Finding Reliable Solutions for Online Dating Merchant Accounts
Companies running internet dating services need online dating merchant accounts to facilitate payments. Online dating has become the new normal for many people. The flexibility that dating websites afford users has made them a popular way to find romantic partners. Over the past few years, online dating bludgeoned dramatically. Now, the online dating industry has over 1,000 new dating sites launching every year. The increasing number of dating sites has made the market a profitable one. So, processors have a slew of online dating merchants in need of payment processing solutions.
Adult businesses like online dating require payment gateways for credit card processing to allow users to purchase subscriptions efficiently. However, online dating falls into the high-risk category and, thus, needs special merchant services. This guide explores all the fundamentals of acquiring an online dating merchant account. Whether an online dating merchant is launching a new online dating business or running an existing one, finding credit card processing solutions takes work. Therefore, a clear understanding of the online dating merchant sector is paramount.
What is an online dating merchant account?
A merchant account is necessary for any online dating platform that anticipates payments of any kind. So, an online dating merchant account allows a dating site to accept payments from customers. Online dating has evolved significantly, with companies offering an array of solutions. Social, matchmaking, niche, and adult dating services are the main categories. The different dating sites cater to varying online dating audiences. For this reason, monetization methods depend on the dating site.
A dating merchant can have premium memberships, in-app purchases, freemium, premium content, and virtual gifts. A majority of dating websites accept credit cards, but they also offer e-wallets and mobile payments. An online dating platform has to provide a payment gateway where customers can make transactions and a merchant account to hold the funds.
Whatever the pricing model, an online dating merchant must ensure that credit card processing occurs without a hitch. Although dating sites come with a high risk for processors, online dating merchants can find suitable offerings without too much trouble. A merchant account affects how seamlessly customers navigate on an online dating platform. Thus, an online dating merchant must find a merchant account structured to individual payment processing needs. Although desktop dating sites are the most common forms of online dating businesses, native online dating apps have become popular. A dating merchant can easily provide transaction processing for online dating apps.
Why is online dating considered a high-risk industry?
A dating merchant searching for a merchant account will come across the term ‘high risk’ often. Merchants with a high risk have trouble finding payment processing alternatives from traditional processors. So, merchant account providers who specialize in high risk become the best options for an online dating merchant. Friendly fraud is the biggest cause of the high risk in online dating services.
It occurs when customers dispute credit card payments. Most online dating companies offer trial periods with the choice of subscriptions. After the trial, an online dating merchant bills automatically. However, some customers forget to cancel, then try to recover their money, resulting in chargebacks for an online dating merchant. A dating merchant with a high chargeback rate is considered high risk.
Fraud is another reason online dating merchant accounts fall into the high-risk category. Some dating websites are used as fronts for illegal enterprises like prostitution services. Therefore, acquiring banks are cautious about offering merchant services to online dating merchants. Online dating platforms also pose some risks to users, as well, such as identity theft, thus contributing to the high risk.
Is it easy to get an online dating merchant account?
Online dating has evolved significantly to become one of the fastest-growing industries. Revenues in the online dating sector have enjoyed a steady rise. Currently, online dating websites and apps bring in over $3 billion. As society continues to embrace online dating, payment processing has become integral. A majority of online dating sites offer free services with the option to upgrade to paid subscriptions. Credit cards are the most convenient payment method on dating websites. For this reason, various merchant services provide online dating merchant accounts for different businesses. Finding the right high-risk merchant account is, therefore, not hard.
Merchant account application and approval can be smooth sailing if an online dating merchant satisfies the relevant requirements. A merchant account provider requires various documents, such as payment processing records, identification, and bank statements. An existing dating merchant also has to maintain a specific chargeback rate for easy approval. Online dating merchants apply for accounts online. Whether a dating site is new or not, underwriters have to evaluate it to ensure that it’s a legitimate online dating platform. The average approval time for an online dating merchant account is 5 business days to 2 weeks, although some processors can do it faster. Having all the requirements ready speeds up your merchant account application.
