High Risk Credit Card Processing

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High Risk Credit Card Processing Quadrapay

Facts That No One Tells You About High Risk Credit Card Processing

Generally, Banks consider an industry or a business owner a “high-risk.” when they represent a higher risk of financial loss or even have a standard risk account.

And the primary reason behind considering a merchant as a high risk credit card processing because of the type of business that has a higher number of chargeback ratio in comparison to the other risky accounts.

Some Of The Factors Classifying It As High Risk Processing As:

  • It includes the type of service or product they provide, targeted market, higher chances of getting fraudulent transactions.
  • Every business must maintain the chargeback ratios that are provided by their credit card brands.
  • If these thresholds to prevent chargebacks are exceeding, the transaction processor and the associated acquiring banks can be issued a fine.
  • Credit card payment processors from businesses that are not prime markets such as online adult entertainment, offshore targeted markets are classified as high risk credit card processing because of the number of high chargebacks by the customers that are associated with that service market.
  • If a merchant has targeted markets of international business associates and other merchants that have higher fraud rates are also considered as a high-risk payment.
  • Another common reason for a high-risk classification can be a type of billing model being in use by the company, and the number of subscription and recurring transactions usually shows a higher risk of a chargeback.

Online Credit Card Processing Gateway

Businesses that are running on PCI-DSS compliant online credit card processing gateway can be assured that their all transactions are secure and safe. This high-grade encryption security saves your business by securing all the sensitive credit card data of the customers.

When a transaction reaches the high risk payment gateway, it gets passed through hundreds of validation tests, and the results are returned within seconds.

An excellent payment processing gateway can allow you even to set your own rules and parameters to filter out the good transactions and reject the illegal transactions.

Approval of High Risk Credit Card Processing Applications

The experts begin to review the high risk businesses credit card processing merchant account application forms to confirm whether the information provided is accurate and complete with all the required documents.

High-risk e-commerce merchant accounts must have a secured and fully functional website because the underwriters go through all the pages to make sure they display proper information and have quick loading time.

All the processing statements are examined for the chargeback ratios and all the processing volumes. After successful approval of all conditions, your Merchant identification number is issued to start processing your payments.

Happy Processing!

Content Team
Content Team