Common Mistakes Every High Risk Merchant Should Avoid

Merchants with high risk businesses carry a greater loss to banks and credit card processing companies. They already pay higher fees and undergone through critical approval experience. Besides these common procedure some common mistakes can take merchants to pay even higher or some time they may lose the ownership of account. 

Disputes with customers – having too many disputes with customers can lead merchants to incur high cost. Even there is no fault of merchant, but this is harmful for business and just one notification can through you in problem. Ensure before dispatching products and services that to deliver correct and quality products. Use trusted courier and make relevant packing so goods cannot be destroyed while shipping. Avoid disputed at to enjoy maximum profits on credit card transaction.

Many charge backs – when a merchants take lightly customers disputes and not give proper services, the card issuing companies issue a refund to the customers directly. As charge backs fees are higher than any penalties and fees. With numbers of charges backs the fees of charges backs also increases, so avoid these mistakes whenever possible. 

Don’t limit your payment processor – customers find difficult to share their information online, they hesitated to pay online and sometime cannot find the correct payment option that they want and find trustworthy. Therefore choose a payment processor who offers a variety of payment options.

Avoid Hidden Fees – some companies charging additional fees and disguised deep terms and conditions. Go well through disclaimer and policy of hidden fees before you settle with any company.

Irrelevant business activity – irrelevant business activities can lead business in black hole. Heavy procedure and transaction can set off alarms with processors. Keep some gap and maintain track record with volumes of transaction. Avoid unusual fraudulent activities to gain more profit, remember customer’s satisfaction is prior than profit to build a sound image of business.

High risk processing with secure business activities is key to gain heavy profits. Often the fees and interest rate is higher with payment gateway for risk business but this is worthwhile by eliminating such common mistakes.