How do you See whether I'm a High-Risk Merchant?

Now that you have a general idea of what a High-risk merchant account is let us dig a little deeper and analyze the way MSPs determine your business' danger level.

Much like applying for a loan, even when a Business owner applies for a merchant account, there is an underwriting process the accounts provider (or loan provider) goes through to estimate the risk of adding your account to their portfolio. Some of the factors taken into consideration when applying for a merchant account are:

Your personal credit history

Company financials

Number of years in operation

Merchant account background like if you Ever had a merchant account before. If so, do you have a record of chargebacks and have you ever been blacklisted on the MATCH list or Terminated Merchant File (TMF). Are you in good standing?

Type of business or merchant category code

It's the last one that's the kicker. The Type of business you operate will have a substantial impact on the prices you pay per credit card transaction. For more information please visit Payment processing