durangoshortbanner-v1a

Having trouble finding the right high risk merchant account provider?

With over 10,000 hard to place merchants and counting, Durango Merchant Services is one of the best Merchant Service Providers around.

StarIconWhy Durango Merchant Services for a High Risk Merchant Account?StarIcon

When it comes to high risk merchant account success, we are number one.  All of our services come with:

  • Fast Approvals
  • Experienced & Dedicated Account Managers
  • Free Fraud Reduction Consultation and Tools
  • eCommerce, MoTo, Mobile & Retail Accounts
  • Diversify payments by accepting echecks, ACH or Demand Draft for check payment
  • Industry leading service and technology
Get a Free Quote!

Top Ranked Customer Service Just an Email Away.

Proven Results

The Durango Difference!

A Few Industries We Serve

Durango Merchant Services, LLC BBB Business Review

CardPaymentOptions-Top-Rated-Provider-Circle

  • You will have a dedicated and experienced Account Manager that is committed to providing industry leading customer service.
  • Expertise earned from decades of experience and 10,000+ hard to place merchants, ensures that all our staff understands your business and the payment technology employed to support it.
  • Our tech-savvy staff has the tools and expertise to deploy and integrate payment technology for any business.
Get a Free Quote!

Daily e-Coupon Offers

Electronics

Vacation Services

Herbal Supplements

StarIconSome Reasons Why Our Customers are Happy!StarIcon

Customer_service_rep-e1416524132872

With world leading approval ratings for high risk merchant accounts and top ranked reviews on independent consumer sites, it’s no wonder so many customers continue to call us their merchant solutions provider.

  • Customized Solutions for Specialized Merchants.
  • No Annual Fees.
  • Free Shopping Cart and Integration support.
  • Flexible Contract Terms.
  • Fraud Protection Tools.
  • No Hidden Fees.

StarIconHigh Risk Credit Card Processing Industries We ServeStarIcon

Travel Services High Risk Merchants Travel Services Accept Credit Cards

Travel Industry

Travel Industry Merchant Risks

Travel Industry Businesses are considered high risk because of two main reasons.

  1. Travel is often booked far out in advance, often times 6 months or more. Because of the high risk of delay, change or cancellation and inability to do a reschedule or refund, merchants will instead do a chargeback.
  2. Travel services generally have high average tickets. When a chargeback is done, the funds must be available and if you have hundreds or thousands of planned trips, even a small number of chargebacks can create fiscal problems.
Mulit-currency high risk merchant accounts International merchant services

Multi-Currency

Multi-Currency Accounts

Companies with a history of high chargebacks, potential for fraud or bad credit may find it difficult to find a domestic partner to processor payments.  If possible we place our clients in domestic banks; however, for some merchants this is not an option. Durango can help you take advantage of more lenient approval standards offshore accounts offer.  This is an option of last resort and merchants at minimum need to be aware of the following:

  1. Make sure there is a way to settle legal disputes with offshore processors.
  2. Expect much higher rates and fees.
  3. Fraud and identity theft are a real possibility.  You are giving personal information including bank wiring info.
Credit Repair Merchant Account Credit Repair Merchant Account

Credit Repair Merchant Risks

Credit Repair Merchant Risks

In the aftermath of the financial downturn of the previous decade, countless individuals and businesses found their credit scores in dire straits, making it difficult for them to secure any type of loan, rent housing, or even be hired for jobs. Sensing a need, the credit repair industry blossomed. However, alongside the legitimate businesses seeking to help people, numerous scam artists also came out of the woodwork to prey on the vulnerable. Largely because of these fraudsters, payment processing institutions now view credit repair merchant accounts as high-risk propositions – leaving honest entrepreneurs who genuinely want to help people with their credit problems to face higher fees, more restrictions, and a more difficult approval process.

mail order merchant services high risk accounts mail order merchant services high risk industry

Mail Order

MOTO Merchant Risks

Mail order merchant accounts are considered high risk because they are card-not-present-transactions where a customer purchases an item using a credit card that is never physically verified by the merchant.  Because there is no physical contact between the store and the purchaser there is a higher probability of fraudulent transactions. Durango Merchant Services provides two ways to pay on mail order merchant accounts.

