The following types of Merchants and/or Industries are prone to high levels of financial risk and liability. The first list contains Prohibited Merchants. The second list contains High Risk Merchants.

Prohibited Merchants/Industries

We do not provide Merchant Accounts for the following types of Merchants:

  • Business Practices Promoting Racism, Violence, Abuse, Discrimination or Other Immoral Activity
  • Illegal products/Activities of any Kind
  • Intellectual Property Rights Violators
  • Airlines
  • All Adult Entertainment, sexually oriented or pornographic merchants, including but not limited to: Adult telephone conversations; Internet sex/porn; Adult pictures & photos; Misc. adult entertainment (not elsewhere classified)
  • Collection Agencies
  • Credit Repair Services
  • Stolen property
  • Internet Tobacco Sales
  • Drug Paraphernalia
  • Escort or Dating Services
  • Gambling Establishments
  • Lottery Sales
  • Massage Parlors (unless licensed for physical therapy)
  • Multi-level Marketing
  • Time Share Sales
  • Bankruptcy Lawyers/Firms
  • Travel Agencies
  • Age Verification Services
  • Adult Videotext Merchants
  • Negative Option Billing
  • Outbound/Inbound Telemarketing
  • Internet Pharmaceutical Sales
  • Long Distance Services
  • Pre-paid legal advice/services
  • Cable box de-scramblers
  • Internet/Mail-Order designer/imitation handbags
  • Internet/Mail-Order watches
  • Male or Female Sexual Enhancement Supplements or Products
  • Pre-Paid Phone Cards
  • Internet Perfume Stores
  • Annual Billing with High Average Tickets
  • Matrix Merchants
  • Downloadable Software
  • Internet as Seen on TV Products
  • Knock off Athletic Shoes
  • Sunglasses
  • Medical Advice
  • Human Growth Hormones
  • Check cashing services
  • Counterfeit items, including but not limited to: Currency; Coins: stamps: Counterfeiting equipment; Trademark infringement items
  • Investment opportunities
  • Pyramids/Ponzi Schemes
  • (Canada Only) Animals and Wildlife products classified as endangered or protected
  • (Canada Only) Business Opportunity (get-rich-quick schemes)
  • (Canada Only) Buying/shopping clubs
  • (Canada Only) Chain letters
  • (Canada Only) Credit card protection (including identity theft protection
  • (Canada Only) Cruise lines
  • (Canada Only) Extended warranty companies
  • (Canada Only) Flea Market/Kiosk Operators (defined as firms/individuals operating from a booth, whether indoor or outdoor, on a part-time basis, with no lease or telephone availability)
  • (Canada Only) Free gift, prize, sweepstakes or contest as an inducement to purchase a product/service
  • (Canada Only) Gaming, including horse and dog racing
  • (Canada Only) Hazardous and/or restricted materials
  • (Canada Only) Hair restoration
  • (Canada Only) Human parts and remains
  • (Canada Only) Investor clubs
  • (Canada Only) Products with unreasonable guarantees
  • (Canada Only) Pseudo-pharmaceuticals (anti-aging pills, sex nutrients, etc.)
  • (Canada Only) Sports forecasting or odds-making
  • (Canada Only) Third Party Payment Processors (Aggregators)

High Risk Merchants/Industries

The following Merchant types are historically prone to higher levels of chargeback and fraudulent activity. These Merchants may represent high levels of financial risk / liability. These Merchants will be subject to escalated UNDERWRITING procedures, which may include a High-Risk Plan (SEE BELOW).

  • Answering Services
  • Diet Centers
  • Health Clubs
  • Internet Access Providers
  • Investment Opportunities
  • Liquidators
  • Motivational and Self-improvement Courses
  • Non-Retail Pawn Shops
  • Seminars
  • Tanning Salons
  • Vitamin/Herbal Supplement Sales
  • Water Purification
  • Non-Retail Jewelry
  • Electronics including Laptops and Computers
  • Cellular Phones and Pagers
  • Non-Retail Computer Hardware and/or Software sales.
  • Legal Advice and Kits
  • Auto Accessories/Tire Rims

Additional UNDERWRITING requirements for the High Risk Merchant Types may include:

  • The latest business/financial statements
  • Detailed description of how the Merchant conducts business relative to deliveries, deposits, sales procedures and return policy
  • Copies of printed sales material, print ads and electronic media
  • Personal guarantee of signatory with greater than or equal to 50% ownership in the corporation
  • Copy of business license
  • Marketing Materials
  • Additional Business References