Tier 1 Merchant Services For Skin Care Products & Businesses.
A skincare merchant account is a special type of bank account that allows skincare companies to accept credit and debit cards for the sale of skincare products or skincare services.
Businesses use skincare merchant accounts to offer various products and services related to skincare. These include skincare items like cleansers, moisturizers, serums, masks, exfoliants, toners, sunscreens, and anti-aging products. The skincare merchant account is sometimes also used for dermatological services like skin assessments and laser therapy.
Various spa services are also sold using skincare merchant accounts. These services include facials, chemical peels, microdermabrasion, waxing, threading, makeup application services, eyebrow shaping, eyelash extensions, and acne treatment.
Traditional sponsor banks and payment service providers generally prefer to stay away from skincare product merchants, and there are various reasons behind it. All these contribute to the classification of skincare merchants as high risk. Let’s take a look at some of the key reasons that force the merchant acquirers to stay away from this industry.
Many skincare product companies claim that their product enhances skin color, tightness, or reduces blemishes. However, these claims cannot be verified medically and can invite chargebacks and disputes from customers.
Skincare products are also subject to various regulatory standards set by different government agencies and industry bodies. Acquiring banks stay cautious, as violation of any of these regulations and guidelines could subject the acquirer to regulatory scrutiny.
The industry is also vulnerable to fraudulent activities such as duplicate products and unauthorized reselling. Banks are concerned about these, as fraudulent transactions and duplicate products can significantly increase the chargeback percentage of the merchant.
The potential impact of the product on the skin or overall health of the user can also be a problem for the bank. If a merchant sells inferior quality products, it can attract reputation risk for the bank.
In different countries, the regulations to sell skincare products vary. Some countries may have smaller requirements for certification, while some may have extended requirements. Merchants may not have access to all of these certifications and licenses, creating a significant challenge for the merchant acquirer.
It is important for skincare merchants to understand the reality of the industry. Sometimes it can be extremely challenging to secure a credit card processing account. However, the best approach would be to work with a high-risk merchant account provider that specializes in assisting skincare merchants.
Fortunately, QuadraPay is here for you. We have already established business relationships with various payment processors that are comfortable working with legitimate skincare product companies. Ask us today for a zero-obligation free quote.
Various Merchant Services Solutions for Skincare Businesses
At QuadraPay, we believe in improving the transaction processing capabilities of our skincare merchants. This is why we offer various types of merchant services that can significantly enhance your customers’ experience when they make payments to you. Let us look at some of these merchant services.
ACH payment processing is particularly advantageous for skincare merchants. Businesses can easily accept payments from customers’ bank accounts using this modern bank transfer method. It’s also an ideal fit for recurring transactions, such as subscription-based skincare product purchases.
We offer online as well as retail credit card processing solutions for skincare businesses. With these solutions, skincare companies can accept credit and debit card payments both in-store and online. Along with regular credit and debit cards, skincare companies can also accept various other alternative payment methods and expand their business to many nations.
Our credit card terminals are perfect for businesses with a retail location from where they sell skincare items or offer skincare services. These credit card terminals allow business owners to accept face-to-face payments. With credit card processing terminals, you can accept all types of physical cards, including EMV cards, NFC cards, and even magnetic strip cards.
Some skincare businesses may not get approved for ACH or credit card processing. For those businesses, we recommend using echeck as their payment processing method. With electronic checks, they can accept payments from customers through bank transfer.
By adding these merchant services to your business, you will offer a wonderful experience to your customers when they make purchases from you. Customers will be able to use their own preferred mode of payment, and this may significantly improve your returning customer ratio.
Application Process of Getting Merchant Services for Skincare Products
The first step toward obtaining a credit card processing account for your business is to submit an application along with KYC (Know Your Customer) documents. The KYC documents for cosmetic merchants typically include:
- Business license
- Voided check
- Utility bills
- Previous processing statements
- Lab certificate
- Ingredients list
- Supplier agreement/Wholesale contract
- Other certifications: Made Safe, EWG, USDA Organic, or NSF/ANSI 305.
Please note that the exact KYC requirements can vary based on several factors.
When you make the application for a skincare merchant account, it is important for you to be active and truly engaged throughout the process. Timely responding to the queries raised by the underwriting team helps in reducing the delays. It also demonstrates your seriousness. Whenever needed, provide clarification. Be honest in sharing your viewpoint. This will help build the trust between the processing company and you. Overall, your proactive approach will maximize the chances of your account approval.
