The credit card processing in the case of high-risk merchant accounts is not similar to the processing of low-risk accounts. First of all, the low or medium-risk businesses may not need a merchant account from an offshore or onshore bank besides their conventional business account. That is why it is very important to understand how things work in the case of high-risk merchant accounts and credit card processing. If you are a business owner in a risk-prone industry, it is always significant to understand the technicalities.
First Understand What is High-Risk Credit Card Processing?
High-risk credit card processing is about processing the payments or money transactions of a riskier business. The business types that are prone to chargebacks and financial fraud come under this category such as online casinos, IPTV, e-cigarettes, online gaming, etc. A high-risk credit card processor takes the responsibility to ensure the safety of these transactions. Whether it is a payment made by the customer or a refund by the merchant, the credit card processor needs to make it safe.
High-risk credit card processing can be done only through a merchant account which is a high-risk business bank account. The difference is that this bank is different from a traditional bank that does not work with riskier merchants.
High-Risk Merchant Accounts and Credit Card Processing – How do both works Together?
Credit card processors have to apply a completely different approach while working with a high-risk merchant. Several factors bring both ends on the same platform to work mutually and prove significant as commercial entities. It is not always a high-risk merchant who is in the need of a credit card processing company. A processor also needs high-risk clients if it has specialization in credit card processing for riskier industries. Below are the factors that bring both the parties on the same platform and work for mutual concerns.
Merchants Pay Fee to Credit Card Processors for Higher Purpose – Of course, it is vital. The risk that credit card processors take for the merchants needs a strong safety infrastructure. That infrastructure is expensive and credit card processing companies need money for that.
To help the merchants earn more and help them keep earning, credit card processors create a strong security system and in exchange take a fee. However, this fee is high but as compared to the threat managed by the processor, it is worth it. The merchants always a value for money service.
Per transaction processing fee, rolling reserves, etc. are taken to keep the processing system in a smooth operation. In exchange, the merchant never gets the chance to complain about anything on the part of payment processing.
Multi-Layered Security to the Merchant – Safe money transactions is always the prime concern for the high-risk merchants. A credit card processor commits to provide that security to its merchant client.
Verification without seeing customers’ card information is a strong security arrangement that credit card processors provide. The ends included in the transaction recognize each other through digital keys provided during the transaction process. This saves the customers’ details and it nullifies the threat of hacking or fraud in the name of the customer.
3D security is another gatekeeper that does not let the concern of security remain unattended. In this method (as you might know already) a transaction does not complete until the buyer does not fill in the authentication code sent on this mobile/e-mail etc.
Timely And Detailed Reports are a must for High-Risk Credit Card Processing – Yes, that is true because the merchants need to take many important decisions for their business. For that, they need to keep an eye on the money transactions. Sometimes when a business has varied product streams under one umbrella name, it needs to know the inclination customer for a particular product or service. The payment history of the users or buyers can easily tell that.
The reports also give an idea of the impact of the market conditions on consumer behavior. Such as, In the past few years, people are more inclined toward health supplements and also towards organic things due to the pandemic. Every time a wave comes, the demand for such products increases.
Credit card processors provide a detailed report of the transactions between the customers and the business. They provide complete analytics about the monthly transactions, number of chargebacks, success in chargeback management, and everything related to money transactions. The credit card processors also keep a keen eye on the suspicious customer accounts and those who make frequent friendly fraud. It helps make an effective chargeback strategy.
How does EskayPay Specialise in High-Risk Processing?
EskayPay, a high-risk merchant account processor provides quality services to its merchants. It works on some basic principles that prove that help the businesses get the right sort of payment processing. It has a vast portfolio and has worked with many risk-prone industries. Here is how the company serves in the best possible manner to its merchants.
SSL certified processing– SSL stands for Secure Socket Layers and all online businesses need this level of security if it wants to accept online payments safely. SSL system secures customer data that is transferred to the merchant’s website. The SSL certificate is displayed in the form of a green address bar.
Connect with the best credit card processors – Successful credit card processing cannot happen without connecting to a suitable processor. EskayPay connects you to the right credit card processing company and that too through an affordable deal. It commits to providing a deal with the lowest per transaction fee due to its vast network in all industries.
The above points display the connection and interdependence of high-risk merchants and credit card processing companies. With the help of technology, both are working successfully and the merchants can connect to the international buyers. This duo is sure to embrace innovations with the help of acquiring banks. Hope, You a merchant are already working with a great credit card processor. If you are seeking the, EskayPay has a vast network with credit card processors and acquirers.