Is the Licence needed for Merchant Accounts For Taxi Cabs and Limousines?

Merchant Services Q&ACategory: Merchant Accounts For Taxi Cabs and LimousinesIs the Licence needed for Merchant Accounts For Taxi Cabs and Limousines?
Bankim Chandra Staff asked 5 months ago
1 Answers
Bankim Chandra Staff answered 4 months ago

Yes it is.

There are generally 2 type of Taxi and Limousine Merchants.

Taxi Platform/Tour Operators. These technology companies offer an online platform to various cab drivers and limousine drivers. If this is the case the merchant acquirer will ask for the KYC documents and business licences of the company that is providing the service of online platform. Since the actual services are being offered by individual drivers the platform provider will have to ensure that it collects all the required documents and kyc, copy of drivers licence from the individual drivers. The merchant acquirer may request information about few drivers or all drivers at any time. Initially they may ask for copies of licence of few drivers. The company providing the online platform or the company that owns taxi booking mobile app platform must ensure that the platform has vital pages like terms, return policy and any other regionally available disclaimers and policies. The merchant acquirer will be specifically interested in understanding the credit risk exposure. This can be easily communicated with a transparent Pricing information on app or website. On a case by case basis the processor may ask for additional requirements. This industry is kind of mid to high risk however the success ratio is high if merchants application/site has substantial traffic.

Single Driver – Driving His Own Cab.

In most of the cases the processing company will ask for the drivers licence of the the driver. The most common solution for a single driver account is retail credit card terminal or mobile merchant account. these days payments can also be done via QR codes,NFC and Virus Free Payment gateway.
Relevant MCC 4121 For Taxi And Limousine Services