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. Nonetheless, 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.
Your 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 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.
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 then you’ll need to seek out a high risk provider that has 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.
Credit isn’t everything when it comes to opening a merchant account. 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.
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.
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 services. 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 will find ways they can improve their score by researching credit repair companies. Some companies create audio books, coaching courses, or video programs in order to help individuals improve their finances.
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. Zen Payments provides merchant accounts to business owner’s with low credit scores in order to help them build a successful enterprise. Be sure to reach out and ask about the application process and underwriting details when it comes to getting you approved fast.