Recommended Banking and Merchant Accounts for Online Gaming Businesses
E-gaming companies include online casinos, poker, draws, bingo, lottery, skill games, crypto casinos and all other online companies operating on the internet with a gaming license. For these e-gaming companies there are two basic “must-have” financial services:
- A merchant account
- A bank account
Many banks lack knowledge of the online gaming industry and regulations so they are hesitant to open accounts for e-gaming companies. Financial institutions often impose strict requirements on e-gaming companies before allowing them to open accounts. Once you have managed to open online business bank account and merchant account for your e-gaming business your accounts will be screened and monitored daily by the banks.
E-Gaming Merchant Accounts
E-gaming companies will need a merchant account in order to accept card payments from their players. Banks view online gaming companies as high risk and see the e-gaming industry as one that is constantly evolving. Online gaming companies are often associated with high chargeback rates, money laundering problems and fraud. However, the e-gaming industry is highly regulated and there are comprehensive compliance regulations in place both nationally and regionally. As e-gaming companies are considered high risk they are often rejected by banks and instead have to work with a high risk payment processor that is familiar with the gaming industry and already provides gaming merchant services.
One of the main reasons banks and payment service providers reject e gaming companies as new gaming merchant account customers is the issue of chargebacks. Banks also consider e-gaming companies high risk because of the danger of disputes over bonus claims and the risk of gambling addictions.
With the ever increasing popularity of paid online gaming and the increased number of e-gaming companies the need for e-gaming payment processors to support the online gaming industry has also increased. It is vital for gaming businesses to have the right payment solutions for their customers.
Gaming Merchant Account Fees for Online Gaming Businesses
Online gaming companies must have a gaming merchant account in order to accept card payments but maintaining a merchant account comes with a price. Merchant account fees are customized according to how high risk your business is considered to be; your company’s legal structure; processing history and location of players. The fees can be 2% – 12%.
- Account holder fee
- Monthly fee
- Transaction fee
- Clearing fee
- Chargeback fee
E-Gaming Business Bank Accounts
Despite it being difficult for online gaming businesses to find a bank that will offer them banking services there are some financial institutions that accept e-gaming companies that have an online gaming license; approved beneficial owners and a clear company structure.
Features of an e-Gaming Corporate Bank Account:
- The account must be able to receive money from the company’s merchant account.
- E-gaming business bank accounts must accept multiple currencies.
- An e-gaming bank account should offer multi-signature rights.
- Internet banking enabling you to make transactions online anytime, anywhere.
- Your business bank account should provide a debit card so that you can withdraw funds anywhere in the world.
- E-gaming companies need a business account which can send and receive funds from anywhere in the world and in any currency.
Gaming Payment Processing Solutions
To best serve their customers gaming sites must provide a fast, secure and easy way to make payments. Gaming payment processing solutions must accept credit cards and mobile payment. They should operate in multiple currencies and offer in-game payment support. There should be multiple user-friendly payment options and several language options. Payment processing solutions should reduce chargebacks. They should protect the gaming site and customers from fraud. With the right payment processing provider sites can be efficient and mitigate risk.
Gaming Payment Processing Services
Not all payment processing services accept clients from the gaming industry. Gaming is considered high risk because of the heavy traffic, high transaction volume, vulnerability to fraudulent activity and chargebacks. Gaming websites have to use a service to process incoming bets and payouts to their players. Gaming payment processing services provide real-time identification of fraudulent transactions, and fast card payments from players around the world, in multiple currencies.
Gambling Credit Card Processing
Gambling credit card processing needs to be user-friendly, mobile-friendly and accept credit card payments from around the world in multiple currencies. Credit card processing needs to be secure and protect the gaming company and player from fraud. Most credit card processing services consider online gambling high risk and so the fees can be higher. Look for a credit card processing service that specializes in high risk merchants.
Gambling Payment Processors
Gambling payment processors should provide gaming sites with a smooth pay-in and pay-out process so players can pay for their gambling and receive their winnings easily. Payment processors can provide gambling sites with different payment methods, local payment solutions, recurring billing, and chargeback prevention plus integration with the largest gambling platforms. A reliable and user-friendly gambling payment processing system will encourage players to choose your gaming site.
Online Gambling with Debit Card
Most well-known card companies allow online gaming with debit card. Almost all online casinos and gambling sites allow players to make deposits and withdrawals with debit cards. Gaming online with a debit card allows you immediate access to cash. Gambling sites have no problem with players using debit cards rather than credit cards as it helps them limit rejected payments. Players paying by debit card have fraud protection because of the pin code and they are limited to spending only money they have.
Bank Account for Gambling Company
Mainstream banks consider gambling companies high risk and often implement stringent restrictions and requirements on any bank account for a gambling company. When choosing a bank account for your gambling company consider the length of the on-boarding process, ongoing services they provide, fees and customer service. Look for a bank account that will provide a Swift Code, credit card and e-wallet settlements, multi-currency accounts, Internet banking, fast payments and a business card linked to the account.
Online Gambling Merchant Accounts
In addition to a current bank account, Internet gambling companies need a merchant account in order to process players’ payments. When applying for online gambling merchant accounts gaming companies will usually need to provide, a letter from their bank, valid ID or social security number, certificate of incorporation, recent bank statements and proof of a safe and legal gambling website with a minimum chargeback ratio history. Depending on the level of risk a merchant account may be approved with restrictions. Merchant accounts often come with services such as 24/7 customer support, recurring billing, chargeback management tools, a payment gateway, fraud filter and more.