Ecommerce is a growing industry in the US, with total ecommerce sales expected to reach around 709 billion dollars in 2020 (up 18% from 2019). Ecommerce covers a wide range of products, satisfying almost every industry imaginable, and each sale requires some form of ecommerce payment processing.

Depending on your industry and current financial status, you may be considered too high-risk to be approved for an ecommerce merchant account. In some instances, even if you are approved, your credit card processing fees will be raised in order for banks and payment processors to negate the risk. This is why many consider working with a provider that specializes in high risk merchant accounts.

A high risk payment processor helps companies operating in industries that are deemed high risk, such as adult, debt collection, CBD, and nutraceutical, securely handle all of their credit card and debit card payments, while relaying payment information to both the customer’s issuing bank, as well as the acquiring institutions. Because ecommerce merchant accounts rely solely on online payments, it is imperative to choose a quality ecommerce credit card processor that won’t take advantage of you or your financial situation.

You can think of payment processors as the middleman, connecting merchants, customers, and financial institutions to ensure all payment transaction information is accurate and timely. Ecommerce credit card processors will facilitate the transfer of these funds, but there is usually a cap on the amount they will process within a given time period (e.g.: $50,000 limit in a 30 day period).

Ecommerce payment processors are highly selective of the merchants they work with, and will often deny merchants for payment processing services because of their business credit, the type of industry they serve, high chargeback ratios, and other factors. For this reason, many merchants labeled high-risk accept much higher ecommerce credit card processing fees.

Payment Gateways for Ecommerce Merchant Accounts

Payment gateways act as a facilitator between a payment portal (like a website, mobile phone, or interactive voice response service) and the front end processor or acquiring bank, transferring the payment information from one party to the other.  All payment processors use a payment gateway via their own technology, or a third party source.

When choosing a payment gateway, it is imperative to think about customer experience. Getting a customer to select your product out of the countless alternatives is the hard part; the payment process should be effortless. If you use a payment gateway that is frustrating or difficult to navigate, the customer may abandon payment altogether. This could lead to a loss of potential sales, as well as a higher chargeback ratio.

At TailoredPay, our secure payment gateways seamlessly integrate with platforms such as Shopify, Woocommerce, Wix, and more to provide an easy payment experience for your online customers. This allows you to finalize sales in a matter of seconds, while also protecting your customer’s financial data through encryption.

TailoredPay Ecommerce Merchant Accounts

At TailoredPay, we specialize in ecommerce merchant accounts that are considered high risk. To apply for a merchant account, you will have to provide us with some information about your business, for example:

• The type of industry you serve
• Payment processing history (if you are currently processing credit/debit card payments)
• Anticipated monthly processing volume

TailoredPay works with merchants that are labelled as high-risk to provide payment solutions for ecommerce websites in a multitude of industries. We can provide you with a merchant account for your business, and process the payments via our secure payments gateways. If you are seeking an ecommerce merchant account, but have been told you are too high-risk to be approved, contact TailoredPay to discuss the right credit card processing solution for your ecommerce business.