High-Risk
Merchant Accounts

ACH payments referred to as ACH transfers or ACH transactions. These payments aren’t instant and can take a few days to appear in the final account, but they have a lot of benefits and can be a vital option for many businesses, especially those in high risk industries like firearms, debt collection, nutraceuticals, and e-cigarettes.

High Risk Industries with ACH Payments

ACH merchant accountThere are many different businesses out there that can fall into the high risk category and need to make use of ACH payments. The ACH system is especially useful for companies that handle high numbers of electronic payments on a very regular basis, such as those with subscription services, annual memberships, financial services, or travel services.

There are also many high risk businesses that need ACH payments to help them grow their companies and brands, such as pharmacy companies, vacation rental companies, property management services, and so on. These types of businesses have to have a way of getting paid regularly, safely, and on-time by clients, and ACH can help with this in a big way.

There are also many fun and entertainment-based high risk businesses that make frequent use of the ACH network, such as penny auction sites, e-cig retailers, those in the vape and hemp businesses, and companies that offer fantasy sports or sports betting services, too. Again, these businesses need to handle high amounts of payments, and ACH accounts can help them enormously.

What Is a High Risk ACH Merchant Account?

So what exactly is a high risk ACH merchant account and why can it be so important to have one of these accounts? Well, in simple terms, a high risk ACH merchant account is one that can allow your business to process and receive ACH payments from your clients and customers, and as the name implies, this type of account is aimed at high risk businesses.

So, if you’re running a business as part of one of the many “high risk industries” out there, you may need to get yourself a high risk ACH merchant account. These accounts make it safe, simple, and seamless for your company to get paid via the ACH system, and this can massively improve your rate of business growth, as well as your potential profits.

Indeed, there are lots of advantages associated with high risk ACH merchant accounts. They can aid with client retention, reduce levels of churn, and help you get paid more quickly by your clients and customers, too, so they can make a real difference to any business in a high risk sector. However, due to the risky nature of these businesses, getting a high risk ACH merchant account can be a challenge.

Difficulties Obtaining High Risk ACH Merchant Accounts

There are many benefits you can get with a high risk ACH merchant account, from lower transaction fees on average to better customer retention rates due to the ease and simplicity of ACH payments. However, when you’re involved in a high risk industry, getting an ACH merchant account isn’t always as easy as it seems.

In fact, a lot of banks and financial institutions won’t provide these kinds of accounts and services for high risk businesses, like those involved in the travel industry, MLM companies, web design and development companies, travel, telemedicine, tobacco, vaping, subscription services, streaming services, credit repair companies, debt collection, and so on.

Why is this? Well, the main issue is that banks try to avoid working with these kinds of high risk companies in general, due to the risks that they can present. For example, if you’re working in the travel industry, banks may worry about chargebacks if people cancel their travel plans due to changing circumstances.

Many businesses in these kinds of industries have to deal with high rates of chargebacks, missed or late payments, friendly fraud, and other issues that can lead to a lot of extra fees and a need for greater time and effort on the part of the banks and payment processors handling the accounts. In short, it all causes more work and problems for the banks, so they generally like to avoid high risk businesses as much as they can.

Apply For A High Risk ACH Merchant Account

It’s clear to see that if you’re running a business that needs to make frequent use of ACH payments, having a high risk ACH merchant account can be a big help. However, the problem is that a lot of banks and payment processors don’t like the idea of working with businesses in high risk industries and may not offer the high risk ACH merchant accounts and services you require.

So, what can you do when you keep getting rejections and refusals from the banks around you? Well, even if those banks say no, there are still plenty of banks that will say yes, and Shark Processing can help you find them. Here at Shark Processing, we’re experts in high risk credit card processing and high risk ACH payment processing too, and we can help you get the high risk ACH merchant account you need.

We work closely with a network of trusted banks and reputable payment processors who are able to offer high risk ACH merchant accounts to those in high risk industries. And we can help you get the best possible rates and ideal terms to suit the specific needs of your business, too. Get in touch with the Shark Processing team today to find out more.