How long does it take to set up a high risk merchant account?

A high risk account takes under five business days to set up if the merchant is ready to go with all documentation and website compliance, and responds to inquiries from underwriting and compliance in a timely manner. The most significant and common obstacle we see with issuing accounts swiftly occurs when the merchant delays the application process by not being ready to move forward, not answering questions or not having access to required documents.

Since we offer several high risk account solutions, merchants may want to weigh all the options before making a decision, adding time to the process. Nevertheless, since different processors have different appetites for high risk accounts, sacrificing some time to compare multiple offers can pay handsome dividends for a business. Even small differences in fees add up to substantial sums if your transaction volume is high. Furthermore, if you obtain an account with significantly better terms — for instance, a lower reserve fund requirement or none at all — you’ll position your business much better for revenue growth and profitability.

One thing to keep in mind when submitting your application is to provide clear and complete information. The more “holes” the bank’s underwriting team has to fill, the longer finalizing their review will take. For high risk enterprises, gathering all the necessary information can be a daunting task, since you may have to go back 5 years into your financial records. And not only will you need business records, but you will also most likely be required to submit personal financial information. This is because when the need arises to cover chargebacks and other losses associated with processing credit card transactions, owners and in some cases board members have liability as well as the business entity itself.

In addition to submitting clear and complete information, supplying accurate information on your merchant account application is also imperative. Sometimes high risk businesses are tempted to gloss over items that they believe reduce their chances of being approved for an account. This is actually the opposite of what will happen. Financial issues such as bankruptcies, liens, delinquent and terminated accounts, and other such red flags are a matter of public record. High risk account underwriters are adept at finding this type of information, so supplying it upfront is much better for you than having the underwriters uncover it on their own. Not only will supplying the information speed up the application process, it also will help reduce the odds of your application being declined.

As specialists in high risk accounts, we assist you from start to finish in the application process. For many high risk startups and even established businesses, knowing where to find the necessary information and how to prepare it are daunting tasks. We have helped clients successfully submit applications thousands of times, and we are intimately familiar with the requirements of all the top domestic and offshore payment processors.

To get your account set up as quickly as possible with the most favorable terms available, please contact us now.


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