What Are The Payment Processing Rates For A High Risk Merchant Account?
As a high risk merchant, the payment processing rates are somewhat high because of the chargeback and other transaction risks involved. Hence, other than services there are also other fees that must add up in case of high risk merchant account.
As a matter of fact, high risk business owner has so many thing to look up on which add or subtract into his reputation and the payment options. When you are considered as a high risk you must know that all the risks and complications double up especially in case of transaction and online payments. Additionally, the chargeback would also be double in case of high customer transaction traffic. Some of the facts and figures related to payment processing rates for a high risk are mentioned below:
Payment processing and transaction fee and charges:
One of the common and generalized types of fee that has to be paid in any case is payment processing fee, whether the account is high risk or not. It is quite obvious that payment processing fee is liable to charge to most of the merchant as transaction is the main course of initializing and establishing a business. With addition to this, two or more other types of fee are also being paid by the merchant for seeking various services.
Fee and charges to be paid:
The initial and the foremost type of fee that is supposed to pay is services fee. Different services that are being taken by the merchant for its account are included in this fee. It then includes maintenance, training fee, account fee in addition to credit and debit card payment fee. Most of the merchant accounts are usually high in paying the credit card processing fee as the usage of this form of payment transaction is more common. Another fee included in this is few percentage amounts that are taken on each transaction. It varies with the amount of transactions and it is associated with every bank and credit card payment. Apart from all these charges, there are some additional charges that are paid on incidental basis. Like if chargeback occurs then this payment fee will add up frequently.
What are the payment processing rates for high risk merchants?
It is a common fact that if you experience high risk merchant account then there are least chances of providers to work with your services. Also they would be less likely to deal with you, probably a good deal. In few cases, providers have a chance to reject your demand to work with them as they consider you business too risky to work with. Or if in case they get ready to deal with you then they will charge you high rates and fee as this a common belief that high risk merchant account is a heavy risk to work on. Another reason for their high rates is the issue of chargeback and fraudulent activities that are no good in maintaining a friendly and better terms with provider.