The first reason is obviously due to the excessive number of chargebacks from the paid members who initially decides to subscribe to the services and when they do not find the perfect match in short span of time , it make them frustrated and it lead them in calling their card company and file a chargeback by writing that they haven't deliver the services as promised.
Second big issue that underwriter faces while underwriting business where in the matrimonial dating company camouflage themselves from escort and prostitution; and banks consider that they wish to apply for merchant account for escort services.
This is also a major reason that banks prefer not to get associated with such businesses which might turn out to be a case of very high risk business.
In 2020 the online dating industry has boosted its sales to $650 billion dollar, which simply indicates that the online dating business is growing by leaps and bounds and it has a huge potential to grow further.
If the business comes under the category of high risk, the correct step would be to reach out only to the high-risk payment processing company rather than the aggregator accounts like PayPal, Stripe, Vemmo or Square.
The traditional banks are not ready to accept any risky businesses and they do not do their underwriting at the time of application. It's very likely that your online dating business might get initial approval at the time of applying but once you start processing with them they start reviewing your application and they will quickly inform you in the next few days that they are not ready to accept your business model or they will terminate your merchant account with an immediate effect and that will result the funds to be frozen for the next 28 weeks or 6 months.
PayQ is renowned for accepting high-risk businesses and we make payment processing as a seamless experience. Our payment gateway for online dating services is reliable, quick and far more robust than any other traditional acquirer.
When you walk through experts in the industry; everything runs so smoothly that except for counting your sales, you don't have to think about anything else.
We specialize in working with high-risk businesses worldwide and like your business; you cater multiple other clients who are in the same industry and we are ever ready to understand the merchant’s requirement and we step out of the box to figure out the best possible solution for them.
With PayQ, you don’t have to look out for any other options; you will find everything in one place. We are a one-stop shop for all your online payment processing needs.
With PayQ, you can process payments for your web store.
Fill up the Application Online.
Submit the relevant documents.
Your business goes through underwriting
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