Shopify is one of the most popular payment processing systems, and low-risk merchants can now use Shopify's internal payment gateway, Shopify payments, to accept and manage transactions. Regardless, if you are a high-risk merchant, you might be denied using Shopify payments with your High-Risk Merchant Account Shopify.
As a high-risk merchant, you should depend on a third-party payment provider for your High-Risk Merchant Account Shopify — which may be the best payment method for Shopify regardless. Keep on exploring what groups a high-risk merchant account is, what Shopify's payment gateway includes, and what to do if Shopify payments don't support your industry.
What Is A High-Risk Merchant Account Shopify?
A merchant account enables associations to accept credit card payments virtually or in person. These accounts are organized into two types of accounts, low-risk and high-risk. The last choice is for associations with a higher likelihood of fraud or chargebacks. While specific enterprises are ordinarily at higher risk than others, associations can acquire high-risk status because of their internal financial history.
A business might be high risk for various reasons, including:
- Bad personal credit: Having bad personal credit suggests banks will be less inclined to give you loans. Consequently, you could find trouble getting a merchant account when you have bad credit. If your FICO assessment drops under 600, banks and other payment processing associations could name your business as high risk.
- High fraud, chargeback, or refund rates: If your association has high chargeback or refund rates, you could have a High-Risk Merchant Account Shopify. Any business could lose its merchant account when they have a critical rate of chargebacks or fraud. Further, your association will be less reliable to banks when your refund rates exceed sales.
- Offering memberships, continuity programs, or free trials: Often, people do not understand they've signed up for an endless membership, which prompts more chargebacks. Besides, when clients neglect to cancel a trial, they will raise your chargeback rate.
Conclusion
If your business has a spot with one of these enterprises, you will most likely have a High-Risk Merchant Account Shopify. While you will not have the choice to use the Shopify payment gateway, as portrayed, Shopify has helped some third-party gateway providers for high-risk accounts.
