks among the several banks and thus reducing the severity of the volume of chargebacks.
Maintain a good credit history to avoid listing in the Terminated Merchant file of www.solidtrustpay.com as you will then be black listed.
At Solid Trust Pay you will be provided with high risk merchant accounting facilities at reasonable rates. So click on to www.solidtrustpay.com and follow the links to create your account.