You want to start a website and will charge the visitors for membership through their credit cards. You can not run such a site unless you have a high-risk merchant account. Here are some questions that are often asked by people who want to start accepting credit payments online.
Q. What are high-risk merchant accounts?
A high-risk merchant account is a type of merchant account that is more inclined to control fraud. This is because who have such accounts run businesses that do not have any physical representation under the legal jurisdiction.
Most of the time, people who have high-risk merchant accounts, run their business through a website. And with the number of computer hackers moving around the net, they are not safe from people who could get into their websites without having to pay. Due to this, account providers who accept such customer will charge you with high rates that could affect the growth of your business. Examples of these accounts are adult websites, online casinos, and pharmaceutical merchants.
Q. How do I obtain such an account?
The process of getting such an account could be a long and frustrating process due to the amount of work in black and white you need to go through. Due to its nature of being “high risk,” account providers will always think twice before they even grant their applicant’s such requests. Fortunately, there are organizations that are willing to help you have made this very complicated process little simple. By helping you establish accounts with major credit card companies, these partners can help lighten the burden of getting these accounts. In addition, these groups could also help you set up a payment schedule that is integrated into your account.
Q. Do I need to pay a large amount of money before I can acquire an account?
Unfortunately, yes. Because it is high risk, providers may charge you fees of a higher grade. But there are some providers who won’t require you to pay an expensive application fee, but please be careful because they may charge you with high rates for maintenance.
Q. How do I get the payment?
Each transaction will first go through the account providers. Here, they settle the payments you have received with the credit card companies they are associated with. The time it takes for you to receive your funds varies among providers, but generally, this process takes around three days to one week.
Q. How much time it should take for me to get an account?
Depending on the information you give to your providers, the result of your application may come in one day or latest in a month. If you find it difficult to wait a long time to get your account, then be sure to provide complete and blanket information in your application.
These are the questions which are frequently asked by people who are interested in opening a high-risk merchant account. Since you are already aware of answers of all these questions, you can surely open a high-risk merchant account for yourself to run your startup business.