High-risk merchant account for precious metals and bullion dealers with a Singapore company

We begin with a comprehensive review of your Singapore Pte Ltd entity and its operations as a precious metals dealer. This includes assessing your dealer registration, AML policy, and existing processing history, if any, for MCC 5094. Our team then compiles a complete underwriting file, focusing on website compliance, clear refund policies, and a robust KYB pack for your Singapore entity. This meticulous preparation addresses the specific concerns of acquirers regarding cash equivalence and high-value transactions.

Following file preparation, we match your business with EEA-licensed acquirers or MAS-licensed payment institutions that specialise in high-risk sectors and are amenable to Singapore-registered businesses. We facilitate a warm introduction and guide your team through any underwriting Q&A, ensuring a smooth process. Our goal is to secure a merchant account that accommodates typical transaction caps and manages the low-frequency, high-value chargeback profile common to the bullion industry.

Underwriters scrutinise several key aspects for Singapore-registered precious metals dealers. They require proof of dealer registration and a comprehensive AML policy, along with supplier and refinery contracts to verify the origin and legitimacy of your metals. Six months of processing statements, demonstrating chargeback and refund ratios, are essential for established businesses. For newer entities, robust projections and operational plans are crucial.

Website and checkout compliance are thoroughly assessed, ensuring clear terms, conditions, and delivery information. They also conduct rigorous KYC checks on all UBOs and directors, especially noting the requirement for a locally resident director for Singapore Pte Ltd entities. Evidence of fulfilment and delivery is vital to mitigate risks associated with high-value goods, alongside a detailed register of registrable controllers from ACRA.

Singapore offers a stable regulatory environment, but its specifics impact merchant account acquisition for bullion dealers. The requirement for a locally resident director and local company secretary for a Pte Ltd entity is critical for establishing local substance. While incorporation is swift, acquiring traditional bank accounts can be rigorous and slow for non-resident founders.

MAS under the Payment Services Act regulates payment institutions, which often prove faster and more flexible for high-risk businesses than traditional international banks. Your ACRA BizFile profile, Constitution, and Register of Registrable Controllers are key entity documents. Multi-currency processing, including SGD and USD, is standard, supporting international trade. These jurisdictional nuances are presented clearly in your underwriting file.

Merchant accounts for precious metals dealers are often declined due to inadequate compliance documentation, high perceived risk, or mismatched acquirer specialisations. Common issues include poorly articulated AML policies, insufficient evidence of dealer registration, or unclear website terms for high-value items. High chargeback ratios from previous processing history can also be a significant red flag, despite the low-frequency, high-value profile typical for bullion.

Xavion addresses these by building a robust, transparent underwriting file that pre-empts acquirer concerns. We ensure your Singapore Pte Ltd’s compliance, including ACRA documentation and resident director details, is impeccable. Our detailed presentation of your operational model and risk mitigation strategies, coupled with introductions to the right acquirer types, significantly reduces the likelihood of decline and sets the stage for a long-term processing relationship. We do not accept unverified-origin metals.

Once your complete underwriting file is submitted, the typical timeline for securing a live merchant account ranges from two to six weeks. This period accounts for acquirer due diligence, which can include further Q&A sessions managed by Xavion. During onboarding, acquirers will set initial reserve requirements and rolling limits tailored to the high-ticket nature of bullion transactions and your specific risk profile. These are indicative and can be adjusted over time with positive processing history.

Post-approval, continuous monitoring of chargeback ratios and transaction patterns is essential to maintain account health. We advise on best practices for managing refunds and customer disputes effectively. This proactive approach helps your Singapore Pte Ltd avoid potential account reviews or termination, ensuring stable and compliant card processing for your precious metals business. Compared to a UK Ltd, Singapore entity processing may involve more initial regulatory checks.