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Credit Repair Merchant Accounts

Our Top Picks for the Best Credit Repair Credit Card Processors:

  1. Easy Pay Direct
  2. PaymentCloud
  3. eMerchantBroker
  4. Helcim
  5. Mynt POS

1. Easy Pay Direct

Easy Pay Direct specializes in working with high risk merchant accounts. EPD was created in order to make your life easier. 60,000 different merchant accounts have used EPD's services to get their credit on track. With EPD you can process transactions from anywhere whether it's online, in store, or through a mobile device. It shouldn't be hard to find a merchant processor as a high risk business, with EPD you can be confident your needs will be taken care of.

2. PaymentCloud

PaymentCloud customizes its merchant services in order to tailor directly to your business's needs. PaymentCloud works well with small businesses. They will work with low, medium, and high risk merchant accounts. PaymentCloud will also provide protection against any fraud or chargeback attempts on your business. They believe in seamlessly integrated merchant processing.

3. eMerchantBroker

EMB considers themselves to be high risk merchant account specialists. They are a full service merchant provider. EMB does everything it can in order to stay ahead of its competitor's prices. For a business with unique needs, you can be confident that eMerchantBroker can help you with its unique solutions. EMB approves 99% of all applicants that apply for an account.

4. Helcim

Helcim offers 100% transparent pricing with no hidden fees. You won't have to worry about a monthly fee when you sign up with Helcim. With one Helcim account, you get unlimited access to all of the best tools for merchant processing. With its excellent customer service, you can be confident that Helcim will satisfy every business need you have. It's time for you to feel good about your payments.

5. Mynt POS

Mynt POS has everything you need for your point of sale. Their software offers smooth transaction processing, inventory tracking, report generation, and more. When signing up with Mynt you get dedicated remote installation and live training. Every Mynt account comes with a lifetime warranty and free service. Mynt is optimized for your business.

Credit repair companies have been around for a long time. They are expected to generate $3. 4 billion in revenue in 2022, which is a sizable sum. The credit repair business, on the other hand, is difficult because its customers may be in dire financial straits. Because of their nature, it may be difficult to persuade them to pay.

Customers are frequently charged by credit repair companies to attempt to repair their credit reports or resolve other credit bureau issues. They charge for these services, which some customers may prefer to pay for using a credit card. Credit card companies have the authority to authorize businesses that help people with bad credit to accept credit cards as payment.

What is Credit Card Processing for Credit Repair Businesses?

Credit card processing allows a company to accept additional payment methods, such as:

  • Digital wallet payments like Google Pay and Apple Pay
  • All Major Credit Cards including Visa, Mastercard, American Express, and Discover
  • Contactless payments
  • ACH and eChecks

Having a variety of payment options simplifies the payment process for your customers and allows you to receive payments faster. The bad news is that credit repair businesses are not permitted to accept credit cards because they are classified as high-risk businesses.

These companies are unable to open accounts with the most popular payment processors. That is not to say that a credit repair company cannot be compensated. There are many well-known payment processors that have been in business for a long time and offer excellent service in this market.

What Makes a Business High Risk?

A number of factors influence how risky a business is to a payment processor. Each company may develop its own method for determining risk. Credit repair companies share a number of characteristics that make them appear risky.

Average Ticket Dollar Amount

When you go to a credit repair company, you will usually be charged a high fee for each transaction. This means that, on average, each transaction at this business costs more than transactions at other businesses. Credit card users are more likely to dispute or charge back their purchases, and if a credit repair company is unable to pay for them, the payment processing company is liable. Obviously, the greater the risk, the more money and charges the payment processor accepts.

High Number of Chargebacks

Chargebacks, or changes to credit card transactions, are more common in the credit repair industry than in others. This is occasionally the case because credit repair companies frequently require their customers to enroll in a recurring billing plan and then cancel it shortly after a payment is made.

This chargeback statistic must be considered by payment processing companies. They must raise their fees for those customers.

Cardholders in Financial Distress

Individuals who seek credit repair services do so because they have poor credit or are having financial difficulties and are looking for solutions. These customers may not be completely trustworthy or reliable in repaying their debts due to their past history.

Other businesses may have a diverse clientele. They may, however, be more likely to challenge charges levied by other businesses. Credit repair services are risky due to these and other factors.

Things to Consider When Choosing a Payment Processor

Rates and Fees

We could devote an entire article to the various fees that you may encounter when comparing payment processors. A business owner must choose the provider who makes the most financial and business sense.

We recommend that you carefully read through the account requirements as well as the rate and fee schedules to ensure that you understand what to expect. Take into account the following:

  • Transaction fees: Every payment processor has a different way of compensating its customers for each transaction. A percentage of the transaction and a small transaction fee are typically charged. A small difference in these rates can add up over time and make a significant difference in your company's payment processing costs.
  • Chargeback fees: Chargebacks are frequently charged in the form of a flat fee by payment processors. Certain merchants charge a surcharge if you receive a certain number of chargebacks, but this is not always the case.
  • Termination fees: When you agree to a contract, you should calculate the cost of terminating it. For credit repair companies, this is typically not a short-term arrangement.

You should be able to see all fees and rates that apply.

