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We're a team of business service specialists helping UK companies make smarter choices. We make it quick and easy to compare trusted providers across card payments, utilities and more.

On This Page

• What is merchant account approval?
• How long does approval usually take?
• What factors affect approval speed?
• How do different UK providers compare?
• Rates and requirements from major provider
• Common reasons for delays
• Approval times for international businesses
• How can you speed up the process?
• What happens after approval?
• What if you're declined?
• FAQs about merchant account approval
• Next steps

What Is Merchant Account Approval?

Merchant account approval is the process businesses go through to be allowed to accept debit and credit card payments. It involves submitting an application, undergoing financial checks, and confirming your business is legitimate and financially sound.

Without approval, your business can’t process card transactions. That means no card reader payments, no online checkouts, and no phone-based transactions. In a contactless-first world, that could mean turning away over half your potential customers.

Why Approval Matters

Each transaction carries a risk for the bank involved. When your business takes a card payment, your provider covers the transaction until funds are verified and settled. They want to be confident you're not going to default, suffer excessive chargebacks or operate in a high-risk space.

Approval protects them and makes sure your customers' money is safe too.

How Long Does Approval Usually Take?

There’s no one-size-fits-all timescale. But here’s a rough guide to what you can expect:

Providers like Square and PayPal often approve accounts within hours. Larger banks, such as Worldpay or Global Payments, can take up to a week. In some cases, approval can drag on for over two weeks, particularly if you’re applying for a high-risk merchant account or your documents are incomplete.

While quick setups are available, many businesses value a tailored approach, even if it takes a few extra days.

What Factors Affect Approval Speed?

Let’s take a closer look at what determines how quickly your merchant account is approved.

Business type

Retail shops with a clear trading history often get approved faster than newer or speculative ventures.

Credit score

If the business owners or directors have a clean credit history, the approval process tends to be more straightforward.

Industry sector

Some industries, such as travel, gambling, adult services or CBD products, are automatically flagged as high-risk and go through extra checks.

Processing volume

The higher your projected monthly turnover, the more scrutiny your application might receive, especially if you’re a new startup.

Country of operation

If your business operates outside the UK or in multiple countries, you might be asked for extra documentation.

Document clarity

Many delays come down to something simple: incomplete or inconsistent paperwork. Ensuring your forms and documents are accurate will save time.

How Do Different UK Providers Compare?

Each provider handles approvals differently. Here’s how they stack up:

Providers that offer aggregated accounts tend to have the fastest onboarding. But if you're looking for specific pricing, dedicated support or integration flexibility, a custom merchant account will likely suit you better.

Rates and Requirements From Major Providers

Even if approval is quick, there are cost and compliance considerations. Here’s what you may be expected to provide and pay:

Some providers also charge transaction fees, authorisation fees and may apply a rolling reserve or monthly minimum charges. PCI compliance, chargeback fees and early exit costs may also apply.

Common Reasons for Delays

Let’s explore the most frequent causes of hold-ups in the application process.

Missing documents

This is the number one reason for slow approvals. Providers need up-to-date proof of ID, address and business registration.

Mismatched details

If your application contains different information to what appears on your bank account or official registration, expect delays.

No online presence

If you plan to sell online but don’t yet have a trading website, some providers will reject your application or put it on hold.

High-risk metrics

Very high average order values, unusual transaction patterns or rapid changes in turnover may trigger a longer review.

Approval Times for International Businesses

If you're a UK business serving global customers, you may need a provider that handles international transactions. This often means extra checks.

Additional verification steps

You may be asked to demonstrate GDPR compliance, cross-border fraud prevention measures and secure site connections.

Longer timelines

Approval can take up to two weeks, especially if you’re working with multiple currencies or high-risk countries.

Increased fees

Providers may add extra costs for international transactions, foreign exchange conversions and delayed settlements.

Settlement delays

Cross-border payments sometimes take 3–5 working days longer to appear in your account.

Top international providers

Providers such as Worldpay, Stripe, PayPal and Global Payments offer multi-currency support and API access for global trading.

How Can You Speed Up the Process?

Here are practical steps to help you move through the approval process faster.

Prepare all documentation in advance

Gather everything upfront: photo ID, address proof, company registration, bank statements and a website link.

Double-check application accuracy

Ensure all business names, registration numbers and contact details match your official records.

Be responsive to follow-up queries

If your provider asks for more information, respond promptly. Delays often happen because applicants wait days before replying.

Avoid multiple applications

Sending applications to several providers at once might raise red flags. Stick to a shortlist and apply strategically.

What Happens After Approval?

Let’s break down the steps following successful approval.

Account setup

Your merchant account will be provisioned and linked to your business bank account. You’ll also receive access to your dashboard.

Payment system integration

You’ll be given logins for your virtual terminal or instructions to connect your card machine or online gateway.

Test transaction

Most providers require a small test transaction to verify the system is live and functioning.

Settlement timing

Once live, your funds will settle in your business account in 1 to 3 working days — or longer for cross-border sales.

Rolling reserve

In some cases, the provider will retain a portion of funds (e.g. 5–10%) temporarily to guard against chargebacks.

PCI guidance

Providers will usually support you through PCI compliance checks and setup, which are mandatory for handling cardholder data.

What If You’re Declined?

Let’s explore how to recover and move forward if your application is rejected.

Common reasons for rejection

These may include poor credit, a high-risk business model, previous chargebacks or incomplete documentation.

What to do next

Request written feedback from the provider and review what went wrong. Sometimes the fix is as simple as submitting updated documents.

Consider a high-risk specialist

Some companies work exclusively with businesses in regulated or sensitive sectors. They include Verotel, Zombaio and Instabill.

Don’t panic

Rejection isn’t final. If your application is declined, you can reapply elsewhere with stronger documentation or consider an aggregated provider while improving your trading history.

FAQs About Merchant Account Approval

Can I get approved without a business bank account?
No. Merchant accounts require a linked business account to deposit funds.

Do I need a website?
If you’re trading online, yes. Your provider will check that your site is secure, GDPR compliant and has clear refund terms.

Can sole traders apply?
Yes. You’ll need to submit personal ID, bank details and proof of trading activity.

What’s the difference between instant setup and full approval?
Some platforms let you start right away but still review your activity over time. A full approval means all checks are done upfront.

Can I switch providers later?
Yes, though some providers may charge an exit fee or require you to complete a minimum contract term.

Will I need a credit check?
Most providers do run soft or hard credit checks on directors and/or the business.

What if I have a new business with no transaction history?
You can still apply. Be ready to provide a sales forecast and a detailed business plan.

Next Steps

If your business takes card payments, you’ll need a merchant account. Approval time varies from one provider to another, but most UK businesses can get approved in under a week — if they’re prepared.

Your best bet? Compare multiple offers and see which provider suits your needs. Some will prioritise low cost. Others value speed or UK-based customer service.

With Expert Compare, you can match with trusted merchant account providers in less than 30 seconds. It’s fast, free and there’s no obligation to choose any quote.