There can be a few reasons why your bank is labeling you as “high risk.” You may be in an industry with government regulations. You may be selling a service or product that is in a legal gray area. You may be running a business with a track record of chargebacks. Whatever the case, here are 3 tips to ensure you manage it successfully and know your options.
1. Form a Relationship with Your Merchant Account Provider
This one is huge! The last thing you want is to sign up your business with a provider that views you as another ID#. They won’t truly care about the success of your business because their portfolio is so massive. If you now your business will require high risk credit card processing, find a provider that provides a dedicated account manager that understands your business and business model. When it comes time to defend you and the business, they’ll know exactly what needs to be said and provided.
2. Invest in Chargeback Protection Programs
Any respectable provider will be able to point you in the direction of a chargeback protection program. These programs are great if you happen to be in an industry known for higher chargebacks. It will also show your provider that you are serious about lowering the ratio as much as possible. You’ll build a trust.
3. Multiple MIDS, For the Right Reasons
Some merchants open up multiple MIDs for the WRONG reason. If you’re trying to find some loophole, you’re doing it from the wrong intent. Having multiple MIDs can be a positive thing if it acts like backup to your main MID. If regulations with your current provider change, you’ll have the peace of mind to know that you’re in good hands.
There are tons of tips we’ll continue to share, but with these 3, you’ll find the path to success much easier!