After finding out that your business needs a high-risk merchant account, you can find yourself in a tough spot. It especially applies to those of you who never had to deal with such an account before. There are so many questions that you have.

How do you apply? Is there some sort of company that specializes in these types of accounts? How long will it last? Don’t worry; high risk merchant account instant approval is a real thing. 

Here is everything you need to know about applying for a high-risk merchant account.

Coming to terms that you are a high-risk merchant

The first thing you need to do is come to terms with the fact that you are a high-risk merchant. Why is this important? It will save you a ton of time and money. If you still think you are not as risky as some banks see you, you will continue applying for non-risk merchant accounts and get declined. Meanwhile, your online business won’t be able to process credit card payments.

As a high-risk merchant, you have only one option – work through a high-risk merchant account. These accounts are different from regular accounts as they generally imply higher fees and rolling reserves. Once you understand that your only option is a high-risk account for your business, you are ready to proceed.

Most application processes are online-based

Before we get into the actual how-to, you should know that you won’t have to spend too much time with your application. A couple of years ago, business owners had to go to the bank to apply for accounts. In the best-case scenario, they were allowed to mail their application forms to a bank. Today, the entire process is considerably more convenient and time-efficient.

You will be able to complete the application process from the convenience of your business office, home, or even on the go. Here is what you will need to do.

Find a high-risk payment processor!

There are many high-risk payment processors available. These companies provide a wide range of services. You will be able to open an account with them. They automate account management and payment processing so that you can focus on your core business. There is one catch, though – not all high-risk payment processor companies are the same.

Many things make them different. For instance, not all of them offer the same fees. But there are a couple of more important things to look for besides the fees – scope of services, reputation, reliability, and security. The goal is to choose the most reputable bank to streamline high-risk payment processing both online and mobile.

Get your financial statements and processing history

Despite which processor you choose, you will have to take care of two things. You will need to sort out your financial statements and processing history.

These are the two most important things. The sooner you start working on pulling this information together, the better. These two documents contain critical data. If you submit the complete documentation, the processor will be able to assess your business, approve your application, and open a high-risk merchant account for your business.

What does processing history imply? You will need to provide the processing history for at least the last six months. This report should contain the total volume of sales, number of individual transactions, and chargeback percentage.

Get your cover letter ready!

The more information you give to a processor, the better. They will have no trouble assessing your business and unique situation, and it will help you go through the approval process much faster. Who knows, you might even get better conditions because you’ve provided detailed information. What is it that you need to get ready?

Start with the cover letter. Tell them how you found out about them, what you find attractive in their offer, and why their services would be a perfect fit for your business. You can also state your business and elaborate on why you need a high-risk merchant account and how it can help you facilitate business growth.

Get your documents in order!

Before you rush and apply, you should get your documents in order. It will help make applications so much faster. Plus, if you get rejected, you will have everything you need in one place to go and apply at another processor.

In addition to financial statements and payment history, you should have:

  • Incorporation and shareholders certificate
  • Copy of your passport
  • Utility bill if you have shareholders and directors holding more than 15%
  • Business license number
  • Name of the organization that issued your business license


Applying for a high-risk merchant account is very easy. There are many processors on the market today. Most of them enable potential clients to apply through online channels. Now that you know how to do it, you will find it easier to complete application forms.