Payment Gateways Must Ensure that Merchants Comply With Their Operational Guidelines

Many industries have been classified as high risk by the banking and financial services industry because of the proliferation of fraudsters and scammers in those industries. For instance, the tech support and online pharmacy industries, which are considered as high risk, have seen a large number scams that defrauded scores of customers amounting to hundreds of thousands of dollars. The payment gateways responded by classifying the entire industries as high risk and denying them usage of their gateways. As a result many genuine businesses in these industries are shut out of the gateways, which mean customers are the biggest sufferers. Thankfully, you can still find a payment gateway for highrisk business that manages to keep scammers out.

An entire industry must not suffer

The approach of the payment gateways that refuses businesses in the high risk industries access to their platform to process payments, suggest that they are not ready to analyse the situation. It doesn’t require a whole lot of research and analysis to understand that in any industry afflicted by scams and fraud there would still be many genuine businesses that believe in conduct their business fairly and honestly. Equally, if not more importantly where will the customers using the products and services of these industries, go? Therefore, the genuine businesses in these high risk industries should be allowed to use the payment gateways for the sake of the customer.

Strong compliance with operational guidelines

Payment gateways that apply a blanket ban on an entire high risk industry, need to realize that scammers don’t have better or more sophisticated technology than the gateways which have some of the best and most secure technologies for customer safety. It is only when the payment gateways fail to ensure compliance with their operational guidelines as well as their terms and conditions for merchant operators, that customers’ card or bank details are compromised. A good payment gateway for highrisk business will never allow a merchant to use its gateway if the merchant company fails to comply by its operational guidelines and terms and conditions. That’s all that is required to keep customers safe from scammers although on rare occasions, some other situation may arise.