Low Cost Merchant Accounts: Proceed With Caution
Choosing the best low risk merchant accounts is very important because a low risk businesses cannot afford to use a risky service for business transactions, even though the risks involved are low. What needs to be kept in mind while choosing a low cost merchant account is the reliability of the services in terms of security, the speed of transfer of money, etc.
Being a low risk merchant means running a business in which the risks involved are the least. This makes the business safer and ensures the investments made for it are never at risk. The rewards of low risk businesses vary. However, the one thing that remains constant is the fact that such businesses serve better for small merchants. This is because they can invest without
risking their money.
Business Types Classified as Low Risk
The business types that are usually classified as being low risk businesses include hiring and outsourcing, advertising and sales, local marketing, publicity and media relations, insurance business, security, etc.
Average Fees for a Low Risk Merchant Accounts
The average rates for setting up a low risk merchant accounts start from around one hundred and fifty US dollars. Transaction fee for a single transaction ranges from 0.05 US dollars. Discount rates vary from around 5 percent to 6 percent. Settlements start from thirty dollars per week.
No Guarantee Deposits for a Low Cost Merchant Accounts
For low cost merchant accounts, guarantee deposits are not needed to establish the account. This is a great advantage attached to low risk merchant accounts. For this reason, merchants feel safer about their investments.
All successful businessmen wish to own businesses, which involve lower risk. To facilitate them, low risk accounts play a major role and are considered to be essential for a low risk merchant.