You’re not alone. Many industries are considered “high-risk” by payment processors.  This can both make it tough and expensive to accept credit cards from your customers. But don’t worry, there are solutions!  As a payment processor BIG has both High Risk and Traditional (low risk) Merchant Account options.  We will take the time to understand your business and work to get you best possible solution to accept credit cards. First…

Why Might Your Business Be Considered High-Risk?

There’s no single reason a business gets labeled “high-risk.” From industry type to chargeback history, even public opinion or where you sell your products can contribute to your level of risk.  Being labeled as high risk doesn’t have to have a negative impact on your business.

Some factors that could put your business into the high risk merchant account category include:

• Industry Type: Certain industries, like travel, nutraceuticals (vitamins, etc.), or adult entertainment, are more likely to be seen as high-risk.
• Products Sold: Are your products legal in all jurisdictions? How are they marketed? These can impact your risk level.
• Chargeback History: High chargeback rates (customers disputing charges) can make you high-risk.
• Public Perception: Does your business operate in an industry with potential social controversy (e.g., firearms)? Banks consider public image.
• Location: Whether you operate domestically or internationally can influence your risk profile.
• Average Transaction Size: Large average sales come with a higher risk for processors if chargebacks occur.
• Business History: Past merchant account closures, high chargeback ratios, or lengthy refund times can raise red flags.