merchant account for pharmacy 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, and in most cases cost effective, source is from a third party merchant account provider.
A high risk merchant account is required by businesses that, when compared into a ‘traditional’ goods/services business, have a a higher risk of:
Bankruptcy
Fraudulent Transactions
High volume of sales
High rate of refunds
High rate of charge-backs
Other reasons a merchant may be categorized for 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 track record.
Due into the high risk classification, most banks won’t provide a forex account to those who are in a riskly industry (such as adult entertainment, replica goods, pharmacy etc). For this reason some third party providers offer their services to both general merchants and high risk merchants.
Merchant account providers which developed to service high-risk merchants will probably provide the next stage of fraud protection, so as to decrease charge their merchants incur. However, in order to cover the more fantastic range of risk, rates with a high risk merchant account will be higher than their lower risk counter-parts.
When hunting for a high risk merchant account, there many factors that you should take under consideration. Rates will be one of the biggest factors, refund policy 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 you as a merchant.