Skip to main content
#
Shaw Merchant Group

Need Assistance?

If you have questions, would like more information or if you are ready to get started please click the button below to leave your name and contact information.

Top Articles

Thursday, 11 June 2020
Start a career in the merchant services sales industry. Start selling merchant accounts and credit card processing services and POS equipment.
Tuesday, 26 May 2020
Welcome to the largest site to find merchant services careers and credit card processing careers. Get into merchant services sales and credit card pro
Tuesday, 29 September 2020
Become a merchant cash advance agent and start selling merchant cash advance. Join the best merchant cash advance business opportunity.
Sunday, 31 May 2020
Refer merchant cash advances to our merchant cash advance company and get commissions for selling merchant cash advances.
Sunday, 18 April 2021
learn more about how to become a payment facilitator, join NAB and become the best payment facilitator company. Partner up with a payment facilitator,
Thursday, 28 January 2021
merchant portfolios for sale, merchant services residual buyout, merchant account portfolio buyout, merchant portfolio valuation, merchant portfolio a
Friday, 02 April 2021
White-Label Payment Service Providers and how products like white label payment gateways, mobile payment processing, build your own ISO brand.
Thursday, 01 April 2021
If you are looking for the best credit card processing business opportunity its here with North American Bancard Agent Program.
Thursday, 01 April 2021
Become a payment processor with North American Bancard ISO Program. Payment processing agents or credit card processor ISOs has huge commissions
Saturday, 03 April 2021
Become a merchant services agent, merchant account reseller, selling merchant services, merchant account portfolio buyout, Sell merchant account portf
Thursday, 28 May 2020
How do I get leads for merchant cash advance. Generate merchant cash advance leads
Monday, 17 May 2021
North American Bancard Agent Program, North American Bancard ISO Program, Merchant Services Agent Program, Credit Card Processing Agent Program
Wednesday, 22 September 2021
Top 5 Credit Card Processing Agent Programs, Credit Card Processing ISO Programs, Merchant Services Agent Programs, ISO Sales Partners, Merchant ISO
Thursday, 27 May 2021
how much money can you make selling merchant services, merchant services agent, credit card processing sales commission
Thursday, 27 May 2021
start a merchant services company, start a business selling merchant services, start my own merchant services company, best merchant services company
Wednesday, 26 May 2021
Learn how to become a successful credit card processing sales agent and a successful merchant services sales agent. Details on selling merchants.
Sunday, 23 May 2021
Learn the steps to become a registered ISO for merchant services. Ours merchant services iso or credit card processing iso program is the best in the

Need Assistance?

If you have questions, would like more information or if you are ready to get started please click the button below to leave your name and contact information.

High Risk Merchant Services for Agents and ISO's
Friday, May 22 2020

Imagine someone who is running a business in a field that many consider to be “dubious” or risky, such as tobacco sales, debt collection, adult entertainment, gambling, or even travel and time shares. They may seem like everyday staples of a free market, but many payment processors won't touch these kinds of merchants with a ten-foot poll. They are known as “high risk.” A business like this might find that it is unusually hard to get a merchant account, but they still need to be able to take people's money and perform cashless transactions just like anybody else. Where do they turn when no one seems to want to work with them?

This is where you come in. One strategy that you can take as a merchant services sales agent is to find a partner that allows you to cater to these high risk groups that might have a hard time attaining processing services for reasonable rates. You can even focus on this niche exclusively and strike some very lucrative deals because these higher risk businesses are usually willing to pay more. Many times, businesses like these may also have a high sales volume, which can make you a lot of money in residuals over time, even if you might have to take a smaller cut.

Before we take a look at the benefits, though, let's define what a “high risk” business is, and why a credit card company might consider them to be a risky prospect. In this context, a high risk business often falls into one of these categories:

- The business deals in goods of high price, where each individual transaction is hundreds or thousands of dollars. Some businesses just sell expensive items, and the added risk of charge-back means that credit card companies are less excited to work with them.

- The business sells goods or services to customers in certain high-risk countries. Sure, not everyone in these countries is a scammer, but if a particular territory is known to breed fraudsters, then companies aren't going to be keen on working with them.

- The business uses dubious sales practices, such as employing high-pressure sales tactics to sell people things that they don't really need or want; e.g. time shares, travel packages. There is a huge problem here with charge-backs if your customers are likely to have buyer's remorse.

- The business deals in what some consider morally questionable goods and services. Again, as with businesses in certain physical territories, credit card companies like to avoid businesses that reside in certain moral territories. You might find that gambling businesses, strip bars, or cigar shops fall into these categories—basically, anything that deals in the vices.

