Are You in Need of a Fantasy Sports Merchant Account?
When it comes to fantasy sports, an industry that nets $70 billion each year just for fantasy football, this high risk vertical is one that will require a payment processing company that knows the particulars of this specific gaming model, as well as tips, advice, and sports forecasting that goes along with fantasy sports merchant accounts; many of which will need specialty processing due to the way they process payments, whether it be phone based, online, recurring billing, or in person for your online fantasy sports merchant account.
Double Helix Processing provides payment processing for fantasy sports merchant accounts in the following professional leagues:
- Fantasy Football for NFL
- Fantasy Baseball for MLB
- Fantasy Hockey for NHL
- Fantasy Basketball for NBA
- Fantasy Racing for NASCAR
- Fantasy College Football for NCAA and other sports
- Fantasy Soccer for Premier league, Bundesliga and others
A Fantasy Sports merchant account is classified as high risk for several reasons, making it difficult to find a reliable processing partner. Double Helix Processing specializes in working with high risk merchants and we have multiple banking partners that offer Fantasy Sports merchant accounts.
Has Your Fantasy Sports Merchant Account Recently Been Shut Down?
You set up a great online fantasy sports business and have tons of clients interested in signing up, making teams, and placing bets.
You quickly discover that you have several obstacles to accept online payments via debit or credit cards because your business is considered high risk and now, you’re left with clients to serve and no way to accept their payments.
The real challenge is in that the big banks will not take this kind of business. Rather than growing increasingly frustrated with the process of being declined by those institutions and given the run-around when applying, or worse, instead of having your fantasy sports merchant account declined, frozen or completely dropped by an aggregate processor like PayPal, Square, Stripe or others you take the more effective route of seeking out a reliable and knowledgeable high risk merchant account provider like us.
Why Do You Need a High-Risk Fantasy Sports Merchant Account?
When it comes to sports forecasting, sports analytics and fantasy sports, it isn’t always all fun and games, and the complications of this industry can come with a high-ticket price in customer-initiated chargebacks. One of the most common outcomes for chargebacks are due to those customers who are not happy with their individual results. While some customers may win big, others will not, and generally those who do not will chalk it up to a fair loss and play again. There are however others, who will be upset by the loss and file a fraudulent chargeback or services not as described to back out of paying for the services you already provided.
A main reason for fantasy sports merchant accounts being classified as high risk is due to the excessive number of chargebacks, also known as a company’s chargeback ratio. When chargebacks occur, they may go unpaid by the business owner or merchant, which is one of the most significant losses of financial mobility for credit card processors, which are closely monitored by both the sponsor banks and the credit card brands (like Mastercard, Visa, AmEx, etc.).
Sponsor banks will shut down any fantasy sports merchant account that regularly exceeds more than 1% in chargebacks and will be sure to slap a fine on the bill of whatever payment processor that set up your merchant account.
With the usual ratio of chargebacks that occur for fantasy sports merchants, most traditional banks won’t even consider offering payment processing solutions to a high-risk business like this – there’s just too much of a liability and too much uncertainty involved.
Why Does Needing a High-Risk Fantasy Sports Merchant Account Matter and How Can Double Helix Processing Help?
Credit card payment processing can be pretty straightforward, but what’s most important for high risk merchant accounts is choosing a provider that has the kind of experience with your industry that you need to get proper underwriting for your fantasy sports merchant account, and a company that has been in the business long enough to have acquired relationships with sponsoring banks.
Not being selective with who you decide to go with to set up your payment processing will essentially decide on the future success and longevity of your business. High risk merchants aren’t the ideal first businesses for banks like Chase, Bank of America or Wells Fargo for a fantasy sports merchant account. In fact, they generally decline any high-risk applications that come to them.
Without access to options that make sense for your business model, you can find yourself scrambling for solutions. What do you do? Well, first thing’s first, you need a high-risk merchant account provider, like Double Helix Processing, who have the expertise and banking relationships to get you approved for a fantasy sports merchant account and taking payments.
Double Helix Processing can get you approved and accepting payments faster than you can say “score”!
Why Should You Choose Double Helix Processing?
We understand the unique needs of the different Fantasy Sports related business types and have established numerous acquiring banking relationships to become your best resource in getting Fantasy Sports merchant accounts set up and accepting online payments. Our expertise is your ticket to getting the stable processing you need to further your business.