Aside from being a taboo subject, there are other reasons why adult businesses are classified as high risk for payment processing.  One of the main reasons is in the form of memberships.  Most sites will require a monthly membership to view or access their websites.  A lot of sites will do this by offering a free trial, with the fine print reading that the credit card who’s information was entered will begin being charged monthly after the expressed trial period is over. 

For anyone familiar with sites such as ebay, you may never consider this a high risk website.  After all it has extreme notoriety, and PayPal helps to secure your purchases, right?  This is actually this best example of a high risk merchant account.

As a “subcategory’ of an adult business, dating websites sit on both side of the fence, whether or not they are considered high risk.  A lot of what determines high risk or adult content includes images and the way the website is laid out.  Sometimes the high risk category won’t be implements until there is an excessive amount of chargebacks.  At which point will probably put the operator/holder of the merchant account on the MATCH list.  This is a list utilized for future reference as a sort of “credit history” for future merchant providers if the operator attempts to open another account.  For example, an operator who has excessive frauds and chargebacks will probably be determined as high risk regardless of what product they are selling.  The could prove to be an issue when trying to establish a new merchant account, even if it is 5 years later, and selling paper goods.

Anything dealing with cigarettes or tobacco will be sure to put you into a high risk category.  Large companies like Phillips Morris have huge hurdles to jump through to produce and manufacture cigarettes.  The retailers selling their product in a typical store front have just as many rules and regulations.  Combine the two into online sales, and you have two things, huge profits and a lot of responsibility.  Every state in the United States, as well as various countries through out the world have their own set of rules and regulations when it comes to purchasing cigarettes, or purchasing online cigarettes or other tobacco products. 

Unfortunately due to the increasing fraud from the merchant, there has been a massive amount of unsettled travel purchase disputes.  Which has put any sort of travel purchase, even through a travel agency, into a high risk category.  Related reasons include high volume sales, the occasion of chargebacks or refunds, and outside fraud (fraud resulting from the purchaser).

With the rising cost of prescription medications in the United States, and lack of affordable prescription plans, the popularity of online pharmacies is tremendous.  The United States is literally one of the only countries that do not control its drug prices.  Making their debut around the year 2000, the internet hosts hundreds of online pharmacies.  Aside from the convenience of not having to drive and wait, is the privilege of anonymity.  The medical industry regulates your confidence as a priority, but you still go to your neighborhood pharmacy to pick up prescriptions.  If a case of herpes is held in confidence, wouldn’t you want your prescription to Valtrex to be held to the same standard?  This is mentality of a lot of online pharmacy users. 

The potential for many issues to arise from online gambling is great.  There are many aspects from ranging from underage gambling, pathological gambling, to criminal abuse and fraud.  The risks are not just on the merchant but on the consumer/player as well.