As many businesses have had to rethink how they do things during the coronavirus pandemic, that may mean shifting some or all of their business online. For some businesses, it could even mean starting new online businesses.
If you’re a small business owner, you need to understand the importance of accepting card payments. Most people live in a way that’s almost entirely cashless.
With the likelihood of new restrictions that are being issued, urging businesses not to accept any cash at all because of the risk of Covid-19 transmission, cashless may be the way of the future.
When you accept card payments, you need to have a merchant services provider and a merchant account.
A merchant account is where you can transfer money from card payments after they’re processed. You don’t have direct access to the merchant account, but rather funds are deposited there and then transferred to your business bank account.
Beyond the generalities of a merchant account, there are specifics to be aware of, including what’s called the MATCH list.
What Is the MATCH List?
The MATCH list is something maintained by MasterCard, and it’s a way to help keep up with businesses and business owners with terminated credit card processing accounts. It’s like the Terminated Merchant File.
The terminated card processing accounts were terminated by an acquiring bank.
If you’re applying for a merchant account, the bank that you’re trying to work with will check MATCH to see if you’re on there, or anyone associated with your business is on there.
A bank will very likely deny you for a merchant account if they see that you or a partner of your business are on the MATCH list.
Some go as far as calling it a blacklist.
Of course, there’s no guarantee you won’t be approved. The bank you’re applying through may have a different level of risk tolerance that could allow you to be accepted.
If you are accepted when you’re on the MATCH list, you’ll often see that it’s a conditional acceptance, so there will be restrictions placed on your account.
How Do You End Up On the Match List?
There are various reasons you could end up on the MATCH list.
For example, maybe your bank decides you are too high-risk for them and they close your account.
There may often be problems with your transactions like fraud or what the bank determines to be excessive chargebacks.
If you often have data breaches because of your security measures or lack thereof, it could get you on the list.
There are also issues where an account holder might do something illegal, such as money laundering or participating in fraudulent behavior that could put them on the MATCH list.
There are also factors that could be outside of your control that put you on the MATCH list. For example, one common reason is that a business owner’s identity is stolen and used to open a fraudulent merchant account.
How Can You Get Off the List?
MasterCard says they maintain names in their system for five years, and the thought of that can be stressful if you’re a business owner. Unfortunately, it’s tough to get off once you’re on.
Pretty much the only way you can be taken off the registry is if you find a way to work with the bank that put you there in the first place. Some situations are easier to remedy with your bank than others.
For example, if it’s a situation where you committed fraud, the bank probably isn’t going to work with you.
On the other hand, if the reason you’re on the MATCH list is that you have a lot of chargebacks, you may be able to eventually fix this. If you can alleviate the problem of the chargebacks and then you don’t have any for a while the bank may take you off the MATCH list.
If you were put on the list by mistake or because someone stole your identity the bank will need to do an investigation and depending on those findings, hopefully, take you off.
If you need a merchant account and you’re not able to get off the MATCH list, the best option is to find a bank that offers a high-risk merchant account.
These do exist, and they are ideal for businesses that are in industries where there are frequent cases of fraud or chargebacks. The best option is to get off the MATCH list, and then if you can’t, a high-risk merchant account is the next best solution for many businesses.
