Bad credit can follow you to the bank when you request a loan or interfere with your ability to lease a car. An internet merchant account is an essential tool for a modern business trying to stay afloat in an economy that emphasizes the online marketplace. Bad credit can step in yet again to make these accounts more expensive to keep and more difficult to apply for.
Luckily there are things you can do to help obtain and manage a merchant account, even with bad credit.
1. Compare the discount rate
When a merchant makes an account with an internet merchant account provider, they are assigned a discount rate. This rate represents the percentage that the merchant pays out of each transaction in order to process credit cards on their online store. In short, bad credit can potentially raise the discount rate.
Getting an internet merchant account with bad credit is not impossible, but businesses should make sure to select a provider that will work with merchants that have bad credit.
2. Consolidate debt
Since a merchant’s finances can affect their rates and eligibility for accounts, getting a merchant account with bad credit may be easier with a cleaner financial record.
Resolving loans or doing anything that can improve a merchant’s credit score may be a wise first step to getting a merchant account with bad credit. Since finances impact the discount rate, if it is not possible to pay them off entirely, then working to consolidate them can making internet merchant accounts more accessible.
3. Know what services you are getting
Internet merchant accounts are essential tools for any business. A partnership with an account provider can give a business’s online store an enormous boost. Make sure that your provider will enable you to accept ALL major credit cards. Accepting eChecks is also a great option for customers who prefer to pay that way, so make sure your merchant account provider also offers this service if it’s something you want now or if it’s something you think you might ever want down the road.
Getting a merchant account with bad credit can be a hassle. By calculating discount rates, shopping around, consolidating debt, and knowing which services are essential, a business can still obtain a merchant account and help their customers make more secure transactions on their store.
Visit Charge.com or call (888) 924-2743 to view options for internet merchant account services through a company that works with merchants no matter their credit score.