  1. Manually inputting credit card information through a standard credit card terminal.
  2. Using our Virtual Terminal to process credit cards from any internet connected computer.

bad and poor credit high risk processing bad and poor credit high risk processing

Bad Credit

Bad Credit Merchant Risks

Banks worry about bad credit for numerous reasons. One of the main worries of banks is the following scenario:

  1. A merchant is approved for 50K a month in transactions
  2. The merchant sells 50K worth of product three months in a row
  3. The products are defective or not sent
  4. After the 3 months chargebacks pour in
  5. The processor pays the customers from merchant account
  6. But, wait...there is no money because the merchant took the 150K and moved to Mexico.
High Average Ticket Merchant Account High Average Ticket Merchant Account

High Ticket Items

High Ticket Merchant Risks

A higher average ticket makes it more likely that a merchant goes over the 1-2% limit of chargeback volume to sales volume set by card associations. For example, if you sell high cost items, then getting only one or two high dollar disputes can skew the ratio and result in fines, sanctions, or audits.

In addition, chargebacks on high average tickets are also more likely to drain a merchant’s cash flow, leaving institutions wondering if the merchant can pay for additional chargebacks.

Our Merchant Account Specialist will help you find a solution if you are in a high average ticket industry.

ecigarette accept credit cards ecigarette high risk merchant services

E-Cigarette Merchant Risks

The number one reason that electronic cigarettes are considered high risk is because of regulatory uncertainty. Among the worries are safety and high probability of increased regulation.

Because it is a new industry with varying quality of products, chargebacks are also a concern for payment processors. In addition, verifying the age of customers causes banks to clasify it as high risk.

Electronic Cigarettes

vitamins supplements and nutracueticals high risk merchant accoutns vitamins supplements and nutracueticals high risk merchant  industry

Nutracueticals

Nutraceutical Merchant Risks

The vitamin, supplement and nutraceutical markets is one of the least regulated sections of the healthcare industry. Because there is such a low barrier to entrance, no product quality guarantees and high potential for legal actions due to a lack of regulation, banks consider nutraceuticals high risk.

Multi-level marketing high risk merchant account Multi-level marketing accept credit cards

Multi-Level Marketing & Bizops

MLM and Bizops Merchant risks

Multi-Network Marketing companies are considered high risk by merchant account providers because of a long and strong history of scam and fraud. It was not uncommon for these businesses to expand their distribution networks and get payments from new members for products that were never delivered.

It's not easy to get a merchant account for these types of business models. One of the best things you can do to help your case is to become a direct sales and marketing company by deriving most of your revenue from products sold and not from training new members.

High Risk Merchants Annual Contracts Accept credit cards annual membership

Annual Membership

Subscription and Annual Membership Merchant Risks

Annual membership business models such as subscriptions are generally considered high risk because of the long duration fulfillment timeline. This is fancy speak for the amount of time that passes between when a payment is collected and when the product or service is delivered.

Fulfillment duration is a strong factor when processing institutions calculate the risk score of a business. Common ways to mitigate higher risks in subscription based businesses are to shorten the fulfillment duration and keep reserves to cover potential chargeback expenses.

Voip merchant account telecommunications accept credit cards

Telecommunications

Telecommunication & VOIP
Merchant Risks

Voice over internet protocol (VOIP) and telecommunications are major international industries. Despite industry maturity it is still considered high risk due to high chargeback rates, causing banks to scrutinize these businesses regardless of business history.

Banks often require small businesses to make a large deposit as collateral against chargebacks and disputes, making it hard for small VOIP and telecommunication companies to get approved for a merchant account.

online liquor sales merchant high risk online liquor sales accept credit cards

Online Liquor Sales

Online Liquor Merchant Risks

Online liquor sales are considered high risk due to chargebacks from product damage, state licensing requirements, securing against under age alcohol purchases, and the fact that card is not present at the transaction. Any business that has age restrictions is going to be considered high risk.

