Getting Merchant Services With Poor Credit: Possible or Not?

Saturday, June 13th, 2020

Opening a merchant account can be rather challenging if you’re a merchant with poor credit. Traditional banks and most payment processors aren’t willing to open accounts for high-risk business owners. Let’s see what chances you have concerning merchant services with poor credit.

Merchant Services With Poor Credit

The reason why you can have poor credit is based on several factors. These may include past bankruptcies, the industry you’re involved in, tax liens, bad credit, higher rates of chargebacks and fraud, and more.

Though you may think it’s impossible to get your business back on track, not everything is lost. All you need is to find a reliable merchant-services provider that’s ready to work with your type of business.

Be aware that approval criteria differ from provider to provider. Things will get much easier for you if you turn to a respectable comparison expert of merchant-account providers like BestPaymentProviders.uk.co. Best Payment Providers UK gives special attention to integration, terms, and complaints to guarantee the most reliable review of companies at the time of writing.

Getting Merchant Services With Bad Credit

Traditional banks and financial institutions shy away from risky businesses. If you’re a legitimate business interested in accepting credit-card payments, you should apply to a high-risk processor. Below, you can find several points associated with applying for high-risk merchant services:

• It’s a big advantage to have an open bank account with positive accounts.
• Bad-credit merchant services mean higher fees, but you can look for the cheapest possible rates.
• Find a co-signer with good credit.
• It’s also recommended to have a rolling-reserve account. Providers of bad-credit merchant accounts may impose a reserve for the contract duration with the merchant processor as a guarantee that the bank will receive its funds if your business isn’t a success.
• You can also apply for an overseas merchant account.
• Merchants dealing in high volume may have to operate with lower volume caps.

And more.

As you see, even though traditional providers of merchant accounts aren’t willing to work with high-risk merchants, you can still get the services you need from a high-risk merchant processor. You can do this easily by working with a reliable payments-comparison expert in the UK.