Declined Merchant Accounts
Reasons for Card Processing Decline
There are various reasons why your application for card processing may have been declined. Let’s explore some common factors:
- Poor Credit History: If your business contains a history of financial instability or a low credit score, it’s going to raise concerns for the payment processor.
- Industry Risk: Certain industries are considered high risk by payment processors thanks to factors like chargebacks, fraud, or legal restrictions. These industries can include online gambling, adult entertainment, pharmaceuticals, and more.
- Incomplete Application: If your application is missing vital information or documentation, it could lead to a decline.
- Previous Merchant Account Issues: If you’ve had problems with a previous merchant account, like excessive chargebacks or violations of the payment processor’s terms and conditions, it can impact your chances of approval.
Steps To Take If Your Application Is Declined
Identify the rationale
It’s crucial to contact the payment processor to grasp why your application was declined. This may assist you determine the precise issues you need to handle.
Review Your Business Practices
Take a more in-depth look at your business operations and identify areas which may have raised concerns for the payment processor. This might involve improving your credit score, implementing fraud prevention measures, or resolving any past merchant account issues.
Find A High-Risk Specialist
Search for a payment processor that specialises in high risk. These providers have the expertise to take care of businesses in industries considered high risk.
Prepare A Robust Reapplication
Collaborate closely together with your chosen payment processor to assemble all the required documentation and information required for a successful reapplication. Address any concerns raised during the initial decline and demonstrate how you have taken steps to mitigate risks.
At Merchant Advice Service, we understand the challenges you face when your card processing application is declined and the importance of finding the most suitable merchant services. Our team of experts focuses on high-risk merchant accounts and can guide you through the process. We offer personalised solutions for business owners, tailored to your business needs, helping you secure the payment processing you need. to find out more about how we can assist you, visit our High-Risk Merchant Accounts page. For more advice like this, visit our blog page!
Conclusion
Having your card processing application declined can be a stressful experience for business owners. However, it’s not the end of the road. Whether the issue lies with the card issuer or higher risk industries not meeting criteria, there are steps you can take to turn things around. Merchant Advice Service specialises in helping businesses like yours navigate the complexities of credit card processing, our experts are on hand today to help you.
