Updated May 2024

If you are a business owner with poor or bad credit, you know that finding a merchant account provider that doesn't run a credit check is a difficult task. Most applications often require some insight into your business history or personal finances in order to approve your account. However, there is an way for business owners with bad credit to obtain a merchant account. If you have bad credit and a merchant account provider has declined you, then you need to find a high-risk merchant account that caters to your credit situation.

Luckily, Zen Payments and other high-risk payment processors provide bad credit merchant accounts to business owners whose bad credit and high-risk businesses would otherwise prevent them from working with traditional payment processors. If you need a bad credit merchant account, Zen Payments is the best option on the market.

Get a Bad Credit Merchant Account

Your personal credit score matters when it comes to getting money for investing in a new business. Similarly, your merchant account provider takes into consideration your credit score and other financial health indicators so they can gauge the risk of your account. This is standard procedure in the industry because banks need to balance their portfolio of accounts. Many banks or other financial institutions won't work with merchants who have poor credit scores, unpaid bills, a negative bank account balance, or multiple late payments. They consider these merchant's companies bad credit businesses, and label them high-risk. However, if you are in this boat, you don't need to panic. There are options that will still allow your business to accept credit card payments.

The good news is, there are many high-risk providers that work with people who have a lower credit rating. If you're at 580 or below on your credit score, you'll need to seek out a high-risk provider with lower credit limits. They may charge higher processing rates, but it's the best way to get the credit card processing you need to run your business.

Working Around the Credit Issue

Credit isn't everything when it comes to opening a merchant account for payment processing. There are reasons your credit score may be low that your merchant account provider will take into consideration. For example, if you just purchased a home or have student loans and medical debt, your score may be lower, but it's not a direct indicator of business risk. Merchant account providers are more worried about poor or bad credit because of a lack of credit history, or a history or unpaid bills. If you are in this boat, it may be difficult to obtain credit card processing from traditional merchant account providers.

Luckily, there are things you can do to qualify for a merchant account. The main way to get approved for a merchant account even if you have poor credit is to show a history of successful transactions. If you've been operating a successful business with steady revenue over time, your payment processor can be more flexible in getting you the credit card processing solution you need.

Bad Credit Merchant Services

Companies that help people improve their credit score are considered high-risk. Because there are so many people with limited information and resources, there is a high demand for these bad credit businesses. Improving one's credit can allow people to advance their personal businesses and take on new goals like purchasing a home.

Many people dealing with low credit scores will find ways they can improve their score by researching credit repair companies. Some companies create audiobooks, coaching courses, or video programs in order to help individuals improve their finances.

However, if you are a business owner who needs an account now to build up your credit history and start processing credit cards, a high-risk merchant account could be a great choice! High-risk credit card processors can set you up with a bad credit merchant account.

Payment Processing for Merchants With Bad Credit

Bad credit can happen for a number of reasons: bankruptcy, high-interest loans, or a weak economy, just to name a few. If you are operating an online store or a brick-and-mortar location, then you'll need to find a high-risk processor with experience in creating to meet your needs.

Your goal is to have long-term and sustainable processing solutions by setting up a merchant account. Zen Payments provides bad credit merchant accounts to business owners with low credit scores in order to help them build a successful enterprise. Start accepting credit cards by working with one of the best high-risk payment processors in the business! Be sure to reach out and ask about the application process and underwriting details when it comes to getting you approved fast.

Why choose Zen Payments as Your Bad Credit Merchant Account Provider?

At Zen Payments, we provide bad credit merchant accounts. We understand that it can be difficult to find merchant account providers willing to work with you if you have a bad credit history. That's why we work specifically with high-risk merchants and provide accounts to merchants with poor credit and poor credit history. We work with merchants whose credit score is as low as 500.

The best part? We have over 15 years of experience in the high-risk merchant account industry. This means that we can provide you with a merchant account despite your credit history, without charging the high fees other payment processors do. If you need a bad credit merchant account, reach out today! We'll work quickly to get your company set up and accepting credit card payments quickly.