Protecting high-risk businesses on the Internet is a complex and important process. What should a UK resident do to protect their business payments? There are versatile solutions such as contacting one of the high-risk merchant services in the UK or looking for a programmer for their team. Let’s figure out the best option.
The Meaning of a High-Risk Merchant Account
If you own an online store and accept payments, having a merchant account is a must. It is used to receive money after the customer has paid with a card, and their data has been processed by the payment system. Funds that are debited from user cards go through the processing center directly to your merchant account. You will receive funds in your bank account within 1-2 days.
Benefits of using a high-risk merchant account
Although opening such an account is not an easy task, it has several significant advantages that some providers offer:
- Increased income;
- Flexibility for clients;
- Service 24/7;
- Transaction speed.
Differences Between Low and High-Risk Businesses
For online businesses with an increased threat of chargebacks, it is recommended to have a high-risk merchant account. To open it, first, you need to determine whether your business is considered “high risk.”
Usually, merchant account services have different criteria for classifying businesses and potential risks, but several characteristics work for both groups of sellers.
You are a low-risk seller if you have:
- Less than 14 500 pounds processed every month;
- The average credit card transaction amount is less than 400 pounds;
- You work in the safe industry (for example, clothing and footwear, household goods, baby products, and cosmetics);
- Zero to low return ratio;
- The country your business is registered in is included in the list of low-risk countries.
Criteria of a high-risk business
Here are the general characteristics of a high-risk merchant:
- Monthly transactions are more than 14,500 pounds;
- Credit card payments are more than 400 pounds;
- The business promotes goods or services to countries with a high level of fraud;
- Constant chargebacks.
The list of industries that are considered as high-risk includes trading, tourism, any business that works with subscription, pharmacies, gambling, etc.
Among the most famous services for high-risk businesses in the UK are:
The payment provider takes full responsibility for the security of the transactions. Also, you will have access to regular reports on all financial transactions in your store.
Provide Your Business with Safe Transactions
Being an owner of an online store or any other business that operates with online payments, you know that accepting a credit card payment should be not only quick and effortless but also secure. To provide this, you need a safe merchant account.
If your business has a high risk of chargebacks, a merchant account on the corresponding service is required. This will help keep your company safe and provide maximum protection from fraudsters.