Online Gaming Merchant Account
When it comes to providing casino and online gaming merchant accounts, PayKings is leading the industry for payment processing and getting high risk merchants the services they need to successfully run their eCommerce business. Debit and credit cards are the natural progression for online gaming businesses, especially with the integration of app games and smartphones – so the question then is, where do you go when you need a reliable and quality online gaming merchant account? Do you go the traditional banking route? No, you go with a company that specializes in high risk merchant accounts.
Why is this? The short answer – with the legal gray area that comes with owning an online gaming or gambling business, there are some states within the US that are cracking down and putting things in motion to prohibit the industry as a whole – this means your business is categorized as being high risk. Does this mean that you won’t be able to successfully run your business or have access to accepting online payments? Nope, not at all – you just need to seek out your credit card processing solutions with experienced high risk merchants who have the ability to offer you an online gaming merchant account.
The only major drawback to using a high risk merchant is that the processing fees and competitive rates tend to be higher than with a traditional bank, the other side of that coin is that the traditional bank doesn’t have underwriting ability to offer you an online gaming merchant account. So in the grand scheme of things – it’s a small price to pay.
Here’s a Common Scenario
When your business is set up to accept payments through an online gaming merchant account, there’s a high risk of incurring excessive chargebacks. If you’re unaware of what a chargeback is, it’s when the customer disputes a charge on their debit or credit card by calling the number on the back of the card and claiming not to have authorized the purchase.
They might give any number of excuses as to why they’d like a chargeback; the charge isn’t one they recognize, they never got the item they purchased, the product wasn’t what they expected it to be, defective merchandise, etc.
Regardless of the reason they use to dispute the transaction, it starts this whole process of the dreaded chargeback with the customer contacting their bank and the bank contacting your credit card processor, who then gets in touch with you. What happens next is that the disputed funds are taken from your bank account and do not become available to you again until the dispute is settled, and in the case the customer proves that they didn’t authorize the transaction, the funds will not become available to you at all and will be “charged back” to the customer.
Are you, as the online gaming merchant given a chance to speak up in this scenario? Yes, you are given an opportunity to refute the customer and prove that the charge indeed, was authorized – in which case the funds would be released back to you, but the runaround of the entire process is a huge hassle.
How Does Being High Risk Affect Your Chances of Getting an Online Gaming Merchant Account?
The main reason to make sure you have the right high risk processing account for your business is to avoid the chances of your merchant account being shut down. The bank can close your account and hold funds, even without notice. This means you have no way of selling your products or services, it stops all cash flow entirely, AND the money from the products or services you sold could be held by the banks for months.
When you start off with the right merchant account, you increase the prolonged longevity of the account. The bank’s underwriting or due-diligence does not end after the account has been opened. There is ongoing risk monitoring that is associated with all merchant accounts. So if an account has been opened under false pretenses or the business model is deemed high risk after the fact, expect the account to be closed. Alternatively, starting out with the right high risk merchant account betters the odds that the acquiring banks will be more lenient.
The label of high-risk merchant isn’t taboo. Factors such as your industry, location, and even the clientele can categorize your business and apply that high-risk merchant label. However, this shouldn’t send you into a panic, just because you may be more difficult to finance, doesn’t mean you can’t get the merchant processing your business needs.
The Reasons are Below:
Online Gaming businesses deal with high amounts of credit card chargebacks most often due the following reasons.
- Claims of fraud
- High-ticket items
- Gambling laws and government regulations
Why Does this Matter and How Can PayKings Help with my Online Gaming Merchant Account?
Payment processing for online gaming merchants can be difficult to come by because the industry itself has a reputation for running illegitimate businesses, there are the high risk issues that underwriters look for when processing your application and also why traditional banks don’t want to assume the risk involved with providing online merchant accounts as a whole. Because processors are taking on a potentially greater financial burden in these situations, they’re more cautious and investigate whether the merchant itself is taking on risks that may not be necessary. Unnecessary risks might include excess chargebacks, low credit scores, unpaid bills or late payments, and negative account balances. So it is advised to tie up any loose ends you might have before submitting an application for an online gaming merchant account; things like fixing any credit score issues, make sure your debts are in good standing and have a decent amount of liquid assets (cash in savings) at the time of application.
PayKings is leading the industry of payment processing, especially for high risk merchants and for those who need to acquire an online gaming merchant account. The merchant accounts process should be easy, so you can focus on more important things. And when you start off your payment processing with the right company, and one like ours that does in-house underwriting, you’re setting your business up for success right from the get-go.
There are a number of business models in the online gaming industry that PayKings can help to get payment processing for, these include and are not limited to:
- Mobile Gaming
- Social Gaming
- Online Gambling
- Multiplayer Online Gaming
- Online Poker
- Horse Race Betting
We can have the experience and the expertise to get online gaming merchants the payment processing they need, regardless of being dropped from other credit processors, history with excessive chargebacks, or even having bad credit.
PayKings understands the unique needs of different online gaming related businesses and has established 24+ acquiring banking relationships to become experts in getting online gaming companies accepting online payments.
(industry) Merchant Account Experts
- 20+ Proven Bank Relationships
- Medium/High Risk Accounts
- Fast (industry) Account Approval
- Large Merchant Case Studies
- E-Commerce and Retail Options
- B2B Vendors Supported
Multiple Payment Solutions
- Multiple E-Commerce Gateway
- Chargeback Prevention
- Credit Cards
- B2B-Level II/III Data Discounts
- 3D Secure Frictionless Checkout
- Mobile Payment
- EMV Readers
Intuitive Compatibility & Support
- Gateway Recurring Billing
- E-Commerce Cart Plugins
- Developer API / Docs
- International Merchant Accounts
- Dedicated Account Managers