Skill Gaming Business mostly falls in high risk industry category. Credit card processing companies have to implement various risk mitigation steps to reduce credit and reputation risk. These steps may include charging slightly higher MDR, Asking the merchant to accept a fixed or rolling reserve which may range from 5% to 10%. Most of the times merchants have to accept a 7 Day to 14 Day delayed payment term. This is called arrears in the payment industry.(However for merchants that have excellent profile and minimum risk and superb financial standing with 100% compliance these terms can be reduced as per the processors desecration.)
Most the times merchant are asked to pay a setup charge. This may also be the setup charge that is recommended by card schemes. They want high risk merchants to go for a high risk merchant registration. Having said that the final verdict is of the processing company. In reality merchants usually pay this fee without any issues. This helps the processor to understand the commitment of the merchant as well. A merchant who is not serious may not be interested in paying even $50 setup charge however a professional organisation with vision and commitment knows that some investments are reasonable and vital.
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