Let’s Understand The Low-Risk Merchant
Prior applying for a merchant account, you must know if your business comes under low-risk. Reason being, merchants in our payment processing world come under low-risk, medium-risk, and high-risk categories. various factors collectively decide the risk category for a particular business. For an example, while reviewing the business it is reviewed that how much risk is involved in the business, what is their risk level, which is the country wherein they got incorporated and their processing history and so on.
The following criteria is a perfect match for any business that falls within the low-risk category –
- Monthly Processing amount lower than $20,000 is processed by you.
- The average size of ticket that you posses is lower than $50.
- Your chargeback ratio is quite low.
- The industry that you cater to reflects a lower risk.
- The country of your incorporation falls within a low-risk category.