Home Services Why Choose Us? Pricing Contact Us Apply Now Knowledge Base

High Volume High Risk Merchant Account

High Volume High Risk Merchant Account

Monthly sales volume is a factor in determining the amount of risk associated with a merchant’s credit card processing. Monthly sales volume is defined as the dollar value of Visa and Mastercard sales that are processed by a merchant per month. Additional card brands, such as America Express or Discover, generally do not count toward a merchant’s sales volume. Often a limit of monthly sales volume can cause a merchant to look for a high risk merchant account or offshore merchant account with unlimited volume.

Obtaining approval for a merchant account is very similar to obtaining approval for an unsecured loan because every dollar processed is a dollar in potential chargeback liability for the acquiring bank. If the merchant cannot pay back the chargebacks, the bank is responsible. Just as it is usually easier to get approved for a smaller loan amount than it is for a larger one, it is generally easier to get approved for a lower monthly volume merchant account than a high volume merchant account. In many cases, a high volume merchant account is a high risk merchant account.

The risk factors that are most important to the bank are a higher incidence of chargebacks, a higher incidence of crossing the chargeback thresholds set by the card associations resulting in fines and sanctions, and a higher incidence of merchant failure and inability to pay chargebacks and/or fines, and fees associated with the merchant account. In many cases these factors are present in high volume merchant accounts, or the high sales volume heightens the amount of risk attached to these factors because there is larger amount of money in play and thus higher stakes, resulting in a classification as high risk credit card processing.

Higher processing volumes can result in higher chargeback ratios if the merchant is also a high risk credit card processing business type, the business model calls for large numbers of continuity, recurring billing, or installment payment plan transactions, or if the merchant lacks the customer service infrastructure to handle the increase demand caused by high numbers of transactions. High volume merchant processing can also translate into higher numbers of chargebacks, which can result in larger fine amounts from the card associations and entrance of the merchant into the associations’ chargeback monitoring programs.

High volume credit card processing can increase the likelihood of merchant failure and / or inability to pay chargebacks and / or fines. Merchants generating high volumes of credit card sales can often have high marketing and other costs and while there may be a lot of revenue passing through the merchant account, the merchant does not always have high margins. Any interruption of cash flow or settlements can have very detrimental effect on a high volume high risk merchant’s ability and / or willingness to continue processing.

Apply Now to Process Credit Cards

Real-Time Anti Fraud and Chargeback Reduction

High Risk Experts provides Real-Time Anti Fraud Managment that works with your existing payment gateway and merchant account.

Benefits and Features Include:

Enhanced BIN analysis, Geo/IP address analysis, NameAddressCheck, ZipInfoCheck, PhoneInfoCheck, EmailCheck, Aba Bank Routing Numbers (ACH) and dozens of other fields that can be used to gauge the likelihood that a particular transaction is fraudulent or valid.

Numerous dynamically updated, independent databases are cross-checked instantaneously with transaction data.

Our statistical modeling is continuously optimized for individual merchant ROI. Each merchant’s unique historic and dynamic transaction data is used to build a custom model for predicting and preventing bad transactions, while also maximizing sales revenues.

Sub-second response times, competing systems can take 3 seconds or more.

We handle all kinds of transactions, including credit card, ACH, PayPal and alternative payment methods.

With our substantial experience and knowledge in fraud prevention, we interpret the data we have for each merchant and make recommendations to guide the merchant in the approve/deny process for each transaction. But in the end, the control over the final decision to accept or deny each transaction belongs to you, not to us.

Easy Implementation, Simple Integration.

No Set-Up Fees. No risk to try.

To learn more or get a quote, please apply online or call .