There are many traits that define a high-risk merchant. The landscape of high-risk e-commerce is ever-changing, ever evolving. With more than 15 years of furnishing e-commerce businesses with high-risk merchant accounts, we like to think we’ve remained up to date with shifts and regulations. When banks label a business high risk, it can mean several things:
Along with having an initial (necessary) conversation with prospective merchants about signing on with our high-risk merchant services options, part of the conversation circles around the necessary know-your-customer (KYC) documents vital to gaining and approval for a high-risk merchant account.
Proper regulation of high-risk industries and merchants has never been more critical than it is today, hence the need for the necessary documents. Different documents are necessary for different industries (for example, supplier agreements are a must for certain businesses such as nutraceuticals and pharmaceuticals). However, along with the acquiring bank and payment processor applications, the core KYC documents we may ask of prospective merchants include: