High-risk merchant account for digital goods and in-game item sellers with a Maltese company

We begin by conducting a thorough profile review of your Maltese company, focusing on your MCC (typically 5816), processing history, and chargeback ratios. This helps us understand your business’s unique risk footprint. Next, our team builds a comprehensive underwriting file, ensuring your website compliance, refund policy, and payment descriptor meet stringent requirements. We compile your full KYB pack, including all necessary entity documents from the Malta Business Registry and beneficial ownership extracts. We then match your profile to acquiring entities licensed for digital goods merchants and those accustomed to Maltese corporate structures. Xavion facilitates a warm introduction and manages the underwriting Q&A with the acquirer, streamlining the approval process for your business.

Underwriters scrutinise several key areas for Maltese digital goods and in-game item sellers. They require at least six months of processing statements to assess your transaction history and chargeback/refund ratios. Your website and checkout flow must demonstrate robust compliance, particularly regarding clear terms, conditions, and delivery information. Evidence of fulfilment and delivery logs is crucial for digital items, mitigating fraud concerns. For resold items, publisher or distributor agreements are essential to prove legitimacy. Finally, thorough UBO and director KYC is conducted, along with verification of your Maltese company’s registration and substance, ensuring all regulatory boxes are ticked before approval.

Operating from Malta means your private limited liability company is subject to the Malta Business Registry and potentially the MFSA or Malta Gaming Authority, if licensed. While incorporation can be quick, local presence is expected for licensed activities, impacting substance requirements. EUR is the primary currency. Reporting necessitates audited annual accounts and a beneficial ownership register. Local Maltese banks are typically conservative with high-risk sectors, so Xavion often places these entities with EEA-licensed EMIs or international specialist acquirers experienced with gaming and digital goods, rather than domestic institutions. This approach is more effective than attempting to secure accounts in jurisdictions like BVI.

Accounts for Maltese digital goods sellers are frequently declined due to high fraud-driven disputes, particularly related to account takeover fraud and the resale of stolen keys. Instant delivery inherent to the business model also increases risk. A major red flag is a lack of publisher permissions for resold items, which underwriters view as selling grey-market goods. Xavion prevents declines by ensuring all necessary industry documents, such as publisher agreements and fraud tooling, are included in your file. We also meticulously verify website compliance, clear refund policies, and robust delivery logs to counteract chargeback concerns, demonstrating a proactive approach to risk management to potential acquirers.

The timeline from a complete file submission to live processing for a Maltese digital goods merchant account typically ranges from two to six weeks. This depends on the complexity of your business and the acquirer’s specific due diligence process. Post-approval, expect standard measures such as reserves and rolling limits to be applied, reflecting the higher-risk nature of digital goods. Ongoing chargeback monitoring is crucial, and Xavion provides guidance on maintaining healthy ratios. We advise on best practices for fraud prevention and compliance updates to ensure your account remains in good standing and continues processing smoothly, avoiding unexpected terminations.