- The business performs transactions where the physical card isn't present. Basically, this takes a lot of ecommerce businesses out of the running for low-risk accounts. A lot of credit card fraud can take place online, and of course the charge-backs that result from fraudulent transactions can be costly.

Now you might realize that it all really comes down to charge-backs. If the processor believes that there's a non-trivial chance that the activities of the business will result in a lot of charge-backs, or that the merchant may not fulfill their responsibility to pay for the charge-backs, then it may be considered high risk. Many processors will not deal with high risk merchant accounts at all, and in fact merchants in high risk businesses may have to work with specialized processors, and they may even have to set up their merchant accounts with over-seas companies.

There is certainly a hungry niche here, and you might do well to serve it. Many businesses have a hard time securing a merchant account, and you can make things a little easier for them by providing high risk merchant accounts. Here are some of the benefits of dealing in this sector:

- Less competition. Other merchant services companies or merchant services sales agents may be (understandably) hesitant to work with these companies, so you might be able to pick up the slack. Yes, these accounts are riskier, but sometimes the risk can be worth the reward. Merchant service providers can mitigate some of that risk as well by raising their transaction costs or requiring a deposit.

- Online sales are booming. People are buying goods online more than ever, and that means that someone is going to have to provide all of these online retail businesses with merchant accounts. Why not get into a niche that is explosively growing? You will never be in want of merchants to turn into your customers.

- Many high risk businesses are also very lucrative. If your clients are making a lot of sales, then you are getting a piece of that pie. This is especially true for businesses that sell people what are considered vices. As much as society may look down on these businesses, they also love to buy from them.

- You can cater to all business types with few limits. If you only sell merchant services to low-risk businesses, then you cut out many potential niches that you could work in. By specifically offering high risk merchant accounts, you open yourself up to just about any business that you want to work with. Never turn away another merchant simply because they don't fit the narrow definition of what a low-risk account entails. As with anything in business, of course, there are risks as well as benefits—that's why they call these high risk accounts. As a sales agent, you wouldn't be responsible for charge-backs, but you might be faced with making a smaller cut in terms of both residuals and any upfront payments for each merchant account that you sell. This is natural considering that the processor will have to more likely deal with charge-backs, so their fees will be on the expensive side. Still, by finding a partner that will allow you to take high risk merchants, you can add a more diverse variety of merchants to your portfolio, which will make your business more well-rounded.

Download PDF: High Risk Merchant Services for Agents and ISO's 

topics:

high risk merchant account providers, agents, iso, high risk credit card processing agent program, high risk merchant services agent program, high risk merchant services ISO

Need Assistance?

If you have questions, would like more information or if you are ready to get started please click the button below to leave your name and contact information.

Featured Video

Featured Video

Need Assistance?

If you have questions, would like more information or if you are ready to get started please click the button below to leave your name and contact information.