The Alcohol and Tobacco Tax and Trade Bureau (TTB) is the regulatory agency responsible for the oversight of any merchant selling spirits. The TBB has developed rules, regulations, and requirements that merchants will need to comply with if they want to open an online shop.

Careful adherence to federal and state agency guidelines will ensure your business is legal and eliminate a major source of risk.

Merchant Accounts for Software Downloads Merchant Services for Software Downloads

Digital Download Merchant Risks

With the arrival of mobile electronic devices the number of digital downloads has grown exponentially. Because digital products have near zero production costs after initial creation, the opportunity for large profits is huge. However, digital download companies face stiff competition making it difficult to achieve high transaction volume and the accompanying revenue.

If you are a start-up, Skeptical banks will wonder if you will have the volume to cover chargeback expenses and may reject your merchant account application if you don't have a strong sales history.

Digtal Downloads

Online Dating High Risk Merchant Account online date site merchant services

Online Dating

Online Dating Merchant Risks

Online dating site are considered high risk because of they are susceptible to a high rate of chargebacks. Turns out that when people pay for love and don't find it right away, they may want their money back.

The online dating industry is growing and constantly transforming. With more than 2.1 billion in annual revenue there is huge profit making potential, but securing against some of the riskier aspects of the business is going to be crucial to securing a payment processing partner.

debt consolidation high risk credit card processing debt consolidation high risk merchant account

Debt Consolidation

Debt Consolidation Merchant Risks

Only around 10% of payment processors will accept a merchant account for Debt Consolidation Businesses.  The most common reason debt consolidation businesses are considered high risk is that the card is not present when the payment is made, which increases the risk of fraud.  However, there are a number of other factors that define the debt consolidation industry that also play a role.

  1. Debt consolidation customers are more likely to have bad credit, and banks worry about their ability to pay.
  2. Debt consolidation start ups don't have credit history.
  3. Large average tickets.
online auction merchant account online auction merchant services accept credit cards

Online Auctions

Online Auction Merchant Risks

Online auction sites are considered high risk because of high chargeback rates. One type of online auction, penny auctions, are especially high risk. Penny auctions risk profile is comparable to gambling sites due to a high concentration of shady practices that take advantage of consumers. A common fraudulent activity on penny auction sites are automated bidding systems that artificially drive up auction prices.

Because of the high incidence of fraud, banks and other merchant service providers may worry that your business will be shut down. It's very difficult to differentiate between good and bad penny auctions.

weapons high risk industry accept credit cards weapons_high_risk_industry_merchant_services

Online Firearms Merchant Risks

Online firearms sales are considered high risk because of the high average cost of firearms and a high rate of fraudulent purchases. Most large merchant account providers won't process payments for firearms. Durango Merchant Services can help you find the right combination of safeguards to mitigate the risk of expensive chargebacks.

An important note is that we cannot provide merchant accounts for firearm vendors to sell directly to consumers online. We only provide online payment solutions for firearms transactions between Federal Firearm License (FFL) gun vendors.

Online Firearms Sales

electronics high risk accept credit cards electronics high risk merchants

Electronics

Electronics Store Merchant Risks

The closing of thousands of Radio Shack locations across the United States was the latest in a series of events that highlight the shift from brick and mortar electronics stores to online electronics stores.

The two main reasons that online electronic stores are considered high risk are a high average sales ticket and high chargeback rates. TVs, computers, cameras, and phones are all expensive items, which means that each chargeback requires a large repayment. An industry prone to fraudulent transactions lead to a higher risk of chargebacks, making banks less likely to process your transactions.

