Bad Credit Merchant Account

A bad credit merchant account is a type of merchant services account specifically designed for high risk businesses or business owners with a poor personal credit history, past debt, or a negative bank account. These accounts allow merchants to accept credit card and debit card payments even if they have a low credit rating.

Nearly all high risk processors require a basic know your customer (KYC) review including a bank statement, employer identification number, and information about your business model. While PayKings may offer an initial approval for a merchant account our underwriting team will soon check your business's credit score soon after the initial approval. Don't be too concerned by this, as PayKings is known to offer merchant accounts to companies with lower credit scores than other payment processors are comfortable with. There are some no credit check merchant account providers like Durango Merchant Services or Soar Payments that may offer flexible underwriting options without a credit check, but payment processors like that are hard to find.

Companies that make money from gambling, adult entertainment, and those with frequent chargebacks or friendly fraud are considered high risk businesses. These require specialized payment processing solutions and high risk payment providers.

Fees can vary depending on the provider and your personal credit profile. Expect flat rate or tiered pricing models, with possible termination fees, rolling reserves, and higher interest rates. Be sure to review your contract to make sure you know what charges to expect from your payment processor.

An acquiring bank is the financial institution that holds your merchant services account and deposits money from processed transactions into your bank account. Your reputation, industry, and income affect how comfortable acquiring banks are at processing your transactions. Fortunately PayKings has relationships with dozens of banks to better help you find payment processing for your business.

Yes, whether you run a brick and mortar store or online business, PayKings allows virtual terminal payments. This is useful for mail orders, phone sales (telephone), or recurring payments. Popular options for virtual terminals include Pay Kings, Clover Network, and Easy Pay Direct.

You'll usually need your business license, bank account details, accounting records, marketing materials, and a clear explanation of your sales channels and software used (like your shopping cart). Some companies may ask for details about your load balancing, policy, and liability exposure.

Bad credit may result in limited line of credit, higher fees, and stricter reserve requirements. However, specialized merchant processors such as PayKings can still enable card payments, helping you improve your cash flow and build your reputation over time.

Any payment system must comply with industry standards like PCI DSS and use encryption to protect payment card and customer information. This ensures transparency, reduces the risk of fraud, and supports regulatory compliance.

Yes. Most modern systems offer compatibility with mobile phone, tablet, desktop computer, or web-based virtual terminals. Many also include customer support, user-friendly interfaces, and real-time management dashboards.