REPLICA MERCHANT ACCOUNT FOR SOCIAL WELFARE

The world of technology has reached to that extend that credit cards are accepted for payments of social organisations. A social merchant account is also a bank account which has a very low rate of income. This type of account is normally provided to charitable trusts or NGOs which are meant for social services. Donations are the key factor of income for such organisations. People who are very wealthy donate huge sums of money to NGOs and charitable trusts. It cannot be made sure that they always carry money with them. So a social merchant account holder is also provided with electronic banking facilities.

A card terminal can be used by a social merchant to receive payments through credit cards. Most of the people use their credit card to make payments for the transactions that they make. There is also a special discount rate for the social merchant account holders for processing of credit cards. The registration fees for this type of account are also less as compared to the other merchant accounts. “The term social merchant account is used in a general sense to denote an organised arrangement of all transactions, actual or imputed, in an electronic banking system”. In social merchant account, a merchant has to keep a set of accounts in which transactions are entered. Incomes and outgoings related to a productive activity of the merchant are bought together. This shows the assets and the liabilities of the merchant concerned at the beginning and at the end of the accounting period.

NGO products also exist in the market and they are cheaper in price. They charge lesser prices only to support the organisation. It is somewhat like serving the society but some charges are applicable here. The funds raised by such organisations are given for the social welfare of the people. A normal merchant account needs a bank statement of two years in order to protect fraudulent cases. A thorough check on the background of the NGO is done by the bank before issuing the merchant with a social merchant account. If an NGO or any charitable trust fails to fulfil the criteria set by the banks to provide a social merchant account then they are directly refused by the banks. the merchant account holders are concerned with the statistical classification of the economic activities so that we are able to understand clearly and easily the operation of social merchant account as a whole.

A Social merchant account embraces not only the classification of merchandise industry but also the application of the information based on the operation of a merchant account. The incomes and expenditures that are related to a productive activity of the social merchant are bought together for the welfare of the society. There is normal profit or no profit for the social merchant account holders but the use of the merchant account is for accepting payments from the customers. The funds are invested on the working structure and maintaining the costs incurred while holding a social merchant account. Contact one of our helpful account representatives to assist you in the setup of a high risk merchant account or offshore merchant account for a high risk merchant.