Underwriting is typically used in references to banks or insurance companies, but it simply means that an institution will receive a payment and, in exchange, they agree to cover any potential risk. With regards to merchant accounts, they are technically receiving a line of credit, so it is important that a merchant account provider evaluate the business credibility and credit worthiness for any & all potential clients.

Required

• Information about the business (DBA, Address, Monthly Volume, Avg Ticket, etc)

• How the business is set up (Sole Proprietorship, Corporation, LLC, etc) along with accompanying contact information and Federal Tax ID#

• Personal Information for the signer of the account (Name, Home Address, SSN, Contact Information)

• Copy of a voided check/bank letter with the following business information:
  DBA or Legal Name
  Account Number
  Routing Number

Possible Additional Information

• Most recent tax returns

• Most recent financial statements

• Most recent bank statements

• Most recent credit card processing statements

• Copy of a driver’s license, passport or SS4

• ITIN Letter – to support the Individual Taxpayer Identification Number that is used in place of an SSN.

• FFL – A Federal Firearms License (FFL) is a license in the United States that enables an individual or a company to engage in a business pertaining to the manufacture or importation of firearms and ammunition, or the interstate and intrastate sale of firearms.

  Back to the Top

Accounts may be pended for a number of reasons, including the following:

• Missing Information – Simply, first and foremost, a merchant application will be pended because of missing information.  Ensure that the MPA is completed in its entirety. 

• Signatures – Echoing the first bullet point, make sure that all necessary signatures are received.  A Personal Guarantor signature is required for a Sole Proprietorship but can be avoided for other Ownership types with the provision of 3 recent months Bank Statements.

• Social Security Numbers – Social Security Numbers are requested for all applications and are required for Sole Proprietorships.  Other ownership types can provide financials (Balance Sheet and Profit & Loss) or a Dun & Bradstreet number in lieu of the signer’s SSN being provided. 

• Individual Taxpayer Identification Number – If the merchant is using an ITIN rather than their Social Security Number then have a copy their ITIN letter, tax returns and passport included with the submission of the merchant application.

• Federal Tax ID – Federal Tax ID numbers are required for Corporations, LLC’s or otherwise.  Be sure the TIN matches that of their W9 and/or the IRS database to avoid pending your deal as well as any backup withholding when validation of the TIN is completed.

• Legal Name – Businesses and their affiliated Legal Names are checked against the Secretary Of State’s website in which they have filed to confirm validity. 

• Banking Information – Voided Checks must have the Legal or DBA name preprinted if the account is not a Sole Proprietorship.  If the merchant does not have checks or a failed response on the GIACT report comes back on the verification of the information provided, then a bank letter is required.  The letter must be printed on the bank’s letterhead advising the account is open and in good standing and signed & dated by an officer of the bank. 

• Monthly Bankcard Sales – The Card Not Present Addendum must be completed if more than 20% of the transactions are not swiped.  Recent bank statements and/or previous processing statements may be required to support higher volume and higher ticker requests.  (See the Credit Policy for those limitations). 

• E-Commerce – If processing online, then the aforementioned Card Not Present Addendum must be completed and the merchant’s website must be compliant and contain the following: privacy policy, refund policy, terms & conditions and checkout.

• Equipment Type – Confirm and select the equipment needed when submitting your merchant application.  Reach out to the PRM/Support team with any questions prior to boarding.

• Multiple Ownership – Personal information is required for all business with multiple owners and that can be provided on the merchant application and/or the beneficial ownership form.  Only one signature is required if the signer holds more than 50% or more ownership but if all signers are less than 50%, then signatures for all parties are required. 

• Business Validation – If the business cannot be verified then a Business License, Utility Bill, Sales Tax License or Lease Agreement, Acceptable Marketing Material (Yellow Page Add, Google Listing, etc.) will be requested.  If pressed further, then a Site Inspection could be ordered.

• Additional Information/Paperwork – If ordering specific equipment such as Clover, be sure to complete and provide the necessary Addendum and Equipment Order Form.Petroleum merchants requesting Fleet Cards must have the appropriate Voyager and Wright Express paperwork/information completed.

  Back to the Top