How to Check if My Company is on the MATCH List and What to Do Next
Is it hard for you to get a merchant account? Are all payment processors simply declining your application? This could potentially be because your company is listed on the MATCH database or MATCH list.
Being listed on the MATCH database means that the company will have serious challenges processing credit card payments. It can be a nightmare for e-commerce and retail businesses, as it significantly limits their ability to process credit and debit card payments. The listing on the MATCH list can be viewed by payment processors and acquiring banks across the globe, and they may be negatively influenced by it. Most payment processors avoid working with any business that has ever been listed on the MATCH database.
In this detailed guide, QuadraPay’s MATCH list merchant services team explains various details related to the MATCH list. The guide discusses an overview of the MATCH list, the reasons why a merchant gets listed on the MATCH database, and the steps a merchant can take to get removed or find an alternative payment processing solution. Let’s get started.
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What is the MATCH List?
The MATCH database is a referential database maintained by MasterCard, which is used by payment processing companies in every country. This database serves as a lookup tool for payment processors, allowing them to check if a merchant is listed. Companies that get listed on the MATCH database are considered high risk. Any business that is listed on the MATCH database is most likely going to be declined by almost every credit card processing company. Being listed on the MATCH database makes it extremely tough for business owners to run and grow their businesses.
Why Do Businesses End Up on the MATCH List?
There can be many reasons why a business might get listed on the MATCH list. It is important to understand these reasons, as it can help in taking corrective measures to reduce the risk of getting listed.
The most common reason is excessive chargebacks. Credit card processing companies are required to ensure that a merchant’s chargeback ratio does not exceed 1%. If the chargeback ratio goes beyond this percentage, it creates significant credit risk. Such merchants may lose their merchant accounts and are generally reported to the MATCH database if the chargeback ratio is significant.
Apart from excessive chargebacks, other reasons that can result in the termination of an account and the listing of the merchant on the MATCH database include delivering low-quality products to customers. If customers are not satisfied with the product, they are likely to request cancellations and refunds, which is considered a chargeback. Companies must ensure that their products are of good quality and delivered on time, as promised.
The relationship between the merchant account provider and the merchant is based on an agreement known as the merchant account agreement. If the merchant violates the terms of this agreement, the acquirer can report the merchant. Violations that commonly result in listing include processing transactions from unregistered URLs, excessive monthly transaction volumes beyond the approved limit, excessive cancellations, and a high volume of fraudulent transactions.
If the merchant declares bankruptcy, it can lead to financial instability for the company, attracting high credit risk. In such situations, the business is most likely to be listed on the MATCH list.
Merchants must comply with PCI DSS standards while processing credit card payments. If a merchant does not comply with these industry standards, the acquirer may list the merchant on the MATCH database. Any illegal transactions or business activities, such as running stolen credit cards, scamming customers, or misrepresenting the business model, can also result in listing.
How to Check if Your Business is on the MATCH List
The MATCH list is not a public database, meaning not everyone can see which companies are listed. It is an industry-specific database, and access is only available to acquiring banks and payment service providers. In simple terms, it is a confidential database accessible only by acquiring institutions. However, there are some methods you can use to check if your business is listed on the MATCH database:
Ask Your Payment Processor
The easiest way to identify whether your business is listed on the MATCH database is to ask your payment processor directly. If your application is declined, proactively inquire if the decline was due to a MATCH listing. In many cases, the processor will inform you of the real reason behind the application rejection.
Speak to Your Acquiring Bank
If you are already processing payments and have recently encountered sudden account holds, terminations, or unexpected issues, you should immediately contact your acquiring bank. They will be able to tell you if your business has been listed on the MATCH database and can guide you on how to manage the situation moving forward.
Request a Copy of Your MATCH Listing
Some payment processors and banks may provide you with a written explanation of the reason for your listing or a copy of the MATCH listing document. These documents will clearly describe the reason that may have triggered the listing. By identifying the reason, it can become easier for you to resolve the issue.
Work with a High-Risk Payment Processor
Businesses listed on the MATCH database typically cannot access regular credit or debit card processing. However, these merchants may be able to obtain high-risk merchant accounts. These are specialized payment processing companies that support MATCH-listed merchants or those listed on TMF. Such companies are more likely to inform you about your MATCH listing during the approval process.
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The Impact of Being on the MATCH List
When a business gets listed on the MATCH database, it faces significant challenges, especially in processing digital payments. If a payment processor decides to list the merchant on the MATCH database, the account is shut down immediately, often without prior notice or alert. The sudden loss of the merchant account can jeopardize the entire business. In such situations, merchants struggle to maintain day-to-day operations as they lose the ability to collect payments from customers.
Most credit card processors will immediately decline applications from merchants listed on the MATCH database. Only a few processors, often referred to as high-risk payment processors, are willing to evaluate applications from MATCH-listed merchants. However, these processors are more expensive than conventional ones. They also impose stricter terms, which may include rolling reserves, delayed payouts, and setup fees.
Without the ability to accept credit card payments, businesses find it difficult to maintain professional relationships with vendors, suppliers, and other partners. Being listed on the MATCH database damages the merchant’s reputation in the eyes of underwriters, leading to increased scrutiny and proactive monitoring of the account, even if it is eventually approved.
Frequently Asked Questions (FAQs) About the MATCH List
What Happens if My Business is on the MATCH List?
If a business is listed on the MATCH database, it will face serious challenges when trying to open a new merchant account. Payment processing companies will look up merchant details in the MATCH database, and if a listing is found, the application will be declined immediately. Because of this listing, the merchant loses access to credit card processing, which reduces the conversion rate of the e-commerce website and makes it difficult for customers to place orders on the merchant’s site.
How Long Will My Business Stay on the MATCH List?
Generally if a business gets listed on the match database then It stays listed for the next 5 years after this period of time the listing is automatically removed. However, it is important to know that the listing can be done again if the issue that led to the inclusion of the merchant is not Resolved.
Can I Get My Business Off the MATCH List?
The acquiring institution that listed the merchant on the database can modify or remove the listing. However, achieving this is not an easy task. Merchants should communicate with the acquirer to identify the real cause of the listing. If it is possible to fix the issue, the merchant must take steps to do so. For example, if a merchant owes money to the credit card processor, they should deposit the owed amount into the processor’s account and request modification or removal of the listing.
Can I Still Process Payments While on the MATCH List?
Being listed on the MATCH database does not fully restrict a merchant’s ability to accept digital payments. Although it may be challenging for a listed merchant to accept credit and debit card payments, it can be relatively easy for them to accept payments through various alternative methods, such as electronic checks and ACH. Merchants should work with high-risk processors that have experience supporting businesses listed on TMF or the MATCH list.
Final Words
Knowing that businesses are registered on the MATCH database can be a major setback for any entrepreneur, but it is important to understand that this is not the end of the road. By understanding the real reasons behind the listing and taking appropriate steps to rectify the situation or get the listing removed from the database, it can be a lifesaver.
In the worst-case scenario, if the listing remains for the next couple of years and all payment processors have declined your application, merchants should explore alternative payment processing solutions that offer various other payment instrument options. Our advice is that if your business is listed on the MATCH list, continue conducting digital transactions through all available payment methods and do not take a break. The listing may potentially be removed automatically over time. In the meantime, keep applying to high-risk processors that support terminated merchant file businesses.
