PayCly Blog

High-Risk Payment Gateway Is The Best Solution For Your High-risk Businesses

On the lookout for a high-risk payment gateway for your business? Yes!

High-risk businesses such as gaming marketing, dating companies, forex industries, etc. are booming worldwide because of the suitable high-risk payment gateway and high-risk merchant accounts.

But I understand that finding the right high-risk payment gateway for any high-risk business is a hassle. Payment service providers are very selective, and business owner has to do their tasks thoughtfully.

If you have doubts about finding the right high-risk payment gateway or considering whether your business is labelled as high-risk or not, you can go through this blog. This blog will help you to clear all your doubts and also help you to select the best high-risk gateway. So, let’s start with the definition of the high-risk payment gateway.

What is High-risk Payment Gateway?

Today, we all are familiar with the payment gateway and also used it in our life. You can say that the payment gateway is the intermediate between the bank and the client. A payment gateway is integrated into a merchant’s website and authorizes online payments. The payment gateway receives and sends payment information to the banking institutions after a customer completes a transaction, and it also reports whether the transaction was accepted or declined.

In the same way, a high-risk payment gateway is a payment service provider which has a speciality in a business that is labelled as high-risk.

Why Some of The Businesses are Consider High-risk?

A high-risk business has a higher risk of chargebacks, frauds, or financial failures. A card processor and bank decide about your business that how risky your business is and whether it is considered high-risk or not.

The risk factor for any business based on the -

Your business type – Some businesses such as gaming, adult industries, tobacco, etc. have more possibility of chargebacks and fraud. So, this type of business is considered a high-risk business.

Business owner personal/business situation - If a business owner has a low credit score, poor financial history, failed business history, etc. Then your business is considered a high-risk business.

If your businesses are based on these two factors, then also no need to worry. Nowadays, many payment providers are available who specialize in working with high-risk businesses.

Some of the most common and popular high-risk businesses which are booming nowadays are -

  • Gaming or gambling
  • Booking and travel agencies
  • Adult industries
  • Telemarketing
  • Forex industries
  • E-cigarettes
  • Subscription-based services
  • Cryptocurrency

What Challenges Does High-risk Merchant Have To Face?

Before integrating the payment gateway, a business owner need a merchant account. Once the bank or financial institute considers your business high-risk, it is not easy to find a merchant account. As a merchant, you must look for a specialized service provider that supports your business types. Also, you have to face lots of challenges. The most common challenges are -

Obtaining a Suitable High-risk Merchant Account -

The primary and most common problem for any high-risk business is opening a suitable merchant account. Once your business is considered high-risk by the acquiring bank or financial institute, you should apply for a high-risk merchant account because traditional service provider never offers their services to high-risk businesses.

When you’ve got the one, then also your problem is not going to end. With a high-risk merchant account, there are lots of restrictions and you have to pay high. If you break the condition there is the possibility that your account will get terminated. The best idea is to look for a high-risk payment processor that has experience in dealing with your business types.

High Processing Fees -

You cannot do anything with this. If you are running a high-risk business, you ought to charge more. It is because the service provider wants to recoup the risk. Generally, most service provider charges 3-4% more as compared to traditional service provider.

Rolling Reserve -

As a high-risk merchant, you ought to keep a rolling reserve. It occurs when a portion of your transaction volume is placed on hold for a certain amount of time before being released and settled later. In this situation, the rolling reverse will help you. With the help of this, banks are shielded from all potential risks associated with a risky business.

Chargeback -

Generally, high-risk businesses have a higher chargeback rate as compared to other traditional enterprises. The service provider sometimes set a monthly threshold. So, you must find a service provider who has chargeback prevention tools and strategies. It helps you to avoid facing higher chargeback fees by minimizing the chargeback rate.

Frauds -

Online businesses have a higher risk of fraudsters. So, for the business owner, it's essential to go with a service provider that offers advanced technology anti-fraud tools. Of, course it is chargeable. But, Isn't it preferable to pay for the useful tool than risk suffering losses as a result of not having it?

How to Overcome From These Challenges?

The best way to overcome the above challenges is to choose the best high-risk payment processor like PayCly for your high-risk businesses. Today, you can get many service provider but always go with one that suits your business requirements and also have experience in your business types.

So, if you are running any type of high-risk business then contact the PayCly expert team because PayCly has specialized in dealing with high-risk businesses. With PayCly, the merchant can get complete solutions. As PayCly, we also offer an international payment gateway for customer who wants to expand their business at the global level.

With us, the high-risk merchant can get the following benefits -

  • We also offer international payment processing and allow the merchant to accept most worldwide credit cards. Some of the most popular cards are – Visa, MasterCard, American Express, etc.
  • Along with credit cards, with us, the high-risk merchant can also get other alternative payment methods such as net banking, mobile payment, e-wallets, and even crypto-currency.
  • We offer futuristic anti-fraud and anti-chargeback tools. Also, we offer PCI DSS compliance high-risk gateway to protect sensitive data.
  • Merchants can hassle-free contact us 24*7 through live chat and email.
  • We allow the merchant to accept the majority of the currency from worldwide.
  • We offer the best recurring and subscription billing.
  • With us, you can get the high-risk merchant account instant approval.

Final Thoughts -

Today, everyone prefers online shopping and making online payments. So, for this, every business owner ought to have a payment gateway no matter whether their business is high-risk business or not. Nowadays, lots of high-risk payment gateway are available that is compatible with high-risk business.

High-risk merchant has to face many challenges while getting the best solutions. But, the easiest way to overcome these challenges is to deal with PayCly. This service provider is secure and easy to integrate. As you know, high-risk businesses have a higher chance of disputes, so overcoming these challenges, comes with stricter terms and conditions and the risk of chargeback and fraud will be minimized.

Contact the PayCly knowledgeable team to finalize your deal and learn more about our high-risk payment gateway.

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