High Risk Ach Merchant Account What It Is? How To Get One For Your Business.
It is a type of business account in a bank that is assigned to the merchant who has a high risk of businesses. There are many businesses that come under the high risk category. They are known as high risk business due to some factors.
High Risk ACH Merchant Classification Factors include:
- Bad credit score.
- Incomplete website.
- Copied content on the website.
- Meager traffic on the website.
- High ticket size and item.
- Cross border transaction.
- Negative reviews about the merchant.
- High chargeback to sales ratio such as recurring billing.
- Restricted Industry As Per Card Schemes
All acquiring banks do not provide high risk ach merchant account solutions because of the risk associated with a business. They believe in working with a merchant who has low risk businesses. Many business owners come under low risk business, but still, they are not getting approved by card processing companies.
Many merchants do not want their business is considered as high risk ach merchant account, but due to several reasons, their business is classified into this category. Some of the reasons are industry type, large transaction size, future dated services, spiked monthly volume, past processing history of a business, etc.
There are many industries that are considered high risk.
- Casinos, gambling, gaming.
- Travel, ticketing agents, accommodations.
- Telemarketing, VoIP, calling cards.
- Pharmaceuticals, online drug providers.
- Subscription services.
- Dating services, adult entertainment.
- Debt reduction/credit repair counselling.
- Limousine and Taxi Services
- Tobacco Merchant Processing
- Skill Gaming
- Tarot Card And Fortune Tellers
How High Risk Ach Merchant Account Works?
Firstly understand what an ACH is? It is known as an Automated Clearing House. ACH payment is a form of electronic payment. In ACH the funds are transferred from one bank account to another bank account, i.e., from payers to payee’s account. Electronic payment always provides benefits to both customer and merchant. ACH payment processing is not so expensive, easily automated and can be kept in record. ACH can be used for recurring payments.
For ACH processing payer must know the details of the payee bank account. The details should be the name of bank, account type, routing number, and account number. The details can be obtained via phone call or mail. After this step, the payer will enter the details in the virtual terminal in the processing system. The ACH will save all the transaction in batches. These batches are processed every end of the day. The funds will be reflected in the bank account within 24-48 hours.
Many businessmen do not get approval for a high risk merchant account. Most merchant services accept debit and credit card processing. High risk ach merchant service accepts check processing as well. High risk ach merchant account is for those merchants whose business transaction is processed in ACH. Mostly payment gateway does not offer their processing services to high risk merchants.
We are very happy to announce that our team Quadrapay is willing to offer all these services to high risk merchants as well. Don’t hesitate to use our services. We offer these services at a very low price. If you think you are high risk merchant, don’t hesitate to mail a drop at [email protected]. Once we get your application form, we will contact on your registered mobile number. Our team will be delighted to work with you.
Setup For High Risk Ach Merchant Account:
To set up the merchant account, some KYC verification is needed. KYC verification includes:
- Business bank statements.
- Business cash and plan flow.
- Utility bill or address verification for business.
- Driving license or passport for major director and shareholders.
- Company registration Certificate
- Domain Who Is certificate.