High Risk Merchant Account Breakdown

Do you need to process credit cards online, over the phone, or via mail order? Have you had a tough time getting approved for a high risk merchant account? If so, you may be wondering: What does "high risk" mean, and how does it apply to my business?

What is a High Risk Merchant?

Any business where the customer isn't present to sign a receipt for their credit card purchase - all e-commerce and mail order/telephone order (MOTO) businesses - has the potential to be labeled "high risk" by banks that provide merchant accounts. Some card-not-present businesses are considered more high risk than others. These high risk merchants typically include:

• Adult entertainment merchants
• Online travel merchants
• E-Cigarette merchants
• Online pharmacy merchants
• Online gambling merchants
• Pre-paid calling card merchants
• VOIP merchants
• Offshore merchants
• International merchants
• Mail Order / Telephone Order (MOTO) merchants
• FOREX merchants
• tobacco merchants

Regardless of what industry you're in, your business may be considered high risk if:

• You're starting a new e-commerce business with expected high monthly sales volumes.
• You have a history of customer disputes or a high chargeback rate.
• You have a high average transaction value.
• You offer a subscription product or service.
• You've had a merchant account terminated by a bank in the past.
• You have a poor credit history or recent bankruptcy.

High Risk Means Hard Times

If merchant banks consider your business high risk, you might be turned down for a merchant account without being told why. Even if you are approved for a high risk merchant account, banks might impose strict trading conditions that make it impossible to run a profitable business. High risk merchant accounts often require:

• Large up-front deposits
• Delayed payouts
• High reserves
• High credit card and transaction fees
• Caps on processing volume

These restrictions can mean the difference between your business' success and failure.

Think you're Out of Options? Think Again.

Instabill specializes in high risk merchant accounts. How do we do it? Simple.

• We have established relationships with a network of acquiring banks that say yes to merchants in high risk industries, including online pharmacies, internet dating, credit repair and adult merchants.
• We offer third-party merchant accounts for businesses with lower sales volumes - with the option to upgrade to a direct merchant account if your sales increase.
• For qualifying merchants, Instabill will take on some of the financial risk, increasing your chances of getting approved for a high risk merchant account.
• Our friendly, knowledgeable customer service team will guide you through the process of applying to one or multiple high risk merchant accounts, so you can find the right solution for your business.

Fast, cost-effective solutions for high risk merchant accounts

We understand that every high risk merchant is different, so our accounts are not one-size-fits-all. Rates will vary depending on your business. High risk merchants with monthly sales turnover higher than one million dollars generally pay between 4-5% for their merchant account. High risk start-up businesses and those with monthly sales of less than $50,000 per month can expect to receive rates between 5-8%. Most importantly, with Instabill, what you see is what you get - our service fees are clear and uncomplicated, and never come with unpleasant surprises.

Here's how it works:

• Apply for a high risk merchant account on Instabill.com, or contact us via phone or email to start the application process.
• Once your application has been received, we expect an answer from one of our merchant acquiring banks within three working days.
• We'll send you the bank's credit card processing terms and conditions.
• If you agree and return a signed contract by email, you can start processing in 24-48 hours.

Our approval rate is 98%

At Instabill, we are in the business of helping your business - and our numbers speak for themselves.

SIGN UP TODAY

Applying and processing for a new merchant account is easy and takes a very short time. Send us your request by completing the application below.