Help with high risk services and payment gateways

[Nik]

Hello everyone,

I am new here, but after a lot of searching I was not able to find a similar thread, so I am starting this one.

I have a company that is incorporated in the Marshall Island and I am trying to sell a service online and get paid via Credit/Debit cards,
but most of the big payment gateways consider the service as "high risk" and decline my application.

I even tried to apply with a few "high risk" gateways, but the result was the same.

The service is in the travel industry and I know that all of my competitors with the exact same service are using these big payment gateways.
I don't understand how they got approved without lying to the payment gateway or giving a fake website.

I really don't want to mislead the payment gateways.

Do you have any ideas or suggestions?

 

[Natasja]

As a start-up you don't have any other option then to lie if you want a reputable payment processor. Those who will accept you as a start-up are very likely to run with your money.

Trust me, I've spend the last 6 months searching for one and all I found were processors which were accused of 'fraud' or some underground processors who charge a 15% fee + 10% rolling reserve for 6 months.

 

[Bmw850]

@Nik I have also asked this question here, and seems that those are the fees with high risk processors

 

[Sols]

Are your competitors also operating under Marshall Islands companies or did they by any chance incorporate normal, sensible companies?

The card schemes really don't like Marshall Islands. Lots of fraudulent activities, miscoding, and money laundering passing through those entities.

 

[moneyrequired]

I have best sugestion for you - create company in different jurisdictions. Marshall Islands is burned. Maybe HK?

 

[thescotsman]

Hi..am new here as well. I actually work in the high risk industry. Moneyrequired is right, the Marshall islands is not the best but can also be the type of payments your taking, are they recurring payment etc. A good process flow presentation to the acquiring bank should always concentrate on alleviating their fears for charge backs so you should always be making sure you use password verification in the payment process, making sure they agree to T&C's more than twice when signing up and also each time they pay you money, and always send receipts immediately by email and request read report in the email. All quite straight forward but collectively acquiring banks like it.

 

[lavel]

Hi..am new here as well. I actually work in the high risk industry. Moneyrequired is right, the Marshall islands is not the best but can also be the type of payments your taking, are they recurring payment etc. A good process flow presentation to the acquiring bank should always concentrate on alleviating their fears for charge backs so you should always be making sure you use password verification in the payment process, making sure they agree to T&C's more than twice when signing up and also each time they pay you money, and always send receipts immediately by email and request read report in the email. All quite straight forward but collectively acquiring banks like it.

Now you wait for all to contact you because of your very professional post!

 

[Nik]

Hello everyone,

Thank you for all of the replies!

At first I was sure that the problem is with the company country of registration.
So just to test this I applied again at 2 of the payment gateways with the same service and a company registered in Europe and the result was the same - declined.

I think that my competitors completely lied to the payment gateways with a different website.
What I don't get is - if I do the same it will probably take very little time for the payment gateway to notice that payments are coming from a different domain and service.

It is really annoying, they make me feel like a criminal while trying to provide a normal service...

Tricking the payment gateways doesn't feel right, but it looks like there is no other way.

 

[Neilbali]

Hello everyone,

I am new here, but after a lot of searching I was not able to find a similar thread, so I am starting this one.

I have a company that is incorporated in the Marshall Island and I am trying to sell a service online and get paid via Credit/Debit cards,
but most of the big payment gateways consider the service as "high risk" and decline my application.

I even tried to apply with a few "high risk" gateways, but the result was the same.

The service is in the travel industry and I know that all of my competitors with the exact same service are using these big payment gateways.
I don't understand how they got approved without lying to the payment gateway or giving a fake website.

I really don't want to mislead the payment gateways.

Do you have any ideas or suggestions?

HI. Marshall Islands was put on the tax heaven black list by the EU, hence most of the big providers cannot support those companies. what is your monthly turnover?

 

[curiousmarv]

Trust me, Marshall Islands is the problem. 99,9% of payment gateways (don't know what the exceptions are) don't even look at your kind of business with Marshall Islands as jurisdiction!

High Risk or not... Visa and MasterCard need to work with your jurisdiction and they also don't like Marshall Islands.

You need a company in one of this regions: USA or EEA. Maybe also other first class countries like Canada, Australia also work. Your companies' country will not work for sure!

 

[thescotsman]

Now you wait for all to contact you because of your very professional post!

Not in the undercover sales game ......its genuinely a shame that stand up businesses are getting turned down across all jurisdictions with no explanation as to why..........the card schemes have been battered by the bad guys (although they still let the emerging regions away with bloody murder)........hopefully the soon to be Republic of Scotland will come up with a global solution and all payments will pass through our chosen land

 

[Nik]

Trust me, Marshall Islands is the problem. 99,9% of payment gateways (don't know what the exceptions are) don't even look at your kind of business with Marshall Islands as jurisdiction!

High Risk or not... Visa and MasterCard need to work with your jurisdiction and they also don't like Marshall Islands.