Saturday, 03 April 2021
Merchant services sales training is important to help you learn the ropes about payment processing business and become a successful merchant services
Thursday, 11 June 2020
Start a career in the merchant services sales industry. Start selling merchant accounts and credit card processing services and POS equipment.
Tuesday, 26 May 2020
Welcome to the largest site to find merchant services careers and credit card processing careers. Get into merchant services sales and credit card pro
Tuesday, 29 September 2020
Become a merchant cash advance agent and start selling merchant cash advance. Join the best merchant cash advance business opportunity.
Sunday, 31 May 2020
Refer merchant cash advances to our merchant cash advance company and get commissions for selling merchant cash advances.
Sunday, 24 May 2020
As part of our Merchant Services Sales Partner Program our Credit Card Processing Agents can Sell Merchant Accounts. Join our Sales Partner Programs
Thursday, 13 May 2021
Looking for the best Merchant Account Affiliate Program. Find the top Credit Card Processing Affiliate Programs with North American Bancard.
Monday, 29 June 2020
Build lifelong relationships with our Cash Discount Agent Program. Agents and ISOs looking for the best cash discount program to sell to merchants.
Tuesday, 09 June 2020
Become a Cash Discount Program ISO with North American Bancard. Sell Cash Discounting to merchants and offer a cash discount reward program.
Thursday, 09 July 2020
Selling merchant accounts as a successful credit card processing sales agent is easy with North American Bancard Agent Program. Sell merchant services
Tuesday, 19 May 2020
Learn the truth about merchant services and credit card processing sales and how you can become a merchant account sales representative.
Thursday, 18 February 2021
Become a merchant services consultant, merchant account consulting, credit card processing consulting, merchant services consulting, credit card proce
Thursday, 01 April 2021
Selling Merchant Account and Selling Credit Card Processing is one of the most lucrative sales jobs. Become a Merchant Services Sales Agent.
Tuesday, 16 February 2021
Start selling merchant accounts from home and selling credit card processing from home. Become a merchant account salesperson.
Saturday, 23 May 2020
Topics include high risk merchant processors, high risk credit card processors, high risk merchant services, high risk merchant accounts and more
Thursday, 28 May 2020
How do I get leads for merchant cash advance. Generate merchant cash advance leads
Monday, 17 May 2021
North American Bancard Agent Program, North American Bancard ISO Program, Merchant Services Agent Program, Credit Card Processing Agent Program
Saturday, 03 April 2021
Become a merchant services agent, merchant account reseller, selling merchant services, merchant account portfolio buyout, Sell merchant account portf
Thursday, 01 April 2021
Become a payment processor with North American Bancard ISO Program. Payment processing agents or credit card processor ISOs has huge commissions
Friday, 02 April 2021
White-Label Payment Service Providers and how products like white label payment gateways, mobile payment processing, build your own ISO brand.
Thursday, 28 January 2021
merchant portfolios for sale, merchant services residual buyout, merchant account portfolio buyout, merchant portfolio valuation, merchant portfolio a
Sunday, 18 April 2021
learn more about how to become a payment facilitator, join NAB and become the best payment facilitator company. Partner up with a payment facilitator,
Sunday, 02 May 2021
Become a merchant services provider and offer credit card processing, merchant services and other payment processing services to merchant that want to
Tuesday, 29 September 2020
Become a merchant cash advance agent and start selling merchant cash advance. Join the best merchant cash advance business opportunity.
Sunday, 31 May 2020
Refer merchant cash advances to our merchant cash advance company and get commissions for selling merchant cash advances.

Helpful Links

Sunday, 02 May 2021
Become a merchant services provider and offer credit card processing, merchant services and other payment processing services to merchant that want to
Sunday, 24 May 2020
As part of our Merchant Services Sales Partner Program our Credit Card Processing Agents can Sell Merchant Accounts. Join our Sales Partner Programs
Monday, 10 May 2021
Join our Merchant Account Reseller Program where you get huge bonuses for selling credit card processing and merchant services.
Tuesday, 29 September 2020
Become a merchant cash advance agent and start selling merchant cash advance deals today. Our merchant cash advance ISO program is the best in the cou
Wednesday, 03 June 2020
Selling merchant cash advances are lucrative and cash help small businesses by becoming a merchant cash advance agent or ISO. Join our program.
Thursday, 13 May 2021
Looking for the best Merchant Account Affiliate Program. Find the top Credit Card Processing Affiliate Programs with North American Bancard.
Monday, 29 June 2020
Build lifelong relationships with our Cash Discount Agent Program. Agents and ISOs looking for the best cash discount program to sell to merchants.
Tuesday, 09 June 2020
Become a Cash Discount Program ISO with North American Bancard. Sell Cash Discounting to merchants and offer a cash discount reward program.
Thursday, 09 July 2020
Selling merchant accounts as a successful credit card processing sales agent is easy with North American Bancard Agent Program. Sell merchant services
Tuesday, 19 May 2020
Learn the truth about merchant services and credit card processing sales and how you can become a merchant account sales representative.
Thursday, 18 February 2021
Become a merchant services consultant, merchant account consulting, credit card processing consulting, merchant services consulting, credit card proce
Thursday, 01 April 2021
Selling Merchant Account and Selling Credit Card Processing is one of the most lucrative sales jobs. Become a Merchant Services Sales Agent.
Tuesday, 16 February 2021
Start selling merchant accounts from home and selling credit card processing from home. Become a merchant account salesperson.
Saturday, 23 May 2020
Topics include high risk merchant processors, high risk credit card processors, high risk merchant services, high risk merchant accounts and more
    Disclaimer

    © Shaw Merchant Group, LLC. Our goal is to gather accurate, updated information and assist you in your research. We recommended that you check with your service provider or financial institution directly and get independent financial advice before making any commitments or business decisions. 

    Company logos, names, and trademarks mentioned on this site belong to their respective owners.

    All merchant related services and products are referred to North American Bancard for first right of refusal. All information generated on this site is shared with NAB. North American Bancard is a registered ISO of Wells Fargo Bank N.A., Walnut Creek CA, of BMO Harris N.A., Chicage, IL and The Bancorp, Philadelphia, PA.