Hey guys i am sure this topic has been started before, but i am looking for a merchant account that doesn't base their qualification on credit score. I have a poor credit score due to the bad economy, and i really need a merchant account. I tried with CDG, but got rejected .
It just depends. The truth of the matter is that your local bank is more likely to approve you, because they know you. The trouble is, a lot of them may not even provide merchant accounts, and some that do haven't a clue about internet merchant accounts.
All companies have different underwriting guidelines and some will approve you where others won't. The trouble then, becomes finding the one that does, and every inquiry to your credit drops your score a little because of the number of inquiries into your credit.
Now, those that will approve you will likely want a discount that is a little bigger than if you credit was good, but sometimes you have to grin and bear it to get going again.
I had no problems getting a merchant account in the past. Now it seems like they want your first born before they'll approve you. NEVER EVER in my life ever had a chargeback, or even a returned check, but it seems they aren't even taking that into consideration.
Same here i only have bad credit due to a local business in here. My bank pre approved me already, but man their rates are crazy. As of right now i cant find anyone. amerasearch who els did you try. I am looking at freeauth.net, hopefully they can approve me
Well, freeauth I think uses First Data, who goes through Wells Fargo. I've always dealt with them in the past. Some of their internet services can be pricey, but they were good. They won't touch me now though, so I am trying to go through the High Risk Pay.
What you will find in your searches, is that many of the merchant providers out there are resellers, or sales agents, so there are only a few actual banks, and the agents resell for them. In other words, when you apply at 2 different places, you might really be applying the same place, but to dofferent independent sales agents.
Places I have tried:
cardsservice international, which is first data now
sunvirtual.com (first data reseller)
instamerchant.com (first data reseller)
I DO have to say that if you haven't already, you can try sunvirtual.com as they work with First Data who may very well work with. Honestly, I think a lot depends on who works the application when it comes in too.
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1. Unfortunately, processors look at one's personal credit as an indication on how they are going to run the business. Can they run their personal financial life and how will that relate to the business.
2. Freeauthnet.com is registered through hsbc, but they have countless processors they work with. They can place all sorts of accounts. I know this as I'm friends with their CEO.
3. Approval is based on a lot of factors, personal credit being one. Other important factors are what is it that you are selling, monthly volume and average ticket. Some products are higher risk than others, a $100 avg ticket is a lot different then $1,000.
4. If you can have someone to cosign your application, that will definitely put some chips in your favor. They don't need any ownership in the company, they are simply cosigning, personally guaranteeing the account.