If you are accepting electronic payments and you fall into a high risk payment processing category you will need to get setup with a high risk merchant services merchant account. Companies that need this type of service have a hard time getting accepted by most merchant services providers due to the following reasons:
1. High charge back rate industry vertical, for example, website hosting or online gaming.
2. Bad credit history
3. No credit history
4. eCommerce based business with no history and lack of strong personal guarantees.
If you fall into any of these merchant services categories you can actually get setup to accept credit cards, yet you will usually end up paying a few percentage points in premium for the higher risk the merchant services providers take by accepting your payments, this is because in the end of the day if you fall through, they are held financially responsible for whatever charge backs or fraud that goes through you.
