The travel industry is a booming business, with Americans projected to take about 806 billion domestic trips alone this year. Traveling can have various expenses, and as a travel merchant, you may be handling payments for tours, vacation packages, hotel accommodations, and more. Unfortunately, most banks and well-known payment processors tend to avoid working with travel merchants. Many travel agencies are labeled as high-risk merchants, which can deter banks from wanting to provide the necessary payment processing to a business in the travel industry.
Getting approved for travel-related credit card processing can be a hurdle. However, you want to make sure you have reliable processing in the event of the truly unexpected. Also, having a dependable payment processing system can further protect your business and also establish a bridge of trust between you and your customers. USA Payments can help provide credit card processing services for travel agencies and similar businesses in the industry!
Your Travel Merchant Account Needs Reliable Processing!
In 2023, a study determined that about 71% of travel companies saw an increase in chargebacks. Frequent chargebacks and fraud can hurt your travel business, which is why working with a reliable payment processing company is vital. Some customers may file a chargeback because it seems easier than looking for a refund. This is why you want to entrust your travel merchant account to a payment processing company that knows all the ins and outs of the travel industry, and has a long history working with travel agencies, tour operator agencies, and other similar businesses.
At USA Payments, we offer trustworthy payment processing for travel merchants. Our team is dedicated to providing merchants with customized payment processing services at the lowest possible cost. U.S. based businesses are our specialty, and we see no risk when it comes to working with high-risk travel merchants! We specialize in the following niches:
- Travel merchant accounts
- Tour operator merchant accounts
- Cruise merchant accounts
- Travel arrangement merchant accounts
- Ski resort merchant accounts
- Airline and charter jet merchant accounts
- Timeshare merchant accounts
And much more! A business in the travel agency may face obstacles when it comes to banks and other payment processing platforms. This doesn’t have to be the case all the time. In order to understand why your travel business needs specialized payment processing, it is essential to recognize why businesses within the travel industry are considered high-risk.
Why Do Banks Avoid Tour Payment Processing and Similar Travel Service Payments?
The travel business is huge. People all over the country are consistently taking trips, both in and out of the United States. With travel being such a lucrative business, why are banks weary of providing payment processing services to merchants within this trade? Travel agencies, tour operators, resorts, charters, and other businesses are deemed high-risk merchants for a number of reasons, such as:
High-Ticket Transactions
Booking that flight, hotel, transportation, and more can come with a hefty price tag. In the case of a dispute over one of these high-ticket transactions, a bank or other payment processing service could be hit with a large chargeback. These transactions that are at a heavier price point are one of the main reasons why a travel business is labeled as high-risk. This is why it is always recommended for a business to have its travel merchant account with a payment processor that offers the right custom solutions for their needs.
Large Advance Times
When traveling, purchases are always made in advance. Flights may be booked months ahead, as are hotel rooms, car rentals, tours, and so on. These large windows of time in between the payment being processed and the customer going on the flight/ getting to their hotel/ going on that tour can often leave room for unexpected events. For example, a customer may get sick and have to cancel their flight. Or any other life event may occur that would result in the customer filing a dispute, which would then lead to a possible chargeback as well.
Bankruptcies
Like with any business, bankruptcy may occur. However, because the business of travel is often very expensive and can incur a lot of costs, the idea of potential losses through a bankruptcy can deter a lot of payment processors from working with businesses in this field. There is also the worry of the fees that may accumulate when a business of this caliber goes bankrupt. While this is of course not always the case, bankruptcy is a pretty large factor that comes into play when it comes to labeling travel businesses as high-risk.
Credit card processing for your travel agency shouldn’t seem impossible to obtain. As a travel merchant, you should feel confident in your payment processing system, and you should also know about the right solutions that could further enhance your business, as well as provide seamless transactions for your customers. This is why working with a trustworthy and knowledgeable payment processing company like USA Payments can be the answer. Don’t spend time trying to see what popular payment processing company may agree to work with you, instead, go with a company that has the experience of working with different businesses in your same industry.
Do You Need Credit Card Processing For Your Tour Operator Merchant Account?
As a tour operator merchant, you may have your hands full. Working with customers to provide them an unforgettable trip can take a lot of work and time, so you shouldn’t have to worry about your payment processing system on the side. Tour operator merchants are considered high-risk because of the high-ticket transactions and large time advances in between each purchase. Entrust the tour payment processing of your business to a company that helps grow your business while providing trustworthy payment processing solutions to keep your transactions smooth and safe! USA Payments has a dedicated team of travel account experts that will guide you.
How Can I Apply For Travel Merchant Solutions?
Are you ready to grow your travel business to new levels? Apply now for a travel merchant account with USA Payments. Contacting our travel account specialists is the way to start setting up your account now. As long as travel merchants keep their chargebacks under 3%, USA Payments handles the rest when it comes to providing long-term stability and success for high-risk businesses. With 98% of merchant applicants being approved with USA Payments, you don’t have to worry about jumping through hoops to get those customized solutions that can further push your organization into success!
Don’t Delay, Let USA Payments Handle Your Payment Processing!
Has your travel business been turned away by multiple banks and credit card payment processors? Are you looking for the right strategies to enhance your travel agency, tour operating business, and other similar trade? USA Payments has you covered! We offer high-risk merchants a number of reliable solutions for their companies, making sure to also provide reassuring advantages that may not be available to typical low-risk businesses, such as:
- Increased sales volume allowances
- Multi-account/load balancing
- Recurring billing
Avoid high fees and the possibility of losing money due to other flighty payment processing companies. At USA Payments, we work to provide high-risk merchants in various industries the freedom of operating their businesses with confidence! Get started on obtaining online payment solutions, POS payment solutions, and more for your travel establishment. Contact USA Payments to learn more!