The internet is increasingly playing a role in the way people meet, interact, and make friends or partners. Statistics indicate the increasing use of online dating to get into and nurture both short-term and long-term relationships. Dating apps present various business opportunities, but online dating merchant processing services and merchant accounts for dating sites are difficult to come by.
Without a doubt, the online dating industry is quite lucrative, with revenues topping $3 billion in the US alone in 2019. There are currently over 2,500 websites providing dating services in the US and over 8,000 sites worldwide. The industry is profitable and rapidly growing, partly driven by the COVID-19 pandemic, which restricts physical meetings.
Perhaps the only thing you might need to worry about is the negative reputation generated by the industry. The high volume of chargebacks has particularly dented the image of online dating companies. Even if your companion or escort services are legitimate, underwriters may treat you with suspicion because of your industry background.
Why is Online Dating High Risk?
Like the adult entertainment industry, online dating websites face client trust challenges. The industry has high incidences of fraud, chargebacks, and customer complaints, often leading to legal issues. The high volume of chargebacks makes it hard to obtain online dating merchant services and therefore is considered high-risk. High-risk payment processors like SecureGlobalPay specialize in these harder-to-place business types.
Dating is a very subjective matter, and there are cases where users tend to be less truthful about themselves. Some users of online dating services may present a fictional online persona, which may lead to others feeling cheated or scammed. Some service providers may blatantly allow fraudulent activities such as ghosting and bots. Customers may also be dissatisfied with online dating merchant processing that involves recurring payments and upfront charges. Customers may issue chargebacks because they no longer use the service regularly or have already found a partner.
There are also numerous cases of married men and women using online dating services to cheat on their spouses. Problems come when the other spouse discovers this, and most likely issues a chargeback. Challenges associated with married couples are typical and contribute to the “high risk” nature.
High chargeback rates are often too risky for most merchant account providers. All providers have partnerships with card associations and payment networks such as Visa and Mastercard, which have tightened the rules. Some traditional merchant account providers have altogether suspended the issuance of online dating merchant accounts.
One may manage to secure an escort merchant account for online dating sites. However, there are some concerns that you will still need to look for in our payment processors. This includes provider reliability, cost, the ability to prevent chargebacks, and the diversity of card payment options.
How to get Online Dating Merchant Services
There are approaches you can use to get a merchant account. However, you should ensure that your online dating business is legitimate and with no fraudulent activities. You can also refrain from using payment models that increase rates for chargebacks, such as recurring payments.
You must also create and communicate clear policies. Lastly, be sure to comply with regulations and requirements such as SSL/TLS encryption and PCI DSS compliance guidelines. Complying with regulations on safety and security is essential for safeguarding clients’ data.
Getting merchant account underwriters to help you secure reliable online dating merchant services is one of the most important things you have to do. SecureGlobalPay understands the unique challenges faced when getting an online dating payment gateway.
Some of the things to look out for in your quest to get online dating merchant services include the following:
- Rates and fees
- Processing volume
- Mechanisms in place to prevent chargebacks
- Presence of long-term contracts and termination fees
- Types of cards accepted
- Payment acceptance options
SecureGlobalPay Online Dating Merchant Services Solution
SecureGlobalPay specializes in high-risk accounts and is ready to help you set up a reliable payment solution. We have partnered with high-risk businesses such as escort services and adult clothing shops. The only thing we require of you is that your business should be legitimate and not engage in any fraudulent activities. Applying for a High-Risk Merchant Account for online dating merchant services at SecureGlobalPay is relatively straightforward.
Core feature benefits you stand to gain from our high-risk payment gateway include the following:
- No Application Fees required
- Lower rates
- All cards accepted
- Effective chargeback management
- Secure Payment Gateway
- Fast Approval Times
- Ability to handle a high volume of transactions
Other benefits you will get include speedy multi-currency processing, mobile payment processing, and assistance with compliance. You can easily apply for online dating merchant services by clicking here. Usually, the application proceeds through a few steps and takes a few minutes of your time.
You can also contact us today to discuss more processing solutions and the terms and conditions.