High-risk payment processors provide payment processing services to merchants engaged in high-risk businesses, such as online gaming, adult entertainment, and short-term loan providers. These businesses are considered high-risk due to the potential for fraud, chargebacks, and regulatory compliance issues.
The business model of high-risk payment processors involves charging merchants higher fees and rates than traditional payment processors while mitigating the risk associated with these types of transactions. This is due to the higher risk associated with processing transactions for these businesses. High-risk payment processors may also require higher security and compliance measures to protect against fraud and other risks.
In return for the higher fees, high-risk payment processors offer specialized services tailored to the needs of high-risk businesses. This may include features such as chargeback protection, fraud detection and prevention, and the ability to accept a wider range of payment methods.
Some of the better-known high-risk payment processors are:
- Durango Merchant Services: A payment processing company specializing in high-risk industries, including online gaming, adult entertainment, and CBD.
- Instabill: A payment processing company providing services to a wide range of high-risk businesses, including online dating, e-cigarettes, and online pharmaceuticals.
- Nochex: A UK-based payment processing company offering services to high-risk merchants, including online gaming, digital downloads, and adult entertainment.
- PayKings: A payment processing company specializing in high-risk industries, including e-commerce, travel, and adult entertainment.
- EMB: A payment processing company providing services to a wide range of high-risk businesses, including online gaming, e-commerce, and telemarketing.
These are just a few examples of leading high-risk payment processors. The specific company best for a merchant will depend on their individual needs and the types of products or services they offer.