Echeck Merchant Accounts for High Risk Merchants
The electronic check processor of choice for high risk merchants utilizes bank-to-bank image transfer technology. End-to-end electronic check processing automates payments and streamlines business operations.
All echeck payments are processed and cleared through the echeck gateway. The electronic check processor assumes the responsibility for chargebacks & returns. Cleared funds are settled to your business bank account by the echeck payment processor via an ACH credit, similar to how card processing funds are settled.
High risk merchants with higher returns and revoked transactions love processing electronic checks in this manner. Revoked and returned transactions permitted are significantly higher any other way of method of processing payments.
In addition, there are no industry restrictions. All businesses classified as high risk merchants are welcome to apply.
Be careful when shopping for echeck services. Some electronic check processors simply print out “substitute” checks which then clear through your business bank account. This rarely works well for high risk merchants.
Banks flag business accounts that have returns & revokes running through them. If you process substitute checks which are returned or revoked, your risk having your business bank account closed. Also, some banks will not accept substitute checks. The items “Return to Maker”, driving up your return ratios.