How do you know if your business has been categorized as needing high risk credit card processing? Well, the primary reason is other merchant accounts aren’t willing to take on the risk associated with your business.
The acquiring bank or its representatives can close your account and hold funds, without notice, based on negative risk factors involved with your product or brand. Moreover, if you experience high levels of chargebacks or if your payment processor has dropped your account, you may need a high risk merchant account to start accepting credit card payments online.
Some industries fall into the high risk category without a doubt, while others are carefully scrutinized for tell-tale risk factors. Below are a few common industry types that are found to always require a high risk payment gateway.