Web Design Seo High Risk Merchant Services Web Design Seo High Risk Credit Card Processing

Web, Marketing & SEO

Web, hosting and SEO
Merchant Risks

Web design, SEO,  and hosting companies are consider high risk because of they have high average tickets, long duration fulfillment, and unpredictable results.  Here are a few examples:

  1. Web Design - Client spends $1000s, then decides the Quality isnt what was promised.
  2. Hosting - An annual contract gets cancelled after 6 months in and customer demands they are paid the balance.
  3. SEO - Successful campaigns often require huge upfront investments without results for of a year or more.

group buying merchant services daily deal credit card processing

Daily Deal Sites

Group Buying Merchant Risks

Group buying sites such as Groupon represent one of the fastest growing business models in history. They provide exposure to businesses and deals for consumers. They are also considered high risk, mainly because of high chance of fraud and high chargebacks.  Here's one scenario for fraud:

  1. Business signs up 1000s of people for a deal.
  2. Purchaser calls to make an appointment.
  3. Business says they are too busy to book within 60 days.
  4. Group Deal Company pays the company for 1000s of deals in one sum.
  5. Business owner gets the money and starts a beach bar in Fiji.
  6. Users get no service and demand refunds.

Travel Services High Risk Merchants Travel Services Accept Credit Cards

Travel Industry

Travel Industry Merchant Risks

Travel Industry Businesses are considered high risk because of two main reasons.

  1. Travel is often booked far out in advance, often times 6 months or more. Because of the high risk of delay, change or cancellation and inability to do a reschedule or refund, merchants will instead do a chargeback.
  2. Travel services generally have high average tickets. When a chargeback is done, the funds must be available and if you have hundreds or thousands of planned trips, even a small number of chargebacks can create fiscal problems.
ecigarette accept credit cards ecigarette high risk merchant services

E-Cigarette Merchant Risks

The number one reason that electronic cigarettes are considered high risk is because of regulatory uncertainty. Among the worries are safety and high probability of increased regulation.

Because it is a new industry with varying quality of products, chargebacks are also a concern for payment processors. In addition, verifying the age of customers causes banks to clasify it as high risk.

Electronic Cigarettes

bad and poor credit high risk processing bad and poor credit high risk processing

Bad Credit

Bad Credit Merchant Risks

Banks worry about bad credit for numerous reasons. One of the main worries of banks is the following scenario:

  1. A merchant is approved for 50K a month in transactions
  2. The merchant sells 50K worth of product three months in a row
  3. The products are defective or not sent
  4. After the 3 months chargebacks pour in
  5. The processor pays the customers from merchant account
  6. But, wait...there is no money because the merchant took the 150K and moved to Mexico.
High Average Ticket Merchant Account High Average Ticket Merchant Account

High Ticket Items

High Average Ticket Merchant Risks

A higher average ticket makes it more likely that a merchant goes over the 1-2% limit of chargeback volume to sales volume set by card associations. For example, if you sell high cost items, then getting only one or two high dollar disputes can skew the ratio and result in fines, sanctions, or audits.

In addition, chargebacks on high average tickets are also more likely to drain a merchant’s cash flow, leaving institutions wondering if the merchant can pay for additional chargebacks.

Mulit-currency high risk merchant accounts International merchant services

Multi-Currency

Multi-Currency Accounts

Companies with a history of high chargebacks, potential for fraud or bad credit may find it difficult to find a domestic partner to processor payments.  If possible we place our clients in domestic banks; however, for some merchants this is not an option. Durango can help you take advantage of more lenient approval standards offshore accounts offer.  This is an option of last resort and merchants at minimum need to be aware of the following:

  1. Make sure there is a way to settle legal disputes with offshore processors.
  2. Expect much higher rates and fees.
  3. Fraud and identity theft are a real possibility.  You are giving personal information including bank wiring info.
mail order merchant services high risk accounts mail order merchant services high risk industry

Mail Order

MOTO Merchant Risks

Mail order merchant accounts are considered high risk because they are card-not-present-transactions where a customer purchases an item using a credit card that is never physically verified by the merchant.  Because there is no physical contact between the store and the purchaser there is a higher probability of fraudulent transactions. Durango Merchant Services provides two ways to pay on mail order merchant accounts.

