While overseas, or international merchant accounts are not for every business, they do have some very practical applications for certain American companies. Whether or not such a service is the right one for you depends on several factors, including the types of transactions you wish to handle, the risk level applied to your industry, whether or not you qualify for an account nationally, and what sort of tax benefits you may need. Using a processor is a good way to circumvent some of the problems that plague companies using home-based merchant banks.
It should be noted that these international credit card services are only useful if you are accepting payments online . Card swipe transactions necessitate the use of a purchased or leased machine and sometimes a PIN pad, and these services are only provided here at home. However, online stores and service providers are eligible to use processors because all of their payments will be sent through the internet using SSL and other security encryption devices.
Friendly Toward High Risk Industries
High risk businesses are also prime candidates for using this type of merchant account. Some industries that receive a higher risk classification include gambling and casino related websites, adult entertainment or pornography services, and pyramid scheme or other MOTO transactions. Some companies choose these solutions in order to get better rates and more flexible terms, while others are outright denied by traditional merchant banks at home. Providers have become increasingly popular as the above high risk industries have grown and begun attracting more and more entrepreneurs.
Bad Credit is Okay
Some businesses also cannot qualify for a nationally-based account for card processing. Either they have credit histories that prevent them from being accepted here, or they are operating in an industry that is disfavored in the United States, or they have a pattern of chargebacks that makes them undesirable to the merchant banks here. If this is the case for your company, you will likely have better success working with an international merchant service provider.
Currency Exchanges of All Types
Additionally, the market you are trying to reach can also determine whether or not international card processing is for you. If your website, store, or service is aimed at people both at home and abroad, you may find that currency fluctuations and the ability to accept payments from a variety of countries is very important to you. Going overseas can allow you to handle transactions in all currencies, and it can also protect your bottom line from intense fluctuations in the value of the dollar, pound, yen, lira, or other currency.
Finally, there are a few other benefits for using such a merchant service, one of the biggest being tax reduction. To find out if this is the right service for your corporation, apply for an account today and our specialists will advise you on your multitude of options.