What High-Risk Merchants Need to Know About Payment Service Providers

A High-Risk Merchant Checklist

According to some reports, the total number of non-cash payments transactions will reach $671 billion in 2019. There are 13,000+ FinTech companies, including payment gateways, so it is easy to get lost in this endless ocean of financial services. In this post, we will provide an overview of how to choose the right PSP if you run a high-risk business.

Not all merchant accounts are created equal. Although online merchants have access to thousands of merchant account providers that help to accept payments online, knowing a few key differences is crucial for securing a long-term solution to accepting payments online.

Most have heard about PayPal, Stripe, Square, Google Checkout, and Amazon Payments – all of them are one type of Payment Service Providers (PSPs): aggregators who process transactions through their own merchant account(s). Some even prohibit or restrict entire industry categories outright. Let’s explore the most common pain points from the perspective of high-risk online businesses, how to avoid them, and what to look for when building a reliable payments processing system.

1. Finding a PSP specializing in high-risk verticals

You should know that many factors might get your business labeled as ‘high risk.’ Moreove ...

To continue reading, sign up for MEDICI Inner Circle and get free access for 7 days.
100,000+ FinTech professionals trust MEDICI Inner Circle to stay up to date on the latest in financial services.