How to Get Approved for a MOTO Merchant Account (Mail Order and Telephone Order) 

The Fastest-Growing Type of Credit Card Transaction

In today’s fast-paced consumer society, the days of customers standing in line at a local retail shop to get their credit cards swiped are swiftly disappearing. Replacing them are what is known as “card-not-present” transactions, during which an order is placed by mail order or telephone (MOTO) or, most likely, via the internet and a computer software program.  

Merchants who want to take advantage of this type of transaction processing will need to open up a high risk merchant account that has been designed specifically for MOTO transactions. These accounts are considered high risk because the merchant never actually sees the card, therefore the opportunity for fraudulent transactions is much higher than for retailers who physically swipe a card through a magnetic strip reader. The large credit card companies have different criteria for how they evaluate the amount of risk involved in this type of high risk transaction processing. 

MOTO Merchant Accounts

Just because a MOTO merchant account carries a higher risk than a more traditional type of account does not mean that there is not a multitude of high risk processing companies that are eager to work with these clients. In order to demonstrate to these companies that you are working to reduce the amount of risk associated with your merchant account, you will need to show that you understand and are willing to implement some of the following security precautions: 

·         AVS (Address Verification System): The AVS verifies the zip code of the presented credit card’s billing address, and it may also verify the street address and telephone number on the account. The downside of the AVS is that it only is useful for domestic shipping addresses, which means international orders will not have this additional security protection available.

·         CVV (Card Verification System): Usually used in conjunction with the AVS, the CVV verifies the set of digits that are imprinted on the back of the credit card and encoded into the card’s magnetic strip. Both of these systems used together will help MOTO merchant accounts lower the number of their fraudulent orders.

·         Shipping Restrictions: An increasing number of merchants refuse to ship their products to P.O. or mail center boxes and instead require a physical address for delivery. Home delivery is another way to deter fraudulent customers who are trying to use a stolen credit card for their purchases.

·         Visible Fraud Deterrents: It may seem odd, but simply placing warning verbiage regarding fraud on all web pages, voice recordings or mail outs can help deter skittish criminals. If you let these individuals know that your MOTO company prosecutes all fraud to the furthest extent of the law, and may even make random phone calls to verify orders, you will likely be successful in reducing the number of chargebacks to your high risk merchant account. 

With extensive security measures and a proven track record to low rates of chargebacks, your MOTO business will be able to obtain the merchant accounts you need to increase profits and target more customers.

High Risk Processor offers different types of High Risk Merchant Accounts, including domestic High Volume Merchant Accounts and Offshore Accounts. High Risk Merchant Accounts are designed for industries that include mail and telephone orders, adult entertainment industry, direct marketing businesses, dating services, online dating and escort companies, outcall services, travel and timeshare agents, telecom, herbal, diet and vitamin supplements, subscription agencies, membership businesses, high volume ticket sales, MLM merchants, bail bonds, pawn and hand gun shops, water filtration companies, collection and credit companies, auto rental agencies, rare coin and collectibles, computer repair, custom jewelry and design companies, software sales and service, detective services, door to door sales, massage parlors, hair restoration and other cosmetic surgery, high-end sales, home based companies, telecommuting agencies, fortune tellers, infomercial merchant accounts, insurance and investment products, phone, mail and internet sales, seminars and other educational institutions, sports collectibles, used auto sales, water purifier sales, weight loss centers, offshore merchants, companies facing high numbers of chargebacks, and more.