The United States is hot for fantasy sports and online betting. According to Pay Kings, the industry alone nets nearly $26 billion each year from sports fans looking to win big. But, what many people don’t realize is how vital payment processing is to the sports betting world.
At First Direct Financial, we supply industries with top-of-the-line merchant services that move their businesses forward. Why settle for high payment processing fees and subpar service, when you can partner with one that offers competitive rates and treats you like a business partner? Read our article below and learn how First Direct Financial can help you enhance your online betting with better payment processing.
What Exactly is Payment Processing?
As a business owner, you need somebody handling your transactions to ensure they are safe and secure from potential malicious activity. That’s where First Direct Financial comes in. We’re payment processors that act as the middleman between you and your customer’s banks. We communicate and relay information from your customer’s card to both your accounts. This ensures that there are enough funds on your customer’s card to pay for your goods and services.
In addition to processing payments, we also check for security measures to avoid fraudulent practices. We also prevent hackers from gaining access to you and your customer’s sensitive financial data with a range of state-of-the-art technology.
Merchant accounts are absolutely essential to businesses, especially those that accept payments online. By enrolling in a merchant account, you will be able to accept a customer’s credit or debit card from any point-of-sale location. First Direct Financial offers comprehensive services for our merchant account members.
How Does Merchant Account Services Work With Online Betting?
Online betting is a powerhouse of a digital business. It racks in an enormous amount of money from people around the country; resulting in a large red bullseye on your back from hackers. It’s critical that you focus on the technological aspects of your operations in order to secure you and your customer’s financial data.
It’s impossible to start a business without a merchant account, let alone a fantasy sports betting company. By partnering with a merchant services company, you will be given the tools and resources needed to receive money from your customers as well as secure their sensitive payment information. Additionally, when you receive merchant services, you are creating a convenient way to process customers’ payments through your online portal.
Online Betting is Considered a High-Risk Business
While merchant services are very important for online sports betting, many companies have problems accessing quality payment processing. This is due to it being considered a “high risk” business. Why exactly is fantasy gaming classified as high risk? For a few reasons:
- Chargeback Ratio: Online betting businesses are known to have large chargeback ratios, which end up affecting a payment processor’s profitability.
- Subject to Fraud: Like most betting-related businesses, fantasy sports are prone to fraud. Which typically scares away banks and payment processors.
- Exposed to Legislation: Fantasy sports betting operates in a legal grey area, resulting in many processors being worried about providing their services.
While online betting may be considered a high-risk enterprise, First Direct Financial are experts in payment processing for high-risk clients. We know exactly what it takes to get you approved, secured, and ready to accept payments from sports fans around the country.
First Direct Financial is the go-to for Quality Merchant Services
First Direct Financial maintains a large network of representatives nationwide. We keep strict guidelines on all staff to ensure our clients receive the best merchant services possible. From data protection and credit card processing to depositing, we’re there for you every step of the way. Contact us today and learn how we can help your business make transactions easier.