What factors are essential in a CBD oil merchant account agreement?

Merchant Services Q&ACategory: CBD Merchant AccountWhat factors are essential in a CBD oil merchant account agreement?
Bankim Chandra Staff asked 8 months ago
1 Answers
Bankim Chandra Staff answered 8 months ago

While every payment processor will have a separate agreement, but most will have a few essential terms.

  1. Only sell what you are approved for. Yes if you get a High Risk Cbd Merchant Account, that means your responsibilities have increased. You have to ensure that you only sell the products that you are approved for. This also means that you only promote the products that you are approved for. Once your account is approved, the merchant account provider keeps your website and account on proactive round the clock monitoring. They check how you are processing, what you are selling. What modification you are making to the website. In simple terms, it is hard and super risky to cheat them. If caught, you may lose the account, and they may be forced to investigate the charge further. If the card schemes start investigations, then the repercussions may include hefty penalty and blacklisting via TMF/Match file.
  2. Keep an eye on Maximum Minimum. Yes, in your agreement, you may have these factors listed. Maximum Ticket Size. Minimum ticket size. Number of transactions each month,. Average transaction size and monthly volume limit. Based on the information you provided in the application form, the processor may have identified sales forecasting for your account. Natural flow if fine but huge crest and trough are not generally liked by merchant account processors.
  3. Never Divert Traffic. Please note that ever industry has a specific MCC. The rates and terms vary depending upon the MCC. So for example, if an approved CBD oil merchant starts diverting gaming traffic to the site, then this is a breach of the agreement and can have severe repercussions as mentioned in point no 1.

Conclusion. Consider the agreement as a relationship that will define the growth of your business. The more honest you are, the fewer challenges you may face. Work on the site attracts natural traffic. Offer excellent product and customer service to your clients. When a lot of clients get dissatisfied, then the payment processor also gets upset.
Happy Processing