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Forex Merchant Account: High-Risk Merchant Account Solutions For Brokers

The foreign exchange market, or simply known as the currency market, is the largest financial market in the world. With more than $5 trillion traded on average every day, it is also the most actively traded market globally.

The forex market is increasing exponentially. With enough room for growth, the dynamic industry is witnessing constant significant changes. The introduction of new technologies in recent years means new opportunities for traders and brokers alike. It is safe to say then that the number traders and brokers entering the market is only set to grow in the coming years.

The upsurge in foreign exchange firms means fierce competition resulting in the fight to offer the best services and convenience to the traders. And one of the most popular leverage to provide the clientele is the acceptance of debit and credit cards for trading.

The forex industry is a complicated one and because of its risky business nature, it naturally has a few challenges associated with payment processing.

The primary concern of forex merchants is increased cost. As with any other high-risk business, forex merchants are often charged large amounts of money upfront in order to make a profit.

Fortunately, forex merchants can still obtain a forex merchant account with quality solutions and reasonable fees.

Forex Merchant Account: High-Quality and Affordable Merchant Account Solutions

Providing various other secure payment options via your forex platform is a great way to build trust as well as retain customers thereby expanding your business. In addition to being more secure, investors are also likely to deposit a large amount of funds quickly as compared to other payment options.

A popular request from traders is the ability to fund their trading account online with a debit/credit card.

A Forex Merchant Account will not only help a merchant in processing transactions safely, securely and quickly but also allow traders to fund their trading accounts effectively.

All leading forex brokerages accept card payments. With a reputable merchant account provider, forex merchants can have access to numerous benefits resulting in driving sales and eventually making a profit.

You will come across several merchant account providers, each offering their own advantages and features customized to benefit merchants.

Client deposits are important in forex. The possibility to deposit funds guarantees profit for the broker. Also, with regards to payouts, traders want to receive earnings on the same credit card that they have paid from.

The above two important points make it essential for a broker to choose the right forex merchant account solutions for their business. Obtaining a forex merchant account from a specialist processor can prove to be advantageous in solving the deposits and payouts issues.

Accept Online Payments with an Internet Merchant Account

With consumers spending every minute online, it would be an understatement to say e-commerce businesses are flourishing. When planning on buying a product or service, our first instinct is to check for it online. Keeping up with the trend, many brick and mortar businesses have started selling their products online too.

With running an e-commerce business arise the need to accept online payments too. Customers want variety, be it in products or payment options. With credit card payments on the rise, offering seamless online payment options will make sure merchants don’t lose out on those sales.

Whether you are a physical store selling products online, an established ecommerce business looking to expand payment options or a start-up online store, here’s what you need to accept online payments – Internet Merchant Account.

What is an Internet Merchant Account?

Internet Merchant Account is an absolute necessity if you want to accept credit or debit card payments through your e-commerce store. The account allows you to accept payments via your website.

An internet merchant account has the same features as an ordinary merchant account. Except, with an internet merchant account you can run online transactions in real time.

A merchant account offers two types of transactions, “card-present” and “card-not-present”. Internet Merchant Account, also known as E-commerce Merchant Account, falls into the second category. Just like how a brick-and-mortar store can accept payments by swiping their cards through a POS terminal, an internet merchant account authorizes online payments by allowing customers to simply enter their card details into your website to make the necessary transaction.

Bank or Merchant Account Provider

If you already have a merchant account, you can ask your bank to provide you an internet merchant account or switch to ‘card-not-present’ transactions to start taking online payments. The other option is to obtain complete merchant account solutions from an independent merchant account provider.

While it is instinctual and only logical to stick to your current provider, banks are usually much stringent with the application and approval process, especially if your business is relatively new.

A merchant account provider offers customized solutions tailor-made to suit your payment requirements. Chances of getting your business approved with such providers are also greater whether you are new merchant or an established one, regardless of your business type or industry.

Whichever way you choose to go, your business will be assessed for risk, credit history and legitimacy during the underwriting process.

It is strongly advised against using a standard merchant account to process online payments since it follows different set of policies and requirements. Providers can shut your account in such cases.