  1. Manually inputting credit card information through a standard credit card terminal.
  2. Using our Virtual Terminal to process credit cards from any internet connected computer.

Credit Repair Merchant Account Credit Repair Merchant Account

Credit Repair Merchant Risks

Credit Repair Merchant Risks

In the aftermath of the financial downturn of the previous decade, countless individuals and businesses found their credit scores in dire straits, making it difficult for them to secure any type of loan, rent housing, or even be hired for jobs. Sensing a need, the credit repair industry blossomed. However, alongside the legitimate businesses seeking to help people, numerous scam artists also came out of the woodwork to prey on the vulnerable. Largely because of these fraudsters, payment processing institutions now view credit repair merchant accounts as high-risk propositions – leaving honest entrepreneurs who genuinely want to help people with their credit problems to face higher fees, more restrictions, and a more difficult approval process.

Multi-level marketing high risk merchant account Multi-level marketing accept credit cards

Multi-Level Marketing & Bizops

MLM and Bizops Merchant risks

Multi-Network Marketing companies are considered high risk by merchant account providers because of a long and strong history of scam and fraud. It was not uncommon for these businesses to expand their distribution networks and get payments from new members for products that were never delivered.

It's not easy to get a merchant account for these types of business models. One of the best things you can do to help your case is to become a direct sales and marketing company by deriving most of your revenue from products sold and not from training new members.

Voip merchant account telecommunications accept credit cards

Telecommunications

Telecommunication & VOIP
Merchant Risks

Voice over internet protocol (VOIP) and telecommunications are major international industries. Despite industry maturity it is still considered high risk due to high chargeback rates, causing banks to scrutinize these businesses regardless of business history.

Banks often require small businesses to make a large deposit as collateral against chargebacks and disputes, making it hard for small VOIP and telecommunication companies to get approved for a merchant account.

High Risk Merchants Annual Contracts Accept credit cards annual membership

Annual Membership

Subscription Merchant Risks

Annual membership business models such as subscriptions are generally considered high risk because of the long duration fulfillment timeline. This is fancy speak for the amount of time that passes between when a payment is collected and when the product or service is delivered.

Fulfillment duration is a strong factor when processing institutions calculate the risk score of a business. Common ways to mitigate higher risks in subscription based businesses are to shorten the fulfillment duration and keep reserves to cover potential chargeback expenses.

vitamins supplements and nutracueticals high risk merchant accoutns vitamins supplements and nutracueticals high risk merchant  industry

Nutracueticals

Nutraceutical Merchant Risks

The vitamin, supplement and nutraceutical markets is one of the least regulated sections of the healthcare industry. Because there is such a low barrier to entrance, no product quality guarantees and high potential for legal actions due to a lack of regulation, banks consider nutraceuticals high risk.

online liquor sales merchant high risk online liquor sales accept credit cards

Online Liquor Sales

Online Liquor Merchant Risks

Online liquor sales are considered high risk due to chargebacks from product damage, state licensing requirements, securing against under age alcohol purchases, and the fact that card is not present at the transaction. Any business that has age restrictions is going to be considered high risk.

The Alcohol and Tobacco Tax and Trade Bureau (TTB) is the regulatory agency responsible for the oversight of any merchant selling spirits. The TBB has developed rules, regulations, and requirements that merchants will need to comply with if they want to open an online shop.

Careful adherence to federal and state agency guidelines will ensure your business is legal and eliminate a major source of risk.

Merchant Accounts for Software Downloads Merchant Services for Software Downloads

Digital Download Merchant Risks

With the arrival of mobile electronic devices the number of digital downloads has grown exponentially. Because digital products have near zero production costs after initial creation, the opportunity for large profits is huge. However, digital download companies face stiff competition making it difficult to achieve high transaction volume and the accompanying revenue.

If you are a start-up, Skeptical banks will wonder if you will have the volume to cover chargeback expenses and may reject your merchant account application if you don't have a strong sales history.

