Are You in Need of Skin and Hair Care Merchant Account Solutions?
Skin and hair care merchants frequently have difficulties finding online debit and credit card processing solutions, which seems absurd especially since the skin and hair care industry in the US brought in yearly sales nearing $18.5 billion during 2018.
Regardless, those in need of a skin and hair care merchant account find it rather challenging to find payment processing options with the potential of higher rates of chargebacks in their respective industry. Most acquiring banks believe skin and hair care merchant accounts to be too risky to provide them with a high-risk skin and hair care merchant account.
This doesn’t mean you’re out of luck when it comes to eCommerce and electronic payment processing solutions online or through a virtual terminal/MOTO (also referred to as card-not-present transactions), it merely means that you have to pick the right company to handle all your electronic payment processing needs.
Has Your Processor Recently Shut Down Your Skin and Hair Care Merchant Account?
You build out an amazing and modern, new website for your skin and hair care business, you’ve got a sizable following on social media (Instagram, Facebook and others) and are making some big-time profits through your site via PayPal, Square, Stripe or others. But, a few months or weeks later, your merchant account is totally closed down and all revenue comes to a halt because many of the payment processing companies (such as those listed) consider a skin and hair care merchant account to be a high risk industry, due to the rates of refunds and credit card credit card chargebacks.
In this scenario you have no payments coming in and your merchant account is not getting the necessary funds. You may end up owing your bank money while you have no cash coming in from your online sales. Your skin and hair care retailer accounts could end up being completely frozen, where you won’t have any access to the funds, and your customers will start going to your competition. That right there as they would say in business, and you could be impacted.
However, this nightmare scenario can be avoided when you start with the ideal payment processing company from day one like Double Helix Processing for your high risk skin and hair care merchant account, you avoid any funds being frozen and your flow of income can just keep rolling in.
How Does Being High Risk Affect Your Chances of Getting a Skin and Hair Care Merchant Account?
The main reason skin and hair care companies are regarded as high risk is because of the number of chargebacks that incur within this business. Why is it that skin and hair care merchant accounts get a great deal of chargebacks?
Excellent question. Skin and hair care companies typically get more chargebacks in comparison with other online business models, and certainly more over retail stores. Predominately, it’s the chargebacks that require the business to utilize a high-risk hair and skin care merchant account to accept electronic payments for debit and credit card processing rather than having the ability to qualify for a very low risk account. Here are a few reasons why…
- 1. Most skin and hair care businesses, especially eCommerce or online shops, assume that by providing a great product at competitive prices, and by being upfront with all of the terms, that their clients will be pleased with. That is until the chargebacks start coming in.
- 2. Some skin and hair care businesses claim or suggest incredible results for their merchandise, and as soon as a client feels that it doesn’t wind working how the product was advertised as, it leaves the consumer feeling swindled. It is for this and other reasons that many skin and hair care merchant accounts struggle with chargebacks. Many customers with smaller companies generally do not have a large customer service team to deal with disgruntled clients. So, this limited access for resolution along with the more dissatisfied the customers the more they get hit with avoidable and lost chargebacks.
- 3. Experienced skin and hair care businesses know about the types and number of chargeback management tools available to them and use them frequently. But handling chargebacks isn’t something a whole lot of companies do from the start, so they generally learn about these management tools after it’s too late to save their high-risk hair and skin care account.
Why Does this Matter and How Can Double Helix Processing Help with my Skin and Hair Care Merchant Account?
Whenever your skin and hair care company partners with the right merchant account, you raise the longevity of this account and improve your payment processing options. The acquiring bank’s underwriting or due diligence doesn’t end after the account has been opened. This usually means that there’s ongoing risk monitoring that’s connected with all high-risk merchant accounts.
If an account was opened under the wrong business industry type or the business model is deemed high risk after the fact, which is almost always true for skin and hair care merchant accounts, you can expect the accounts to be frozen or closed. You can avoid the hassle of beginning your payment processing, getting shut down, and seeking an alternate payment processing partner by starting the process with the ideal high-risk merchant account. This will also increase the odds that the acquiring banks will likely be more lenient when it comes time to approve your merchant account.
Double Helix Processing gives free quotes which are fast and painless. Just fill out our simple, online Merchant Account Application to get started.
Why Should You Choose Double Helix Processing?
We understand the unique needs of the different Skin and Hair Care related business types and have established numerous acquiring banking relationships to become your best resource in getting Skin and Hair Care merchant accounts set up and accepting online payments. Our expertise is your ticket to getting the stable processing you need to further your business.