Kratom Merchant Accounts – Get Yours
Last Updated on July 7, 2023 by Corepay
Finding a reliable kratom merchant account is no easy task, as it may or may not come as a surprise. However, despite health/legal restrictions, the Kratom industry is still booming.
This article will break down everything you need to know about Kratom merchant accounts and go over what to look for in a payment processor.
At Corepay, we specialize in high-risk payment processing and believe we are an excellent fit for all serious businesses.
Below you will find a list of Kratom products we offer credit card processing for:
- Kratom capsules/pills
- Powdered Kratom
- Kratom drinks
- Kratom tea
What You Need To Know About Kratom Merchant Accounts
The biggest thing to understand here is that Kratom is labeled as high-risk by banks and credit card processors. You will not be able to use low-risk methods such as Stripe, Paypal, or Square for Kratom products.
Banks view Kratom similarly to CBD, due to
the fact that they’re both relatively new and unknown. For this reason, a Kratom merchant account is going to be similar to a CBD merchant account when it comes to your needs as a merchant.
Applying For Your Kratom Payment Processing
Applying for your merchant account for Kratom is made easy with Corepay. The more information you can give us in the beginning, the faster the application process will go.
We pride ourselves on getting high-risk merchants up and processing swiftly, and we believe we can do the same for your business.
- Company EIN document
- Financial statements – personal and business
- Proof of operating address
- Articles of incorporation
- Principal’s driver’s license
- Business plan – or brief description of where you see your business in the coming years
- Voided check proving business bank account
Some tips that you can share when applying for a merchant account include:
- Proof of low chargeback ratio – this can help show us and banks that you run a serious business
- Provide us with an understanding of what your company does and where the sales take place
- Business Policies
When underwriting your account, we will determine your risk level based on the information you have given us. If you can show us that you run other successful online businesses, this could be to your benefit.
When payment processors do their underwriting, they will determine your risk level based on all the information you provide them. The more information you can provide, the better for your business.
Why Kratom Merchant Accounts Are High-Risk
Kratom is viewed as high-risk by banks and processors for a number of reasons:
- Lacks FDA Approval: The lack of FDA approval is no surprise as there hasn’t been much research on Kratom. There are also concerns that it contains addictive properties, which is problematic for banks. The FDA has also reported that they have considered banning the substance, although this has yet to happen and has been criticized.
- Legal Restrictions: Kratom is not federally regulated by the United States; however, it is regulated state-to-state.
- Can Be Subscription Based: Kratom is commonly sold in a subscription format, and consumers can pick between different arrangments. Subscription merchant accounts are typically high-risk.
- Chargebacks: Chargebacks can make any business be viewed as high-risk as there is usually a reason for the chargebacks in the first place. At Corepay, we can significantly reduce chargebacks through our partner product, CB-ALERT. Chargebacks are not something that should only concern the banks, as your chargeback ratio can directly affect how much you pay in monthly fees and how banks/processors perceive your company.
Paypal/Stripe/Square For Kratom Merchant Accounts
Hopefully, since you are reading this, your Kratom merchant account wasn’t terminated by any of these processors. While these are all fantastic companies, they specialize in low-risk payment processing. Kratom is also a banned substance for each of these providers.
While it easy to quickly find payment processing via one of these options, be sure that you choose a high-risk payment processor.
High-risk payment processors underwrite your account at the time of application rather than a few months later. This prevents merchants from being able to process payments, only to find that their account has been terminated.
Why Choose Corepay For Your Kratom Merchant Payment Processing
At Corepay, we understand that the essential part of a Kratom merchant’s business is to be able to accept payments reliably. We also understand the ins and outs of the industry and have over two decades of high-risk processing experience. We are also proud to partner with Mastercard and the Mastercard Collaboration.
- Highly competitive rates: We understand that providing you with the lowest possible processing fees allows your business to continue growing with optimal profitability.
- Fast approval times: Our quick approvals maximize the time that travel merchants need to make sales. We are able to provide approvals typically between 24-72 hours.
- High volume processing: We have our own payment gateway, Solidgate, 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
As Kratom sales continue to skyrocket, it is clear that this is a profitable market. However, like any of our merchants, we urge you to conduct proper research before starting your company.
By doing this, you set yourself up for success and eliminate any surprises.
We are confident that we can help scale your business, reduce your chargeback ratio, and set you up for success moving forward. Fill out an application below to find out what we can do for your business.
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