Digtal Downloads

Online Dating High Risk Merchant Account online date site merchant services

Online Dating

Online Dating Merchant Risks

Online dating site are considered high risk because of they are susceptible to a high rate of chargebacks. Turns out that when people pay for love and don't find it right away, they may want their money back.

The online dating industry is growing and constantly transforming. With more than 2.1 billion in annual revenue there is huge profit making potential, but securing against some of the riskier aspects of the business is going to be crucial to securing a payment processing partner.

debt consolidation high risk credit card processing debt consolidation high risk merchant account

Debt Consolidation

Debt Consolidation Merchant Risks

Only around 10% of payment processors will accept a merchant account for Debt Consolidation Businesses.  The most common reason debt consolidation businesses are considered high risk is that the card is not present when the payment is made, which increases the risk of fraud.  However, there are a number of other factors that define the debt consolidation industry that also play a role.

  1. Debt consolidation customers are more likely to have bad credit, and banks worry about their ability to pay.
  2. Debt consolidation start ups don't have credit history.
  3. Large average tickets.
online auction merchant account online auction merchant services accept credit cards

Online Auctions

Online Auction Merchant Risks

Online auction sites are considered high risk because of high chargeback rates. One type of online auction, penny auctions, are especially high risk. Penny auctions risk profile is comparable to gambling sites due to a high concentration of shady practices that take advantage of consumers. A common fraudulent activity on penny auction sites are automated bidding systems that artificially drive up auction prices.

Because of the high incidence of fraud, banks and other merchant service providers may worry that your business will be shut down. It's very difficult to differentiate between good and bad penny auctions.

weapons high risk industry accept credit cards weapons_high_risk_industry_merchant_services

Online Firearms Merchant Risks

Online firearms sales are considered high risk because of the high average cost of firearms and a high rate of fraudulent purchases. Most large merchant account providers won't process payments for firearms. Durango Merchant Services can help you find the right combination of safeguards to mitigate the risk of expensive chargebacks.

An important note is that we cannot provide merchant accounts for firearm vendors to sell directly to consumers online. We only provide online payment solutions for firearms transactions between Federal Firearm License (FFL) gun vendors.

Online Firearms Sales

electronics high risk accept credit cards electronics high risk merchants

Electronics

Electronics Store Merchant Risks

The closing of thousands of Radio Shack locations across the United States was the latest in a series of events that highlight the shift from brick and mortar electronics stores to online electronics stores.

The two main reasons that online electronic stores are considered high risk are a high average sales ticket and high chargeback rates. TVs, computers, cameras, and phones are all expensive items, which means that each chargeback requires a large repayment. An industry prone to fraudulent transactions lead to a higher risk of chargebacks, making banks less likely to process your transactions.

Web Design Seo High Risk Merchant Services Web Design Seo High Risk Credit Card Processing

Web, Marketing & SEO

Web, hosting and SEO
Merchant Risks

Web design, SEO,  and hosting companies are consider high risk because of they have high average tickets, long duration fulfillment, and unpredictable results.  Here are a few examples:

  1. Web Design - Client spends $1000s, then decides the Quality isnt what was promised.
  2. Hosting - An annual contract gets cancelled after 6 months in and customer demands they are paid the balance.
  3. SEO - Successful campaigns often require huge upfront investments without results for of a year or more.

group buying merchant services daily deal credit card processing

Daily Deal Sites

Group Buying Merchant Risks

Group buying sites such as Groupon represent one of the fastest growing business models in history. They provide exposure to businesses and deals for consumers. They are also considered high risk, mainly because of high chance of fraud and high chargebacks.  Here's one scenario for fraud:

  1. Business signs up 1000s of people for a deal.
  2. Purchaser calls to make an appointment.
  3. Business says they are too busy to book within 60 days.
  4. Group Deal Company pays the company for 1000s of deals in one sum.
  5. Business owner gets the money and starts a beach bar in Fiji.
  6. Users get no service and demand refunds.