High Risk Solutions

What are high-risk solutions?

High-risk solutions are payment processing solutions designed specifically for businesses that fall under the high-risk category. These businesses include those with a high chance of chargebacks, refunds, and past payment processing records.

We offer a range of high-risk solutions for businesses under this category. Our multi-processor connections allow us to match your high-risk business with the most suitable merchant account based on your unique business needs. 

Our team of specialists will work with you to understand your business model, identify potential risks, and find the best payment processing solution for your business.

Some examples of high-risk solutions or business models

Industries such as travel, adult films, advanced bookings, forex, telemarketing, pharmacy, gaming, and gambling are considered high-risk due to the potential for chargebacks. A business with a high-risk status may face challenges with its industry reputation and processing history. Specific payment processors may have varying guidelines, but here are some general criteria for identifying high-risk merchants: 

• Monthly sales volume exceeding $20,000 
• Monthly retail sales exceeding $20,000

Distinguishes a high-risk payment processor

As a credit card processor specializing in high-risk transactions, we understand the importance of balancing risk and fees. Our unique approach to risk assessment requires using complex systems to ensure accurate calculations. Inevitably, detecting fraud requires a heightened level of diligence. When searching for a high-risk processor, we recommend selecting a provider with a dedicated team that meticulously analyzes every transaction.

Securion Pay’s advanced technology empowers you to customize automated and manual filters, granting you complete authority over your transactions round the clock, seven days a week, and all year. With a suite of tools designed to match your unique business needs, we aim to help you mitigate risks and reduce fraudulent transactions, ensuring your account’s longevity and optimal functioning. We strongly recommend exercising prudence and always adhering to the card schemes’ limits.

Factors contributing to the company’s “high risk” status

Due to various hazards, your business may be at a greater risk for merchant solutions and payment processors. Some factors could set your firm apart and require extra caution.

Clientele, Industry, and Location

Certain professions entail greater risk than others. The level of risk depends on the reputation and nature of the company. For instance, businesses that sell adult items share a similar level of risk to those that sell firearms. 

Travel agencies, sales representatives, bail bond companies, online auction platforms, and dating websites belong to this group.

Businesses that have never seen a credit card

Companies that heavily depend on card-not-present transactions are at a greater risk of experiencing fraud and chargebacks. It includes online businesses, such as internet-based enterprises, home-based businesses, online dating services, and online auctions. Even physical goods-selling companies that handle online payments are subject to high-risk processing.

Chargebacks have a reputation for being plentiful.

If you’ve experienced frequent refunds in the past caused by issues with payment processing, defective products, or other reasons, you may have been classified as a high-risk merchant. It means you’ll have to put in extra effort to establish yourself moving forward.

You look for in a high-risk payment processor

Selecting a credit or debit card processor that meets all your requirements is challenging due to high-risk options.

Business plan.

It is important to ensure that the payment processor you select aligns with the economic models you employ.

• Security

Regarding payment processing, you must choose a trustworthy merchant solution with multiple layers of chargeback prevention. As merchants who carry high risks are responsible for more chargebacks or fraudulent attempts, various services such as anti-fraud tools, AI-based fraudulent checks, and real-time notifications are available on request.

• Expertise

Merchant accounts of high quality require a business with experienced leaders who have been around for a considerable period. They must possess a comprehensive knowledge of specific industries and understand the nuances. Look for a payment processor that has a track record of success in your industry and can provide you with valuable insights and advice.

• Flexibility

As a business owner with complex payment situations, finding a high-risk processor to meet your needs is crucial. Look for a provider that offers personalized discussions about fees, terms, and benefits tailored to your specific company. You need a processor that can accommodate your unique needs and provide customized solutions.

• Clear pricing

When browsing a payment processor’s site, looking for clear pricing information is essential. You want to avoid hidden fees and ensure you understand the costs associated with the payment processing services. Look for a payment processor that offers transparent pricing and doesn’t charge exorbitant fees.

Advantages of high-risk solutions

High-risk merchant accounts often have the significant drawback of increased fees and processing rates. Additionally, financial institutions may require a reserve to mitigate the heightened risk. The operation of a high-risk business appears to be riddled with limitations.

There is global coverage.

Expanding your business as a high-risk merchant can be achieved by accepting payments in multiple currencies and catering to clients in non-low-risk countries. This approach can allow you to tap into broader markets and gain a competitive edge.

Chargeback protection is high.

As a business owner, it is crucial to maintain a healthy merchant account to avoid any disruptions in your payment processing. If your account hits the chargeback limit, it could be terminated, and you may need to look for a high-risk merchant account. It means you would have to stop accepting card payments temporarily.

On the other hand, having an open high-risk merchant account is more manageable since one chargeback does not lead to its closure. Nonetheless, it’s still your responsibility to manage chargebacks effectively.

Expansion of your company

By obtaining a high-risk merchant account, you can broaden your business horizons and market goods or services that a low-risk account would not allow you to sell. It can lead to an increase in profits as you have the opportunity to sell more items, resulting in a potential for more substantial earnings.