Know Everything About the Tabacco Merchant Account and Get Approve it Faster with WebPays

 Any online business that accepts credit card or debit card payments should have a merchant account. Without a merchant account, it is not possible to accept card payments.

In today's life, customers like to purchase everything online. Due to the online customer preference, the Tobacco industry is switching towards online. So, to start the Tobacco business online, merchants must obtain a Tobacco merchant account. But this task is not easy.

Most acquiring banks and financial service providers deny offering their services to this industry and label it high-risk. So, the merchant has to look for a service provider with experience in the Tobacco industry. One such type of service provider is WebPays.

WebPays is one of the most popular and leading service providers. With WebPays, customers can get all in one platform. It offers the best possible solutions according to your business model. We offer the best pricing structure in the market without any hidden fees. Our features and benefits help you to grow your business globally. Contact our expert team to finalize the deal.

 

Know Everything About the Tabacco Merchant Account and Get Approve it Faster with WebPays

 

Are you willing to start your new online Tobacco business? To sell Tobacco online, you ought to need a secure and reliable Tobacco merchant account and payment gateway. Securing a tobacco merchant account will assist your business by allowing it to accept various payment methods.

 

Let's check what the Statista report says about the Tobacco businesses worldwide-

 

• Market revenue for tobacco products is expected to reach US$912.30 billion in 2022, and the market is anticipated to increase by 2.64% yearly (CAGR 2022-2027).
• With a market volume of US$811.20 billion in 2022, the category of cigarettes is the largest in the market.
• In 2022, per-person revenues will amount to US$158.80 based on population statistics.
• By 2022, internet sales will account for 6.5% of the entire income in the market for tobacco products.

When we talk about the European market size - in 2022, the overall Tobacco products market will be US $261.60 bn, and it will grow annually by 2.57% (CAGR 2022-2027).

 

With this figure, you can imagine the growing popularity of Tobacco products. It is one of the most profitable industries in the whole world. Today, customers prefer online shopping, which is why most tobacco businesses are moving online; they need a suitable tobacco merchant account and payment gateway.

 

Here, this blog will learn more about a Tobacco merchant account.

 

What is a Tobacco Merchant Account?

 

A merchant account is a bank account created exclusively for business use, where organizations can process and receive payments. For instance, an online business may use a merchant account to take credit cards or other types of electronic payments.

 

In the same way, a Tobacco merchant account is the business account to accept the tobacco shop's online payment from their customers. Tobacco merchants accept payment through an online payment gateway.

 

Transactions can move along rapidly if the customer account information is captured using their terminal. At this point, either the sale is accepted or rejected. In both cases, the merchant receives the messages. The merchant's bank handles the settlement of approved funds into the merchant's account. The entire procedure takes between 24 and 48 hours to complete.

 

Is Tobacco a High-risk Business? Why?

 

The tobacco industry is one of the oldest industries. It has been around for hundreds of years. But, in today's digital era, most online businesses selling Tobacco, cigars, and other accessories find difficulty obtaining a tobacco merchant account because most acquiring bank and financial services deny working with these types of industries. Generally, there are three primary reasons:

 

• All tobacco products are regulated by the federal government and are age-restricted. It means that they require extra underwriting knowledge and procedures from the credit card processor, but most service providers are not ready to offer their services.
• Since tobacco goods have become a "political" problem, many sponsor banks and credit card processors have determined that the political risks to their companies outweigh the benefits. So, they will no longer provide merchant services to well-established, lawful tobacco-related industries.
• Tobacco is a form of cigarette containing severe many health diseases such as cancer, emphysema, high blood pressure, etc.

 

Due to these risks, most merchant service providers decline to offer their services to the tobacco industry.

 

So, as a Tobacco merchant, you must look for a service provider with a specialty in working with the tobacco industry. One such type of service provider is WebPays.

 

The process to Get Approve for your Tobacco Merchant Account Fast with WebPays.

 

It is pretty challenging for any tobacco merchant to find the best merchant account service and provider. So, without wasting time, we suggest you go with WebPays. To approve your tobacco merchant account fast with WebPays, you must prepare.

A tobacco merchant who wants to apply for the Tobacco merchant account needs to start working from today. Before applying for an online merchant account, the business owner has to prepare some important documents.

 

Note: Always remember that the different merchant account service providers have a separate list of documents and rules to apply for merchant accounts.

 

With WebPays, the first merchant has to fill out the online application form. Along with this, the merchant should also keep ready the following documents -

 

• A valid government identification card. For example – A passport or driver's license.
• A bank letter
• Three or Six months of most recent bank statements
• Three or Six months of most recent processing statements(if applicable)
• The chargeback must be under 2%.
• The website is completed and fully-operated
• An SSN and EIN (SSN stands for Social Security Number and EIN stands for Employer Identification Number).

As WebPays, we do not guarantee that your high-risk merchant account will get approved. It all depends on your documents. We will authorize your high-risk merchant account within 3 to 5 working days with all the good copies.

 

WebPays Tobacco Merchant Account Solutions

 

We WebPays has lots of experience dealing with high-risk businesses such as Tobacco, casino, etc. We offer the high-risk Tobacco Merchant Account at a reasonable rate. With us, the merchant can get a simple and straight forwards application process. WebPays are all in one solution. It means you can get the merchant account, payment gateway, and payment processing in one place.

 

With us, the merchant can get many benefits. Some of the core benefits are -

 

• Cover all the issues of PCI DSS. Also, include anti-fraud and anti-chargeback tools.
• Allow merchants to receive payment in multiple currencies from all over the world.
• Offer various payment modes, including alternative payment modes.
• Approve the merchant account within 3 to 5 working days with proper documents.
• Easy to integrate on sites.
• Offer a powerful dashboard.
• 24*7 customer support

 

Final Thoughts -

 

Nowadays, everyone wants to expand their businesses and loves to become global brands, even Tobacco merchants. Most customers prefer online shopping, and this demand of the customer force Tobacco merchant to switch their Tobacco business online.

 

But, operating an online Tobacco business is not easy work. Merchant has to face many challenges. As Tobacco is a high-risk business, the first challenge is to obtain a merchant account. Many reasons make the Tobacco business high-risk, which we discussed in detail above.

But, no need to worry. We, WebPays, are here to serve you with lots of experience in dealing with high-risk Tobacco businesses. We offer you the best features and benefits according to your business models, which will be an advantage for your business and help you grow. You can contact our expert team directly to deal with us or to know more about us.