Check out top-rated merchant account providers such as Instabill, International Bank Services (IBS), Vantiv, TSYS, etc. that offer complete expert online payment processing solutions.

Merchant Account & Payment Gateway

Do I require a payment gateway as well? No, it is not necessary to integrate a payment gateway to an internet merchant account since you can process transactions using credit card processing software. But here payments are not processed in real time with merchants manually entering card details resulting in delay in transactions.

Merchant account accepts payments while payment gateway processes it. Without an internet merchant account, your payments option will be redirected and processed through another site. This can be a long, tedious process as well as not entirely secure.

On the other hand, an internet payment gateway complete with a payment gateway proves to be the best solution. With an internet merchant account the funds are held in your own account and a payment gateway is what you need to authenticate and process credit card payments in real time, the entire transaction process happening on your own website is an added advantage.

Choosing either an internet merchant account or a payment gateway or both should depend on the type of business you operate and your monthly sales volume.

There are several providers, such as IBS, offering internet merchant account with an integrated secure payment gateway.

Propel your business & streamline your payments with an Internet Merchant Account. Do not compromise & choose wisely!

Reasons Why Your Business Is Denied A Merchant Account

Merchant Account is an absolute for businesses in this online-crazed world. But obtaining a Merchant Account, especially for a new merchant, can be an intimidating process.

Getting a merchant account is like being involved in a partnership with your merchant account provider. The merchant account provider assumes some level of financial risk and liability for providing payment services. Hence, the provider has to thoroughly evaluate and determine whether or not your business is fit for this partnership.

Make no mistake; providers never like to turn down an applicant, but the tedious application process is necessary to evaluate your business and hopefully minimize risk.

Below mentioned are a few reasons on why you might have failed to obtain a merchant account. And if you are merchant planning on applying for one soon, the following points could help in making the process simpler:

– Bad Credit History

The merchant’s personal credit history comes under scrutiny during the application process. A history of bad or unresolved debts, unpaid loans or failed business ventures can get you turned away.

If your credit history is what getting you into trouble, make sure to settle your previous dues or let your business partner with a positive credit rating sign on the application instead.

– Business Type

Traditional banks and some payment processors, by default, turn away businesses placed under the high-risk category. Due to their risky nature, merchant account providers refuse to accept these types of businesses.

Such merchants can then turn to merchant account providers specializing in high risk businesses. A quick internet search will land you a few hundred High Risk Merchant Account providers; International Bank Services (IBS), GS Pay, InstaBill, WorldPay to name some are top-rated in the industry.

– Mentioned in TMF/MATCH List

When your previous merchant account provider or bank terminates your account, they place you in the TMF/MATCH list. Basically, it means your business is black-listed. Your presence on the register indicates the other providers that you are a credit risk. High chargebacks, fraudulent activities, violation of company rules can get you quickly on this list.

Avoid committing the above mistakes and clear any outstanding dues with your previous merchant account provider before applying for an account elsewhere.

If you are already on the list, you can either wait for 5 years for your name to be taken off of the list or look for merchant account providers that are willing to process for TMF merchants.

– Lack of documents/Misinformation

A simple reason for being denied is not providing all the necessary documents required and/or giving misleading information about your business to the providers.

In order to properly evaluate the nature and legality of a business, providers ask for a host of documents that need to be submitted and failure to do so can only result in your application being cancelled.

Also, keep in mind that the business information provided by you is thoroughly evaluated by the processor to ensure that your business is right and legal. Your business location, business partners, your bank as well as any previous providers you might have had are contacted during this process.

Hence, understand the company’s procedures & policies and be completely honest about your business.

– Illegal/Fraudulent Business

The most obvious reason for your business to be denied a merchant account would be if the provider finds out your business is linked to a fraud activity or you are selling banned products & services. Avoid any illegal or fraudulent activity in order to get approved.

As tiresome as this process might be, be patient and do your homework before applying. The above points can serve as guidelines to make the process a bit easier and land you a merchant account provider that is a right match for your business.