It all depends on their risk department (underwriting) guidelines.If the guidelines are strict, then you won’t get approved. 🙁High risk merchants have to make do with crappier terms and higher rates. When you’re caught between a rock and a hard place, you don’t have much room to negotiate.Amad has worked in the e Commerce and online marketing world since 2002.And, since you are in fact stuck between that rock and that hard place, your judgement might be a bit cloudy. Make sure you check for termination fees and other incidentals as well. What you need to do is find a provider that is willing to work with your business type, that is willing to give you fair rates and that doesn’t forget about you as soon as you sign up.So far, Durango has been pretty damn good in that department, so you might want to check them out.Durango or Payline Data), and they’ll definitely be able to help you out.
If the guidelines are relaxed, then you’ll have yourself a merchant account. Furthermore, if the provider you apply to specializes in high risk merchant services, then you’ve already won the battle. BUT, keep in mind that there are some providers that don’t specialize in high risk, but still have relaxed guidelines (i.e. A word of caution…Don’t skimp on reviewing the details of your contract. There are a number of reasons why a provider would consider your business as high risk. As I mentioned above, some providers are more risk averse than others.
For every 1 ethical and reliable high risk processor, there are about 325 unethical ones that are just waiting to take advantage of you. Most high risk processors want some sort of reserve so they can cover their own behind should you close up shop, get a crazy amount of chargebacks or commit some sort of fraud. Maybe your industry is known for having a high instance of chargebacks or fraud. They don’t want to deal with any business that may pose a bigger threat of losing them money, so they avoid those business types altogether.