Alcohol Merchant Accounts: Get Yours Now

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Last Updated on November 7, 2022 by Corepay

Selling alcohol online is challenging: we get it. That’s why at Corepay, we offer tailored payment processing for alcohol businesses. Our alcohol merchant accounts are built for exactly what you need and come with no surprises down the line.

While payment processing for alcohol is needed not only online but also in retail, we are here to tell you that we are confident that we can deliver in both areas.

Whether you’re a startup looking to sell your line of tequilas, whiskeys, wines, or mixers, you’ve come to the right place. 

While the alcohol/liquor business is lucrative, finding reliable payment processing is challenging as it is considered high-risk. For this reason, you will need to find a high-risk alcohol merchant account partner who understands the needs/demands of the industry.

We are confident that we can get you pre-approved and accepting payments securely and reliably so you can focus on growing your brand.

Let’s take a look at everything you need to know about alcohol merchant accounts below.

Alcohol Business Corepay Serves

At Corepay, we are proud to offer payment processing for the following:

• Whiskey
• Wine
• Tequila
• Beer
• Brandy
• Bourbon
• Scotch
• Retail stores

We can service any serious companies that are following all state restrictions.

Apply For Your Alcohol Merchant Account

Applying for your alcohol payment processing is simple with Corepay. We are confident that we can get you pre-approved within 48-72 hours and accepting payments in no time.

Please note: The more information you can give to us about your products and business history, the faster we can get you approved. Information you provide us may also allow us to bring you even better rates.

You will need the following when applying:

• Financial statements – 3-6 months processing history
• Voided check
• Principal’s drivers license
• Articles of incorporation
• Proof of operating address
• Company EIN document
• Business plan – optional

Why Choose Corepay For Your Alcohol Merchant Account

At Corepay, we specialize in high-risk merchant accounts. As a result, we understand what merchants need regarding the alcohol business and being able to accept payments online.

We also operate with 100% transparency and want to see all of our merchants grow to their full potential. 

If you’re looking to boost your alcohol/liquor business revenue, you’ve come to the right place. Without merchant accounts, you can accept multiple currencies from all over the world. In addition, you will also receive the following:

• Extremely competitive rates: It’s no secret that merchants want to save money on processing fees. We strive to provide the lowest possible rates we can give our merchants so they can grow to their full potential.
• Fast approval times: Our quick approvals maximize alcohol merchants’ time to make sales. We can provide approvals typically between 24-72 hours.
• High volume processing: Our payment gateway, Net Valve, is explicitly designed for high-risk companies processing high volumes.
• Multiple currencies: We understand the importance of being able to accept different currencies
• Security: We have a PCI-Level 1 secure payment gateway that is monitored around the clock and regularly tested for security issues
• Mobile payments: You can easily accept payments from customers paying with their mobile device
• Waived application, set up, and annual fees
• 24/7 customer service

How We Underwrite Our Merchant Accounts

All of our merchant accounts are underwritten at the time of the application. We strongly believe in doing things this way to know we are working with a legitimate business.

You will be given our underwriting guidelines to fill out at the time of your application. Once you send this back, we can pre-approve your account and get the ball rolling.

Remember that honesty is critical when applying for your merchant account.

Why Are Alcohol Businesses High-Risk?

Alcohol businesses are deemed high-risk by banks for a few reasons. 

• Legality
• Fraud
• Chargebacks
• Subscription-based billing merchant account

Legality

You can buy alcohol online in 48 out of 50 states, except Alabama and Utah. With this being said, there are restrictions regarding the type of alcohol that can be purchased and the quantity.

Age verification is another thing that banks are concerned about, as the legal age to buy or consume alcohol is 21 years of age.

Fraud

Fraud is a concern for the liquor industry as underage consumers may get their hands on a credit card and make purchases on the internet. 

Chargebacks

Chargebacks are the number one reason we see high-risk merchants get into trouble. The reason why chargebacks scare off banks and processors is mainly because it can be a sign that the business is not legit.

Chargebacks are expensive, but they usually signal that the company is doing something incorrectly. At Corepay, we offer an anti-chargeback suite through our partner product, CB-ALERT, to ensure our merchants keep their chargebacks at a minimum.

Subscription Billing

Subscription billing is almost always high-risk. The main reason is that there is added risk of potential chargebacks. 

You will typically need a rolling reserve when dealing with a subscription billing plan as well. It is common to see alcohol subscription services as they are highly profitable, so this is an intelligent business model.

Can You Use Paypal For Alcohol Merchant Account?

Like a CBD merchant account, alcohol payment processing is forbidden on Paypal or any low-risk processing platform. So while you can create a Paypal account and start accepting payments quickly, you will find yourself with a terminated merchant account as soon as they underwrite it.

Once your account is frozen or terminated, you will not be able to access funds for up to 180 days. This means you could be stuck eating a loss for that entire period.

Paypal Shut Down My Business

Terminating your alcohol merchant account is the worst possible thing to happen to your business. So the first thing you need to do is to find a reliable partner.

We always recommend choosing an option in which the underwriting for your account is done in advance to avoid any surprises in the long run.

Alcohol MCC Code

The alcohol MCC is 5318, used for all companies selling alcoholic products.

Alcohol Merchant Account Fees

There are several fees that you can expect with your alcohol merchant account. We’ve created this guide here on high-risk credit card processing fees for your enjoyment. 

Wrapping Up

Whether you’re a business specializing in online sales or a classic brick-and-mortar, we believe we can help take your business to the next level. 

Having reliable payment processing for online payments is a must for any serious business selling alcohol products. 

At Corepay, we believe we can get you approved, ensure you stay approved, and take your business to the next level. So fill out the application below to get pre-approved today.