Recurring Billing

To facilitate payment, you may find it more convenient to enroll customers in a recurring payment plan. These systems are not completely secure because customers can cancel payments, but you will have a better chance of being paid over time.

Check with your payment processing company to see if they provide this service. If you want, you can use it. Because it necessitates the tracking of customer credit card information, this is a slightly more involved option than simple credit card processing.

Security and Fraud

Credit repair services, on the other hand, are more likely to be the target of fraud than other businesses. As a result, if your company deals with other people's personal information, cyber thieves may try to steal it. When choosing a payment processor, learn how the processor will protect your company's data.

The Payment Card Industry Security Standards Council advises businesses and card processors on how to protect their customers' information. These are known as PCI Security Standards, as the name implies. These practices include the use of a point-to-point encryption solution (P2P), which makes stolen data difficult to use.

Another layer of security is ensuring that your local network is secure, preventing unauthorized access to your transaction data. A payment processor is said to be compliant if it meets these minimum standards. It's worth noting that credit card repair companies can be deceptive as well.

The Consumer Financial Protection Bureau recently issued a report outlining how this industry is riddled with dishonest business owners who do not actually help their customers' credit and thus face complaints. They explained how this happens.

There have also been complaints about credit unions failing to respond to third-party requests to correct credit errors, according to the Bureau. Hopefully, additional steps will be taken to distinguish between errors and ensure that credit repair services function properly.

Now is the time to select a payment processing company that is up to date on the most recent security measures. This is extremely important for the credit restoration industry.

What to Expect when Applying for a Payment Processing Account

Each payment processor has its own application process, which varies greatly between businesses. While the majority of businesses accept online applications, additional steps may be required after the basic information is submitted. 

Application Documents

When applying for a high-risk credit card processing account, you may be asked to provide additional documentation about your company's financial history. Among these are the following:

  • A Credit Check
  • Personal Identification
  • Tax Returns
  • Bank Statements
  • Past Transaction History or Processing History (if applicable)

Certain companies claim to be able to get you approved (or denied) quickly, so make sure to ask how long the process will take. Before applying for a job, find out what else you need to do.

Application Fees

A payment processor may occasionally charge a fee just to consider their business. This is due to the fact that investigating a credit repair account takes more time and money.

There may also be a fee for approval. This is a one-time charge that will be applied only if your company opens an account. There may also be no application fees, which is fantastic!

Additional Tips and Considerations

It takes a lot of time and effort to decide which company to work with. As a result, if you want to work with a company, you want them to work closely with you and become an integral part of your business. Here are some additional pointers to help you make the best decision.

Be Honest!

Many traditional payment processors will not grant them an account due to the perceived risk associated with the credit repair business. When applying for an account, we strongly advise you not to try to deceive a payment processor. They will almost certainly discover your lies shortly after creating your account and will immediately terminate your customer status.

It may be tempting to keep your company's financial history or chargeback rate hidden. Your financial patterns, on the other hand, will become apparent shortly after your account is established. Occasionally, telling a story or explaining the history can assist the company in better understanding how your business operates.

Customer Service is Key

Someone who can assist your company if there is a payment processing issue could be critical. Having an easy-to-contact company is critical whether you need someone to repair your computer or help you fight a chargeback. A company that provides live assistance when needed is a good option.

Several businesses provide live assistance during business hours, but not all do so at all hours of the day. Select a company that makes it simple for you to communicate with them. Some people do this over the phone, via email, or through internet live chat features. A quick Internet search to see if any new processor reviews have been published may be worthwhile.

Reviews can occasionally reveal previously unknown information. Negative reviews can also have an impact on your choice of which company to work with. You can also check with the Better Business Bureau to see if the processor has a good track record and if there are any current complaints about it.

Value-Added Features

Certain businesses provide one-of-a-kind services that set them apart from the competition in high-risk credit card processing. Easy Pay Direct has a feature called 'Load Balancing.' To spread the risk, your transactions are routed through a series of smaller accounts rather than a single large one.

As a result, because each account has a lower dollar value limit, the processor's risk is reduced.

PaymentCloud, another payment processor, has a feature called Chargeback Protection Management that simplifies the process of identifying and resolving chargebacks. Experience, of course, is always a valuable asset.

eMerchantBroker has extensive experience processing high-risk accounts and can advise you on the best way to process a high-risk credit card.

Final Thoughts

Because credit repair services are perceived as high-risk businesses, business owners may have difficulty obtaining a credit card processing account. Individuals who work for processors can help your company achieve its goals. When comparing companies, take into account their fees, features, and the security they provide when processing your money.

The best way to get the most out of a working account is to be open and honest about your business practices and history. Each processor may have features that are beneficial to high-risk businesses, so you should look into your options.

If you need help in the future, it is critical that you work with a company that provides excellent customer service and has experience working with businesses in this field.

While it may be tempting to go with the first processor that allows your company to open an account, it is worthwhile to shop around for other options, rates, and services, especially given how reliant your company will be on this service.

We believe the following payment processors are advantageous for credit repair service businesses:

  1. Easy Pay Direct
  2. PaymentCloud
  3. eMerchantBroker
  4. Helcim
  5. Mynt POS

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