You need a company in one of this regions: USA or EEA. Maybe also other first class countries like Canada, Australia also work. Your companies' country will not work for sure!

I though the same thing, but then I tried to apply again with a company registered in EU and got declined again.

HI. Marshall Islands was put on the tax heaven black list by the EU, hence most of the big providers cannot support those companies. what is your monthly turnover? [email protected]

This is the strange part, I applied only to payment gateways that lists Marshall Islands as a supported country. Either way later on I tried again with a EU company and I got the same response. No monthly turnover right now, it's a startup, but I expect around 10k EUR a month.

Any suggestions will be highly appreciated.

 

[Neilbali]

I though the same thing, but then I tried to apply again with a company registered in EU and got declined again.





This is the strange part, I applied only to payment gateways that lists Marshall Islands as a supported country. Either way later on I tried again with a EU company and I got the same response. No monthly turnover right now, it's a startup, but I expect around 10k EUR a month.

Any suggestions will be highly appreciated.

most providers I know who work with the marshall islands they need turnover of atleast 100k a month. that is how they see the risk and only want to take on the risk if they see sizable profits for them. just being honest.

 

[moneyrequired]

This question is good for new thread but I try ask here.
What is "cut off" chargback % for normal and for high risk merchants?

 

[Neilbali]

This question is good for new thread but I try ask here.
What is "cut off" chargback % for normal and for high risk merchants?

i dont think you can have an average but for example one of the Card acquirers I work with will basically cancel your account if the ratio goes over a certain level: here is a note from the T&Cs from an acquirer:

"MID may be terminated as long as monthly chargeback count more than 100 or CB rate more than 2%, and settlement will be held until all transactions full of 180 days."

 

[Nik]

most providers I know who work with the marshall islands they need turnover of atleast 100k a month. that is how they see the risk and only want to take on the risk if they see sizable profits for them. just being honest.

We don’t have any turnover right now, we are a startup. In the beginning we want to start slowly and see how things are going. 100k is possible but it’s not only up to us to make it happen.

And as far as I understand we can still have problems with the reputable payment gateways if we start to make these amounts.

I want to spread my risk and work with a few payment gateways but we are still struggling to start even with one.

Which payment gateways are you referring to?
The ones that i found are Netbilling, Instabill and Ccbill

Thanks in advance!

 

[Neilbali]

We don’t have any turnover right now, we are a startup. In the beginning we want to start slowly and see how things are going. 100k is possible but it’s not only up to us to make it happen.

And as far as I understand we can still have problems with the reputable payment gateways if we start to make these amounts.

I want to spread my risk and work with a few payment gateways but we are still struggling to start even with one.

Which payment gateways are you referring to?
The ones that i found are Netbilling, Instabill and Ccbill

Thanks in advance!

there are 100s of providers but what i would recommend is to setup a company in europe. in places like estonia it takes 1-2 weeks and in the long run it will be cheaper.

 

[busdriver]

there are 100s of providers but what i would recommend is to setup a company in europe. in places like estonia it takes 1-2 weeks and in the long run it will be cheaper.

Estonia - getting a bank account is already difficult. High street banks want local business (with like office or shop). Online banks are the only option.

Not in the undercover sales game ......its genuinely a shame that stand up businesses are getting turned down across all jurisdictions with no explanation as to why..........the card schemes have been battered by the bad guys (although they still let the emerging regions away with bloody murder)........hopefully the soon to be Republic of Scotland will come up with a global solution and all payments will pass through our chosen land

I am afraid that ("Republic of Scotland will come up with a global solution") would not change anything. Estonia tried. The banks there are the issue. Generally the banks are the issue. They need to de-risk as much as they can. So I would not hope for anything good in the future ...

I have best sugestion for you - create company in different jurisdictions. Marshall Islands is burned. Maybe HK?

Maybe even try UK (well, they have VAT )

but what I am actually wondering... After you applied for a company on the MI (or which ever tax haven) and you come again, wouldn't the same processor see that as a red flag too?
(you would still be the same owner and director I suppose)

 

[Vythuz]

He

Hello everyone,

I am new here, but after a lot of searching I was not able to find a similar thread, so I am starting this one.

I have a company that is incorporated in the Marshall Island and I am trying to sell a service online and get paid via Credit/Debit cards,
but most of the big payment gateways consider the service as "high risk" and decline my application.

I even tried to apply with a few "high risk" gateways, but the result was the same.

The service is in the travel industry and I know that all of my competitors with the exact same service are using these big payment gateways.
I don't understand how they got approved without lying to the payment gateway or giving a fake website.

I really don't want to mislead the payment gateways.

Do you have any ideas or suggestions?

Hello Nik, I was browsing through the web and happen to came across your post. Out of curiosity, did you ever find a solution to the payment gateway issue?

 

[erni]

If you can't find what you are looking for the Mentor Group Gold and the Resource section available at the link below:
https://www.offshorecorptalk.com/resources/categories/high-risk-merchant-account.15/
may help you out with what you are looking for.