The online gaming market is flourishing. Gamers keep themselves updated on every new release they are going to get from gaming platforms and providers. You cannot make much out of your business if you do not have an online gaming merchant account.
In almost every gaming website, credit and debit cards are the natural method of payment. This is where a need for online gaming merchant accounts occurs.
Gaming companies have this great chance to attract more customers because:
- People have a great interest in online mobile gaming
- Penetration rates of smartphones are growing
In this article, we are going to cover everything about Online gaming merchant accounts.
What is an Online Gaming Merchant Account?
It is a type of customised merchant service. It is very helpful when it comes to collecting online money. An online gaming merchant account has several features that help in completing operations faster. It gives the most successful results of transactions.
It indeed gives rise to the question that what does gaming merchants have to do with it? But before diving into that, let us talk about why we call this a merchant service.
Merchant services- what is it?
These are the types of services that help merchants to run a company and for their future growth. You can get these services even from banks or other sources. It is normal to try the local bank at first to get these services.
It is not an easy task, as every bank has its regulations and sets of rules. Merchants can try to follow these rules and regulations and in return can get what they want.
Unfortunately, most of the local banks and financial institutions refuse the request of merchants for these services because of these reasons:
Any loss in the digital world or digitally is overwhelming to pay physically. Simply put, it means being intangible is normal in a digital world. Chargeback risk is quite high while being intangible.
You can pay several times to Level Up in-game. But this does not affect the physical appearance of the characters. Just because of this reason, merchants have to face chargebacks. There should be an early alert system to control chargebacks.
A merchant can tackle these chargebacks once or twice. But it affects his image in the market if it happens several times. The question arises on the functioning of the supporter, this is the only reason the bank rejects the requests.
Online gaming platforms are indeed opened worldwide. Everyone is active on this platform. So, there is no doubt about the rising online fraud cases. Gamers are always interested in a website that is safe for online payments. Gamers pay for Level Up, character dresses, and boosters in-game.
You must look for the solution to gain gamers’ trust. Online fraudsters are always ready to rip you off by emptying your bank account. It is an excellent idea to look for an expert to tackle these problems of online fraud.
There is an ample amount of money in gaming platforms, this is the only reason for their so many obstacles. Big turnover means only one thing and that is- the high-level pay amount of several transactions. Local banks are unable to pay for such high-level games as it is filled with risks.
Investing and transacting money is also not safe in online gaming without a good security system. Even players are aware of such risks and so is the merchant who provides a platform.
It is hard for local banks to keep up with these many risks. That is why they refuse gaming merchants.
Types of online games for which an online gaming merchant account is necessary-
- Online lottery
- Online casino
- Online poker
- Live to bet
- Online Bingo
- Fantasy games
- Live table games
- Sports betting, etc.
Advantages of Online Gaming Merchant Account
Let us look at some of the advantages of Online Gaming Merchant Accounts.
Powerful, smart, and reliable UI
Smart and powerful UI systems help gamers play their games without any hassle. Online gaming merchant accounts have the best UI system to attract more gamers.
Best customer service
An online gaming merchant account has the facility of keeping systematic records of every transaction.
Gamers need to pay online for the equipment and also to level up faster. Having an online merchant gaming account makes it easy to pay online.
Trade using different currencies
An online gaming merchant account makes it easy to trade in multi-currency. You can easily transfer and receive amounts in any currency.
Alternate payment method
There are so many other options to make the payment in an online gaming merchant account. You can pay faster through any of the alternate payment options. Those options include:
- Debit card
Documents required to open the merchant account
This list is just a rough idea about the need of the documents that are required to open the merchant account. Because requirements can differ according to various other factors.
Documents that are required to open the account:
- Certificate of incumbency
- A certified copy of your passport
- Certificate of company registration
- Owner’s address proof with a utility bill
- Last three months’ bank statements
- A copy of your gaming business licence
- Bank reference in the form of an official letter. It should have information regarding the duration of the banking relationship. It should not be more than two years. This official letter should also include information about the nature of the accounts held. Also, it should clearly state whether the merchant was an outstanding client. This letter should be issued with the record of the last three months.
- An official letter of reference is also required. It should include the reference of the character by a lawyer or accountant.
Whenever you apply for online gaming merchant accounts, make sure that gambling websites’ chargebacks are parallel with the ratios by the card brands. Whenever the online gaming site or any casino applies for the merchant account. It is the responsibility of active underwriters and processors to make sure that the gaming site is legit.
To ensure that credit card processors will not take any unnecessary risks, there are many factors that underwriters consider.
Let’s look at some of the factors that underwriters consider as high-risks.
These are certain red flags that processors and underwriters search for. These are important to look out for before giving green light to online gaming merchant accounts.
- High chargeback ratios
- Overdue payments and bills
- Doubtful bank statement
- Negative bank account balance
- Disputes related to the history of credit card transaction
Since 2009, Paypound Gateways has provided merchant services to a variety of industries.
Throughout these years, we have perfected our ways of resolving problems. Our merchant assistance will be available 24 hours a day, seven days a week. We have expertise in every area, so we know how to overcome challenges and improve.
And we’d be happy to share our ideas and expertise with you. Browse our blog segments if you want to learn more about our other facilities. Alternatively, if you are keen to secure this merchant account & payment gateway, make sure to contact us at our official email address.