Merchant accounts are required in order for a business to accept credit card payments. As a merchant, there are two places you can obtain a merchant account; a bank, or a third party provider. For online merchants the most popular, plus most cases cost effective, source is from an additional party merchant account provider.

A high risk merchant credit card is required by businesses that, when compared into a ‘traditional’ goods/services business, was at a higher risk of:

Bankruptcy

Fraudulent Transactions

High amount of sales

High rate of refunds

High rate of charge-backs

Other reasons a merchant may be categorized being a high risk are:

Merchants Location – Some merchant account providers won’t accept merchants from certain countries.

The Product/Service the merchant sells is illegitimate in some jurisdictions.

Merchant Credit history – Some providers won’t accept merchants with poor or no credit foundation.

Due for the high risk classification, most banks will not provide your free account to those in a danger industry (such as adult entertainment, replica goods, pharmacy etc). Consequently some outside providers offer their services to both general merchants and high risk merchants.

Merchant account providers which developed to service high-risk merchants will normally provide the next stage of fraud protection, with a purpose to decrease the price of their merchants incur. However, in order to cover the advanced of risk, rates for just about any high risk merchant account will possibly be higher than their lower risk counter-parts.

When looking for high risk pharmacy merchant account risk merchant account, there are many factors that you should take into mind. Rates will be one of the biggest factors, like includes fees for refunds and charge-backs, along with transaction fees, the discount rate and ongoing fees. Then you will need to contemplate fraud protection, customer service and reporting available to you as a merchant.