First Card Payments > Merchant Support  > Benefits of High-Risk Merchant Services

Benefits of High-Risk Merchant Services

Not sure about the benefits of high-risk merchant services for your business? Maybe you are familiar with the services on offer from your current provider and are looking to switch to a new payment processing company. How can you be sure that the services on offer from a high-risk merchant account provider are right for you?


If your business requires a high-risk merchant account and operates within a qualified vertical––such as an online store selling vape devices and accessories as well as businesses offering services online like remote counseling or online classes––high-risk credit card processing could be important for you and your business in a high-risk industry


Different payment processors may consider a high-risk credit profile “ordinarily acceptable” based on their underwriting guidelines and the classification of the field in which you operate, but this is not always the case with most payment processing companies. You may find yourself asking the question “do I need to be making use of the services on offer from a high-risk merchant account provider?”––and the answer may very well be yes!


You may consider a high-risk merchant account provider if you are a business that offers services or products in fields like telecommunication––such as prepaid phone services––or discount membership programs and even gym membership plans. But how do you know if the benefits of high-risk merchant services would suit your needs?


What Is the Purpose of a High-Risk Merchant Account?

Let’s start with the reason why high-risk merchant services are even necessary. Essentially, a merchant account provider will transfer the funds from debit and credit card transactions directly into your business bank account, typically within 1 to 2 days, while they wait to receive the funds from the issuing bank, which can take longer. Think of it as an advance.


As a business owner in the current age, processing payments has become something that happens, quite literally, at the click of a button, making it easier for customers to make payments and for businesses to accept payments online. However, this has also opened up opportunities for more fraudulent transactional behavior.


Many businesses are considered high risk because they are susceptible to fraud and high chargeback rates, among other things. While we all consider some online specials and markdowns “a steal,” others might take this quite literally and see an opportunity to “have their cake and eat it,” or in this case, commit payment fraud. People want to have your product and keep their money, which should rightfully be yours.


As a result, many payment processors are hesitant to approve high-risk businesses for a merchant account, which means it may take longer for those businesses to receive the funds from debit and credit card transactions, which could affect business operations. High-risk merchant accounts offer companies in certain industries a way to conduct business normally, though with higher fees and penalties as well as more stringent requirements to maintain. 


While there are many challenges high-risk businesses face, there are also numerous benefits of high-risk merchant services offered by a payment processing company that specializes in these types of accounts.


What Are the Advantages of a High-Risk Merchant Account Provider?

Perhaps the greatest benefit that a high-risk merchant account provider can offer is a reduced payment processing delay, which can help those that rely heavily on easy access to its cash flow, such as businesses that act as middlemen between suppliers and consumers. Lower fees are another wonderful benefit of working with a payment processing company that specializes in high-risk merchant accounts.


Aside from the lower fees, rates, and processing delays, other benefits of high-risk merchant services include easier access to your funds from payment transactions as well as more flexible payment options. While standard merchant account providers can reasonably process only certain credit card payments, a high-risk payment processing company can handle recurring payments and a higher monthly volume of payments, among other things, without sounding any alarms and waving red flags.


If you have not already considered the possibilities, opening a new account or switching to a new high-risk merchant account provider could help you scale your business globally! While, traditionally, most merchant accounts only allowed payments to be processed locally, more recent services on offer from account providers are more flexible with international transactions, especially those specializing in high-risk merchant services.


High-risk merchant account providers have really ironed out the processes of dealing with transactions on an international level, offering fewer restrictions and a much-needed increase in monetary limits that will allow you to seriously consider expanding your services or even your products to a more global market. 


High-Risk Merchant Services with First Card Payments

It might be time to reevaluate your current payment processing company and consider switching your credit card processor in order to reap the benefits of the high-risk merchant services they offer. You may find that you are able to reduce merchant fees as well as minimize processing delays by looking into different high-risk merchant account providers out there. Partner up with a reliable high-risk payment processing company that has your best interests in mind and becomes an asset to the way that you do business. 


Contact our team at First card payments to learn more about the high-risk merchant services we provide and sign up for a new merchant account to save 25% instantly!




Ryan Kemp Zulu Shack Creative
( Director of Digital Marketing )

I am passionate about delivering results and helping my clients succeed. With my expertise in SEO, branding, and marketing, I lead the agency’s efforts to create and implement effective strategies that drive business growth. Our all-inclusive approach sets us apart from other digital media companies and ensures that our clients receive the full range of services they need for online success. If you can think of it, we can build it!

Zulu Shack Creative team members thrive on momentum. Like Zulu warriors, we strive to spearhead your idea with speed and quality.

When I’m not helping my team implement new digital marketing strategies, I enjoy playing music, hosting poker nights, reading Stephen King novels, and spending time with my wife and baby daughter.

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