Still – as any broker has almost certainly had to explain to their clients – the choice with the best payoff isn’t always easy. Payment card processing companies tend to regard retail forex merchant accounts as “very high risk” clients. This is partly due to unscrupulous actions on the part of some forex brokers who over-promised their clients high returns with low risk, or who crossed the line into outright fraud and gambling. In addition, the US government has already demonstrated its willingness to pass legislation regulating the way retail forex investment can be conducted, so the threat of further regulations here or similar bans abroad make offering merchant accounts to forex brokers a risky proposition for financial institutions. Generally speaking, when it comes to any kind of investment service, advice, or consulting, credit card processing companies are very skittish, because of the threat of disputed charges from dissatisfied investors and the potential for fraud.
When payment processors consider your industry “very high risk,” it becomes impossible for you to find an institution willing to accept your application – and even if they do, the rates they offer on your forex merchant account are going to be much, much, much higher than those enjoyed by even “high risk” businesses. Moreover, some of the terms and restrictions required of high risk merchant accounts, such as rolling reserves and processing limits, can hinder your ability to take advantage of beneficial market conditions that are time-sensitive.
Because of these and other legal reasons, we cannot provide merchant accounts for forex or stock trading industries. These markets are too akin to gambling and the chance or a bad decision being made on credit is just too large. We do, however, provide merchant accounts for financial and forex education of all types: Forex Software, Seminars, How to Guides. You name it, if it’s for education we have you covered!