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Gun Friendly Credit Card Processors

Our Top Picks for The Best Firearm Payment Processing Companies

  1. Easy Pay Direct
  2. eMerchantBroker
  3. PaymentCloud
  4. Dharma Merchant Services
  5. CDG Commerce Cornerstone Merchant Services

1. Easy Pay Direct

Easy Pay Direct specializes in working with businesses that are considered high risk. Not all credit card processors are equipped to handle gun-friendly accounts, but EPD is. EPD knows exactly which processors to set you up with. They will take the time to get to know you and your business in order to set you up with the perfect merchant processor.

2. eMerchantBroker

eMerchantBroker also specializes in working with high risk businesses with adult items available for purchase. Along with high risk, there is a greater chance of chargebacks or fraud. EMB can offer you protection against those potentially damaging instances.

3. PaymentCloud

PaymentCloud offers many different gun and firearm software integrations for your company to choose from. PaymentCloud is the best at providing credit card processing for gun dealers online and in-person because we link up to the solutions that you already use. They offer unbeatable rates, even for those companies that are considered to be a great risk.

4. Dharma Merchant Services

Dharma offers great rates with no hidden fees or charges. They have 24 hour priority funding available along with 24 hour customer service support. They will provide you with the tools in order to accept payments online, in store, or through a mobile device. Working with Dharma can make your company more versatile when it comes to payment.

5. CDG Commerce Cornerstone Merchant Services

CDG Commerce can offer you the best merchant processing services in the business. They offer unique customizable payment solutions for specific industries. CDG will take the time to get to know your business and its specific needs. You will receive expert advice and instant activation after a quick 15 minute over the phone activation.

If you sell firearms, you know how important it is to maximize your profits. To accomplish this, ensure that you are able to accept credit cards and other forms of payment (other than cash). However, how do you find the best gun-friendly payment processors?

They aren't always easy to come by. There is no cause for concern. You've arrived at the right place! We'll list the ones we believe are the best to help you find the best credit card processing companies that allow you to use your firearms.

However, we'll give you some pointers on what to look for in a merchant account that can accept payments for a gun store.

What is Gun-Friendly Credit Card Processing?

To be profitable, a business must be able to accept credit cards. Certain merchant service providers will refuse to work with specific companies. A gun-friendly payment processing company will.

They are less likely to do so because merchant account providers and payment processors are averse to working with individuals in the firearms industry. Those who do will almost certainly charge a higher fee as a result of the increased risk.

Why Do Firearm Retailers Need to Process Payments?

Guns are considered to be high-priced items. To make a profit, individuals who sell firearms must accept credit cards and other forms of payment. This is true whether the firearms are sold online or in a store.

Gun dealers cannot make money unless they can accept alternative forms of payment because the majority of people do not have hundreds or even thousands of dollars in cash. This is why they need a way to accept alternate forms of payment.

What Do You Need to Accept Credit Card Payments as a Gun Merchant?

Accepting and processing credit card payments necessitates a substantial amount of effort. However, it is not as simple as most people believe. The entire procedure is broken down into three distinct stages.

A Merchant Account

For your firearms business, you'll need to open a merchant account. A merchant account serves as a holding account for the funds generated by your sales while they are processed further. When the funds are received, you will not be charged any fees. Transaction fees, as well as monthly or annual fees, can be charged.

You may also be subject to rolling reserves, which means that a portion of your sales will be held in a separate account for an average of six months. Allow yourself plenty of time. Those funds will be released to you after six months.

This protects your company from excessive chargebacks while also covering the associated costs. The remainder of the funds is then transferred to your business bank account. That is where you can get them.

A Payment Processor

If you enjoy working with a merchant account provider, chances are they also provide payment processing. A lot of people do. If they are unable to assist you, they may be able to refer you to someone who can.

If you use a payment processor, they will handle the entire transaction until the money reaches your business bank account. You can see how much money is coming in and going out of that business at any given time.

You may not always be able to see what they are doing. Isn't that correct? This is an important section.

A Business Bank Account

Finally, you'll need to open a business bank account, which you've almost certainly already done; this is the final step. Following the completion of your sales, the proceeds, less any fees and reserve funds, will be deposited here. You can use this page to withdraw funds, pay employees, and do other things.

Can Firearms Dealers Use Payment Aggregators?

To put it simply, no. Allow us to show you. The terms of service for all three major payment processors prohibit businesses from selling firearms.

  • According to PayPal's terms, businesses are not permitted to use the service to sell firearms, ammunition, or specific components and accessories that must be purchased through the service.
  • Firearms and other weapons are not permitted on Square. The use of firearms and other weapons is prohibited by Square's rules.
  • Stripe's terms of service forbid it from processing payments for regulated or age-restricted goods or services like weapons and munitions.

There are some drawbacks to using a payment aggregator, but there are also some benefits. You won't have to wait long before you can start accepting payments. Then one of the processors listed above is a good choice.

Many high-risk merchants will try to get around these terms by not being completely honest about the products they sell. However, this can lead to a slew of other issues. You must be caught lying about your business in order to quickly make the MATCH list. Then it may be difficult to get out. If your company is listed there, you are unlikely to be able to obtain payment processing services as long as it is listed.

What to Consider Before Choosing a Gun Merchant Credit Card Processor

There are numerous factors to consider when choosing the best merchant service company for your business. Before you go any further, you should think about a few things. You must make a few decisions before proceeding.

Will Your Sales be Online or In-Store?

You can run a gun-selling business in the United States either online or in person. Both are viable options. To begin, you must decide what type of business you want to run. This will help you determine what kind of hardware and software you'll need. If you decide to open a physical store, you will probably need a cash register, a credit card terminal, or even a virtual terminal.