Online dating merchant account security and chargeback prevention
We have established that online dating merchants have a high risk of chargebacks and fraud. An online dating company should find effective solutions to these common challenges to make it desirable. Personal data safety is among the biggest issues for online dating apps and websites. Some people use dating websites to steal personal information, which means a high risk of identity theft. Online dating platforms are also breeding grounds for scams. Undesirable elements trick unsuspecting online dating customers into sending money. Another challenge is when scammers pay for subscriptions with stolen cards. Online dating merchants can prevent fraud by implementing various security measures. Dating websites should use encryption to make sure that users send information safely.
Choose a dating merchant account provider with fraud prevention tools. An online dating account with multiple security layers increases confidence among customers. Processors offer blacklisting, tokenization, and 3D Secure authentication. A dating merchant can request customized security measures that meet specific needs. Online dating websites should be careful, though, not to use exceedingly tough systems that hurt legitimate transactions. PCI compliance is another element that an online dating merchant should ask about before applying for a dating merchant account. Splitting transactions across several online dating merchant accounts helps to deal with large amounts of traffic.
What to look for when choosing a payment processor for your online dating business
So, you understand the need for a merchant account to facilitate card processing for online sites. How does a dating merchant settle on the right account, though? Like any business, an online dating site receives a Merchant Category Code (MCC) issued by Card Associations. The category where a dating business falls influences the conversion and approval rate of a dating merchant account.
Online dating companies can have a 7273 code that classifies them as dating or 5967, which makes them high risk. The content on an online dating platform determines the classification. Some online dating websites also qualify as social media (8641). As you pick card processing for online platforms, concentrate on dating merchant processors who have experience in the online dating industry. The merchant services you select should provide customized solutions for online dating merchants.
Like earlier discussed, security matters a great deal in online dating. Therefore, a dating merchant should consider merchant account alternatives with satisfactory consumer protection. An online dating merchant must consider the integration of a merchant account with a dating site. The payment processing that an online dating enterprise picks should be able to complement the other tools on the platform. Users should be able to pay for online dating without having to leave the website. The payment gateway a dating merchant uses should provide fast processing for online dating customers.
Top online dating merchant processors
The growth of the online dating industry has many positives for business owners, including the availability of more merchant account services. Even as a high-risk merchant, an online dating company has a fair number of payment processing alternatives from which to pick. An obvious advantage of this is that a dating business can compare online dating merchant rates, and find the best offers. However, dating merchant processors are not built the same. So, an online dating merchant should know what sets the leading services apart. Besides the salient products offered, an online dating merchant should consider the customer service, monthly volume caps, and accepted currencies. Look at three of the best merchant services below as examples:
Regardless of the type of online dating company, PaymentCloud has reliable high-risk merchant solutions. The credit card processing provider integrates with some of the biggest adult content hosting services, such as Hostinger, DreamHost, and Liquid Web. Therefore, a dating merchant can expect all tools to work efficiently after introducing a payment gateway. PaymentCloud designs customized online dating merchant accounts. So, you can request a merchant account that aligns with your online dating business requirements. Dating websites also enjoy the latest card processing equipment that guarantees deposits in 24-48 hours. PaymentCloud provides hassle-free underwriting that streamlines the application process for a dating merchant. It has highly competitive pricing for online dating companies that depends on the services offered.
Online dating merchant accounts are some of the high-risk services available at eMerchantBroker. The processor requires a dating merchant to maintain a chargeback of below 3% to obtain a merchant account. eMerchantBroker thrives on its reputation. Online dating operators get to work with an experienced staff that is knowledgeable about the special needs of dating websites. A dating merchant account comes with unrivaled chargeback prevention services. EMB has various payment gateways, including a proprietary one. A dating merchant can get an account in as little as 48 hours.
Host Merchant Services
For reasonable high-risk merchant rates and efficient customer support, online dating companies can try HMS. The processor works with a variety of high-risk businesses and, so, understands what your online dating platform needs. HMS saves an online dating merchant money by requiring a lower rolling reserve than what most processors ask for. A dating merchant can negotiate the rolling reserve to suit the online dating operation. Whether an online dating platform accepts debit or credit cards, HMS provides cost-effective and efficient payment processing. Online dating enterprises don’t have to fret about hidden fees or lengthy approval procedures. The processor also offers a dating merchant account with a user-friendly interface.