Merchant account for Travel Agencies, and Travel Industry
Merchant account for Travel Agencies, and Travel Industry
The process of getting accepted to open a merchant account for travel agencies or travel services, lodging tours, vacation packages and travel-related business models remains a major problem for merchants working in these fields. Traditional lending institutions and banks make it nearly impossible possible for businesses in these sectors to be approved for credit card transactions of their patrons.
Here are examples of various kinds of travel and tourism businesses that have difficulties in getting a merchant account for travel agencies to process credit card transactions.
- Independent Resellers to Foreign Travel Services and Companies
- Independent Resells of Travel Services and Vacation Packages
- Vacation Rentals for Owners
- Web-based Vacation Rental Service Listings
- On-line travel Services and Travel Agencies
- MLM (Multi-level Marketing) Travel Services, Opportunities, and Agencies
- Cargo Travel Services and Agencies
- Niche Travel Services and Agencies
- Multiple-destination travel Services and Agencies
- Independent Travel Services and Agencies
- Consortium Travel Services and Agencies and Travel Agencies.
- Airline Tickets Sales
Every travel service, business or agency has an array of travel and tourism services that are specific to its particular market. While some are focused on vacation packages and travel tours, others offer specialized services for business and commercial travelers. Examples of typical services that travel and vacationers can avail include:
- Tour Operations
- Hotel and Lodging
- Vacation Rentals with Owners
- Breakfast, bed and Breakfast
- The Membership Program and the Travel Club
- Vacation Packages
- Airline ticket sales
- Reservation Services
- Car Rentals
Email us anytime!
Email customer service 24/7 at email@example.com
Call us anytime!
Reach customer care 24/7 at (801) 761-5001
Despite having many services it has its own set of difficulties when it comes to getting the merchant account for travel agencies for processing credit card transactions.
Credit Card Processing Challenges for the Travel Industry
Accepting credit card transactions remains an obstacle for many travel agents and travel service firms due to difficulties finding an account for merchants. For those who are looking to establish a travel company or other business dealing with travel, it’s essential to know the fact that this type of business is considered to be ‘high risk’.
Here are a few reasons businesses that offer travel services are deemed to be high-risk and may have difficulty being approved for a merchant account for travel agencies to accept credit card transactions.
- Tours and trips are usually scheduled well in advance and often several months ahead. This makes payments highly susceptible to chargebacks and cancellations or refunds, as well as amendments and more.
- Chargebacks are very common in travel agencies due to an increased likelihood that a client decides to change his mind and then cancels the payment or there is an alteration in the policy of the travel agency.
- As travel-related services can cost a client hundreds of dollars or at times thousands of dollars the average size of a payment ticket is considered to be high, and the size of the ticket is thought to be very large. The huge amounts of money involved in almost every transaction is associated with high risk in the event of there be a chargeback. This is another reason that is a high-risk business for travel companies.
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Despite the challenges that were mentioned earlier, travel businesses who do not offer their clients the option of paying with a credit card stand at major disadvantage and could suffer a significant loss of revenues. Because customers in the travel industry have to pay large amounts of money for services related to travel They almost always prefer to pay using their credit cards. But, if a travel business seeks an option to pay with credit cards that has a low risk option or a risk-based processor that does not accept high risk merchants The application will most likely be denied due to reasons listed previously.
How To Apply and Get Approved for a Travel Services Merchant Account?
Like other industries with high risk those who specialize in offering travel services must demonstrate to the lender solid financial position, a good credit history , and a solid processing history. Here are some common examples of items that are commonly required by processors when a proprietor of a travel company is seeking approval to open a bank account to allow travel agencies to accept credit card payments.
- Three months of consecutive processing statement with no or minimal chargebacks. If you don’t possess a processing history, you are still able to get approved , but you must be completely transparent and clearly explain in writing why you do not have any processing history.
- If you’re a new company, make sure you provide a written explanation whether you have prior experience with the travel industry that you’re looking to be recognized in.
- Three months of bank statements showing no negative balances or overdrafts.
- If you are requesting processing volumes monthly that exceeds $75,000 per month, be prepared to supply financial documents like tax returns, or statements of profit and loss for two years.
- A full description of your travel providing with the terms and conditions.
Processing requirements can differ depending on the processor. A proven processing track record and an excellent online reputation can help establish your travel company as a trustworthy merchant to work with and offer processing services.
Binary Gateways – Perfect for Travel Service Merchants and the Travel Industry
Binary Gateways provides reliable high-risk merchant accounts for travel agencies for all types of travel businesses, such as travel companies and vacation packages, travel services as well as a myriad of other travel-related businesses and organizations that are deemed high-risk. There are many advantages of getting a high risk merchant account through Binary Gateways.
- We are aware of the challenges that merchants face in this business and offer the best payment solutions for travel retailers to accept credit card transactions.
- We streamline the process of applying to speed up and simplify getting approvals.
- We offer affordable rates and terms to our travel service merchants as well as new travel companies as well as start-ups.
- Our solutions are suitable for all kinds of travel agency services i.e. in person on the phone, in person, and online.
- We offer dispute monitors and preventive chargeback are some of the top available.
- We can assist businesses with poor credit scores or with a bad credit history as well.
- We provide our payment options across the whole US as well as International.
- We offer both domestic and international credit card processing services.
Established or Startup Travel Merchants who are in search of credit card processing, or are dissatisfied with their current processors are invited to call Binary Gateways at +1 (801) 761-5001.