Opening a merchant gambling account is a turning point for a proper legal business performance. Although the application process is quite complicated and banks are commonly cautious and not open to cooperation with high-risk businesses, which gambling basically is, you can open and maintain a merchant bank account if your company fulfills every demand, which is required. For making the process smooth and effective, it’s better to get our professional assistance.
What is a gambling merchant bank account?
A gaming merchant bank account is opened specifically for the purpose of receiving payments online from the credit cards of gambling website users. The transactions are typically fulfilled through connection to the built-in payment processing for online casinos and gambling tools. So a gambling merchant account plays a role of an intermediate between the bank and iGaming website.
Why is a casino merchant account considered high-risk?
There are clear reasons why banks reject gambling operators in their attempts to open bank accounts. The iGaming industry is considered to be high-risk because of these criteria:
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- Age limits control. Holding responsibility for age verification is dangerous. Both participants in business performance (a gambling company and a bank) can be held accountable for legal violations. The age limits are not guaranteed to be effectively traced.
- The risk of fraud. It’s not a rare case that stolen bank cards are used for payments. Besides, unauthorized actions may also take place. And many iGaming businesses are located offshore, which is an additional thread.
- Questionable integrity. Another factor you cannot ignore is that banks are afraid of disreputability. Casinos represent an unsavory image associated with gambling for many people, as an individual perception.
- Regular chargebacks. The percentage of funds returned to the customer is quite high as iGaming companies provide huge leverage to the players.
- International activity. As soon as online casinos operate worldwide, there are lots of currency conversions and the transactions are overall much more complicated, often with high turnover.
- Regulatory challenges. The regulation authorized by legislation is uncertain and troublesome for payment operators.
Taking into consideration all factors mentioned above, we have made it very clear why professional assistance is so helpful and why gambling companies may be rejected in gambling business bank account opening. That’s why it is crucial to obtain a gaming license and to have all required paperwork done.
How does payment processing for online casinos and gambling work?
The transactions are done in a very clear way. There are just a few steps to fulfill the payment on the gambling website:
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- Card details. The player fills in the credit card information, which is basically required for usual online purchases.
- The bank involvement. The account details of the gambling business bank account are sent to the card issuer.
- Transaction approval. The bank of the player confirms or denies the transaction and sends the information needed back to the payment portal.
- Funds transfer. Money is transferred from the player’s account to the gambling company’s merchant bank account.
The legitimate casino merchant processing account allows you to get transfers easily by following the steps above. This way, you can perform business activity securely.
Why do I need casino payment processing?
Online casinos aim for high player involvement. To follow your business plan and to receive payments fast, being able to offer different kinds of deposits to clients, you surely require a merchant bank account. Some crucial points are also mentioned below:
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- Hive off business funds. Transparency and security are essential for business performance. That’s why the bank account for gambling company implies that your commercial funds are separated from the individual accounts.
- Exclude payment issues. Traditional bank accounts do not include all the necessary measures needed to prevent gambling companies and the bank itself from risks. Meanwhile, a merchant iGaming bank account is opened, taking into consideration casino merchant processing issues that may occur.
- Comfortable transaction process. Customers choose online casinos depending on deposits as one of the criteria. A smooth withdrawal is appreciated, too.
- Adherence to legal requirements. There should be compliance with gambling business performance regulations. Gambling merchant account solutions allow your company to work according to legislation.
Reputation and clients’ trust are turning points for the iGaming business’s success. They are gained by working in compliance with regulations. Let’s proceed to the main requirements for getting a merchant account.
Online gaming merchant account requirements
There are the exact steps to be taken to open a merchant bank account with our assistance. Get to know them below.
Step 1: Consulting
The demands from each business may differ in accordance with a company’s complexity and available documents. To find out what is required from your gambling company, contact us to arrange the first session about online gaming merchant services. We will discuss which options are available and what is the difference between them.
Step 2: Custom Configuration
Our approach to your company will be tailor-made. It will be created due to your personal expectations and goals, that are mentioned in your business plan. So it is highly recommended that you have it.
Step 3: Implementation
LicensingAid specialists have a huge experience in obtaining licenses and opening bank accounts. Our responsibility is to make sure that your website and a merchant bank account are properly interacting through casino merchant processing tool. We will monitor it thoroughly.
Step 4: Deployment
This implies the preparational phase. We check every detail before you start working using the casino merchant services for an iGaming company.
After fulfilling all steps your company can receive payments fast and efficiently. Our professionals will answer additional questions that may arise.
How much does it cost to open an iGaming merchant account?
The application for an online gambling merchant account itself is free. The process of a company’s preparation and expert assistance can differ in costs according to various factors. The type of your company and specific jurisdiction details are among these factors. We can provide you with more detailed information after examining your individual request and current company condition.
How can LicensingAid assist?
Our team has conducted research on the gambling market and continues to do such. We are up-to-date with the legal regulations changes in different countries and banking entities, which are in fact constantly changing. There are many types of gambling that can receive payments through casino merchant processing tool that we can be helpful with:
- Online Casino Games
- Sports Betting
- E-Sports
- Online Poker
- Lottery & Bingo
- Fantasy Sports
Years of experience allow us to be efficient in providing businesses with high-level service. Besides, we promote a gambling industry by helping new companies to acquire a gambling license. Obtaining a gaming license is just the first step. After this we proceed to the gambling bank account opening.
FAQs
Is opening an online betting merchant account safe?
These kinds of accounts are secure in case they work with trusted providers and in accordance with security standards like PCI DSS compliance, data encryption, two-factor authentication, etc. Gaming merchant accounts are created considering these criteria.
How long does it take to set up an online gambling merchant account?
From a few weeks to several months may be needed to open a gambling merchant bank account. The complexity of verification, the provider chosen, and jurisdiction details can influence the time required.
Can I process multiple currencies with a merchant casino account?
A large majority of merchant bank accounts accept payments in multiple currencies. Customers can make a deposit in the one that’s comfortable for them. It is suitable for online casinos operating worldwide, as transactions should be convenient for players from various countries.
How can I indemnify my iGaming business from chargebacks?
We recommend focusing on the identity of players verification, suspicious activity monitoring, terms of use and transparent description. Players should be aware of refund rules, and merchant providers should be trusted. After meeting these criteria you can be more relaxed about the chargebacks possibility.
What is an online casino payment gateway?
A gambling payment gateway is a specially created and integrated technology that provides the connection between a chosen payment method with an online gambling merchant account. It helps to deposit and withdraw funds in a preferred way. The player can choose different options like a bank transfer, crypto, or credit card payments.
Should I open one bank account for gambling?
In fact, you need two types of gambling bank accounts. One of them is an online betting merchant account, another one – a company bank account. Both types of gambling bank accounts can be opened after obtaining an online casino gaming license in the first place. Besides, you need a list of documents, with which LicensingAid experts will willingly help you.
What types of payments can be proceeded with a casino merchant account? Is it possible to use credit cards?
Both credit and debit cards can be used to place deposits using the merchant bank account. Besides, other available methods include e-wallets, bank transfers, mobile and cryptocurrency payments. Players can choose any option, which is comfortable for them.