However, it all boils down to personal taste. If you plan to sell your products primarily online, you may need a shopping cart and a payment gateway. Regardless of the method you use, the merchant services provider you choose should be able to meet your needs.

You’re Considered a High-Risk Business

Keep in mind that you are running a high-risk business. If this is the case, you will have to pay a higher fee for payment processing services than businesses that are not considered high-risk, such as the vast majority of restaurants and grocery stores. Even if it means settling for:

  • Possibly a high early termination fee
  • Rolling reserves
  • Higher transaction fees
  • A long-term contract

Some of these rules may be changed in the future if you work with the right company and establish a processing history. There are also companies that work with high-risk businesses to help them reduce their processing costs. It is critical that you pay attention to all of the ways they may be able to help you.

Plan to Accept Alternative Payment Methods

As long as you had cash or a check, you could pay someone. However, times have changed, and there are now a variety of ways to accept money:

  • Electronic checks
  • Mobile wallets
  • Gift cards
  • EMV chip cards
  • ACH

Many of these payment methods are easier to use and, as a result, are becoming more popular. It will be worthwhile to spend some time deciding which payment methods you want to accept in your store and/or on the internet.

To be honest, it's the only way for any company, regardless of industry, to stay competitive.

How to Choose the Best Gun-Friendly Merchant Account Provider

You'll have to make a decision if you've chosen to speak with one of the payment processors we've recommended or if you've done your own research. You want to go with the best one for your company. Here are a few pointers to get you started.

Read Over Your Contract Carefully and Ask Questions

As a high-risk merchant, you will almost certainly be required to sign a long-term contract. While you're reading it, ask any questions that come to mind and make sure you understand everything. Take into account the following:

  • Miscellaneous fees (such as account statement fees)
  • Early termination fees
  • Monthly and/or annual fees
  • Rolling reserve requirements
  • Chargeback fees

Determine whether there are any hidden fees or anything that does not appear to be correct. Keep your eyes peeled for these potential hazards! Certain companies are ambiguous about what they do and how much they charge. You should also inquire about the cost of hardware, if necessary. This could be a separate contract from the one you sign when you buy something.

In exchange for signing up for their service, many merchant service providers will give their customers free point-of-sale systems and credit card terminals. Certain businesses may be able to outsource their hardware needs.

Companies that rent hardware from merchants re-rent it to other companies. These leases can be extremely costly, costing you thousands of dollars for equipment that you could buy for a few hundred dollars. Check to see if the company you intend to hire can work with any existing equipment.

Ask About Chargeback Protection and Prevention

High-risk merchants are characterized by a high volume of chargebacks, which is why they are classified as such. When a customer seeks reimbursement from their bank for any reason, this is referred to as a chargeback. This could be because the customer believes the transaction was a sham because their credit card was stolen.

However, it is possible because people are aware that they can request that a charge be reversed and that their banks will comply. The bad news is that this happens all the time in the payment processing industry, especially with high-risk businesses.

Any credit card processor you use should be able to protect you from chargebacks as well as show you how to avoid them. Some processors, for example, have services in place that notify them when a chargeback is filed.

This alert can be sent before the investigation is completed. Rather than allowing the chargeback to proceed, merchants have time to contact the customer and issue a refund.

Find a Processor That Offers Load Balancing

Payment processing companies that offer load balancing should be considered by all high-risk merchants. This means that instead of having just one merchant account, you could have two or more. When you make sales, your processor divides your cash according to the amount you and your processor agreed upon.

In other words, everything else goes as planned. You continue to receive sales proceeds deposited into your business bank account. The key distinction is that if your company receives a large number of chargebacks, the funds are distributed across multiple merchant accounts rather than just one. Individuals are occasionally required to freeze funds in one of their accounts, but they can use the remaining funds during the freeze period.

Additional Tips to Help You Get Started

You're almost ready to begin researching gun-friendly credit card processors. However, we still have additional tips for you.

Have Your Documentation Ready

When applying for a merchant account, you must provide all necessary documentation. Following that, an underwriter will review your application to see if you are a good fit for the account. It is possible that you will need to do the following:

  • Your business plan.
  • Three months of personal bank statements. 
  • Three months of processing statements (if you have them). 
  • Three months of business bank statements. 
  • Your driver’s license. 
  • A voided check or a letter from your bank. 
  • Your business license. 

You'll also need your completed application and any other materials they may require. If you submit them as soon as possible, things move more quickly in the underwriting department. The majority of companies should contact you within a week of receiving your application.

Be Honest About Your Processing Volume

Take a close look at how you've spent your money. How many people do you have on a monthly basis? Is this going to change? Is it really going to happen? Do you have any predictions for the next few years? You don't want to be added to the MATCH list, nor do you want to hit a monthly payment cap and be unable to accept payments for the rest of the month. Provide accurate revenue information, and your payment processor will work with you to set a limit that works for you.

Keep the Future in Mind

Proceed with caution because the decision you make now will almost certainly have an impact on how your business performs in the long run. For example, if you intend to establish an online presence within a year, working with a merchant account provider who only works with brick-and-mortar businesses is not a good idea.

In the long run, you run the risk of entering into a long-term contract from which you will be unable to withdraw. When writing your business plan, consider the next year, five years, and even ten years. This will help you determine what you need.

Our Final Thoughts on Payment Processing for Firearms Dealers

Our top picks for gun dealers who want to accept credit cards are listed below:

  1. Easy Pay Direct
  2. eMerchantBroker
  3. PaymentCloud
  4. Dharma Merchant Services
  5. CDG Commerce Cornerstone Merchant Services

We're confident you'll make the best decision for your situation. We're here to help you!

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