Do you have to be a high risk merchant to qualify for an international merchant account?

Many companies that establish international merchant accounts are not high risk.  Companies set up merchant accounts offshore for a variety of reasons, including access to more favorable business conditions, reduction in payment processing expenses, decreases in foreign exchange costs, or different regulatory environments.

Is incorporation required in the jurisdiction where the acquiring bank is located?

Yes. However, you can wait until account approval prior to setting up a corporation. Establishing a corporation is not difficult; it’s simply a paperwork process. Rates vary depending upon the country in which you chose to incorporate and are usually quite reasonable. We can refer you to reputable companies who are experienced in setting up corporations offshore specifically for merchant processing.

How long will high risk merchant account approval take?

It takes 7-21 days from the time the completed paperwork package is submitted for the account to be approved, depending upon the jurisdiction of the bank. 

Be careful of companies that promise exceptionally fast high risk on international merchant account approval. These companies often are not establishing direct merchant accounts with acquiring banks for you.  Rather, you get an account with a 3rd party processor, not directly with a bank.

What are the settlement times?

For international merchant accounts, settlement times are weekly, bi-weekly or daily, depending upon the acquiring bank and the amount being processed.

Where are the acquiring banks located?

Banks are located throughout the world. The choice of banks in different geographic regions gives you the ability to easily diversify merchant accounts to maximize payment processing options and minimize risk. And provides you an opportunity to optimize liquidity origination in response to changes in capital markets.

Do international accounts require reserves?

It depends on the merchant’s financial statements, processing history, industry type and the bank. Most international banks initially require 6-month rolling reserves ranging from 5-10%. Letters of credit may be acceptable in place of reserves.

After 6-months’ of processing history is established with a bank, reserves can be renegotiated.

What are the requirements for an international merchant account?

To apply for an offshore or international merchant account, merchants must have established processing history showing at least $100,000 per month. No start-up companies are accepted.

The application process for an international merchant account is the same as for standard merchant accounts.  You fill out an application form and submit supporting due diligence documentation.  Application for accounts is always free.

What are the advantages of offshore merchant accounts for companies that do not have an international customer base?

Some companies chose to process offshore to access business conditions or incentives that are more advantageous to their companies than those offered by their country of domicile.

In addition, certain types of businesses find it easier to establish processing accounts offshore than domestically.

And, offshore processing can be a good solution where national political or banking policies can affect access to merchant accounts in the home country.

What are the advantages of offshore merchant accounts for businesses with a global customer base?

For merchants with an international customer base, offshore merchant accounts reduce processing expenses, decrease operating costs and save money on foreign exchange rates. Global merchants can benefit from using a single platform to establish processing accounts in all regions in which business is conducted.

Is it safe to process payments offshore?

Offshore payment processing is extremely safe, as long as accounts are established with reputable international banks. All the acquiring banks in our network are well-capitalized with years of experience in processing payments.

What are the requirements for setting up an account for international bank transfers?

To qualify for processing, merchants need to submit at least $50,000 through the account per month.

Are bank transfers available in the US?

Push payments are not yet widely used in the US. The most common alternative payment option for US merchants is electronic checks (echecks). Echecks electronically debit buyers’ bank accounts and automatically credit funds to the merchant.

What types of businesses benefit from offering local bank transfers to buyers?

Companies with an international customer base add bank transfers as a payment option to capture sales from customers who do not have cards or simply prefer to push a payment to the merchant through a bank account.

Can a bank transfer be charged back?

Unlike card transactions, bank transfers cannot be charged back. Because the buyer sends payment through an online bank system, claims cannot be made that the transaction was not authorized.

How do bank transfers work?

Bank transfers are considered “push payments”. That is, the customer pushes the payment to the merchant rather than the merchant “pulling” a payment from a buyer. At checkout, the customer picks the appropriate bank from the drop down menu. The buyer is directed to their online banking site. After log in, the details of the purchase are automatically displayed. The customer authorizes payment and is then redirected back to your website.

What is the global payment platform for international bank transfers?

Global payments give you the ability to offer local bank transfers as an alternative method of payment for your international customers. Throughout Europe and other parts of the world, local bank transfers are a preferred method of making payments online.

Do you have to be a high risk merchant to qualify for an international merchant account?

Many companies that establish international merchant accounts are not high risk.  Companies set up merchant accounts offshore for a variety of reasons, including access to more favorable business conditions, reduction in payment processing expenses, decreases in foreign exchange costs, or different regulatory environments.

Is incorporation required in the jurisdiction where the acquiring bank is located?

Yes. However, you can wait until account approval prior to setting up a corporation. Establishing a corporation is not difficult; it’s simply a paperwork process. Rates vary depending upon the country in which you chose to incorporate and are usually quite reasonable. We can refer you to reputable companies who are experienced in setting up corporations offshore specifically for merchant processing.

How long will high risk merchant account approval take?

It takes 7-21 days from the time the completed paperwork package is submitted for the account to be approved, depending upon the jurisdiction of the bank. 

Be careful of companies that promise exceptionally fast high risk on international merchant account approval. These companies often are not establishing direct merchant accounts with acquiring banks for you.  Rather, you get an account with a 3rd party processor, not directly with a bank.

What are the settlement times?

For international merchant accounts, settlement times are weekly, bi-weekly or daily, depending upon the acquiring bank and the amount being processed.

Where are the acquiring banks located?

Banks are located throughout the world. The choice of banks in different geographic regions gives you the ability to easily diversify merchant accounts to maximize payment processing options and minimize risk. And provides you an opportunity to optimize liquidity origination in response to changes in capital markets.

Do international accounts require reserves?

It depends on the merchant’s financial statements, processing history, industry type and the bank. Most international banks initially require 6-month rolling reserves ranging from 5-10%. Letters of credit may be acceptable in place of reserves.

After 6-months’ of processing history is established with a bank, reserves can be renegotiated.

What are the requirements for an international merchant account?

To apply for an offshore or international merchant account, merchants must have established processing history showing at least $100,000 per month. No start-up companies are accepted.

The application process for an international merchant account is the same as for standard merchant accounts.  You fill out an application form and submit supporting due diligence documentation.  Application for accounts is always free.

What are the advantages of offshore merchant accounts for companies that do not have an international customer base?

Some companies chose to process offshore to access business conditions or incentives that are more advantageous to their companies than those offered by their country of domicile.

In addition, certain types of businesses find it easier to establish processing accounts offshore than domestically.

And, offshore processing can be a good solution where national political or banking policies can affect access to merchant accounts in the home country.

What are the advantages of offshore merchant accounts for businesses with a global customer base?

For merchants with an international customer base, offshore merchant accounts reduce processing expenses, decrease operating costs and save money on foreign exchange rates. Global merchants can benefit from using a single platform to establish processing accounts in all regions in which business is conducted.

Is it safe to process payments offshore?

Offshore payment processing is extremely safe, as long as accounts are established with reputable international banks. All the acquiring banks in our network are well-capitalized with years of experience in processing payments.