The Ultimate Battle: Authorize.net vs NMI for High Risk Businesses In 2023

What Is Authorize.net

Authorize.net is a popular payment gateway service that allows businesses to accept credit card and electronic check payments online and in person. It is a subsidiary of Visa and has been in operation for over 20 years. Authorize.net offers a range of features, such as recurring billing, fraud detection, and PCI compliance.

What Is NMI

NMI, or Network Merchants, Inc., is a payment gateway service that enables businesses to accept credit card and electronic check payments. It is a privately held company and has been in operation for over 15 years. NMI offers similar features to Authorize.net, such as recurring billing and fraud detection, but also includes additional business options, such as the ability to process payments using multiple currencies.

This blog post compares and contrasts the payment processing capabilities, security features, integration options, and customer support and resources of Authorize.net and NMI. By providing an in-depth comparison of these two popular payment gateway services, businesses can decide which service best suits their needs.

We will compare both payment gateways and discuss each service’s pros and cons. We will also provide recommendations for businesses choosing between Authorize.net and NMI. Additionally, you will understand which one is best for you and why.

Comparison of Authorize.net and NMI

Payment Processing Capabilities

Types of Payments Accepted

• Authorize.net Accepts credit cards, electronic checks, and e-checks.
• NMI Accepts credit cards, electronic checks, e-checks, and ACH payments.

Transaction Fees

• Authorize.net Offers different pricing plans, including a merchant account option and a pay-as-you-go option. The pay-as-you-go option charges a 2.9% + 30 cents per transaction fee.
• NMI Offers a pay-as-you-go option with a 2.9% + 30 cents per transaction fee.

Recurring Billing

• Authorize.net Offers recurring billing options for businesses that need to charge customers regularly.
• NMI offers recurring billing options with the ability to set up custom billing schedules.

Mobile Payment

• Authorize.net has a mobile payment solution, Authorize.net Mobile, that allows businesses to process transactions via mobile devices.
• NMI doesn’t have a mobile payment solution but can be integrated with mobile apps via API.

Level 2 and Level 3 Processing

• Authorize.net allows Level 2 and Level 3 processing, which allows businesses to process more detailed transaction information and get lower interchange rates.
• NMI doesn’t provide this feature

Security Features

PCI Compliance

• Authorize.net and NMI both Comply with PCI DSS standards to ensure the security of sensitive customer information and offers a PCI Self-Assessment Questionnaire to help businesses achieve compliance.

Fraud Detection and Prevention

• Authorize.net and NMI both Offer advanced fraud detection tools such as address verification service (AVS) and card code verification (CVV2). They also have a fraud prevention team that monitors transactions in real time.

Virtual Terminal

• Both Authorize.net and NMI offer a virtual terminal, a web-based interface that allows businesses to process transactions manually.

Integration Options

Supported Shopping Carts and Platforms

• Both Authorize.net and NMI integrate with many eCommerce platforms and shopping carts, including popular options like Shopify, Magento, and WooCommerce.

API documentation and support

• Authorize.net provides extensive API documentation and support for developers to integrate the service into their platforms and applications.
• NMI provides extensive API documentation and support for developers to integrate the service into their platforms and applications.

Customizable checkout pages

• Authorize.net offers customizable checkout pages tailored to match a business’s branding and website.
• NMI doesn’t provide this feature but can be integrated with third-party checkout pages.

Customer Support and Resources

• Both Authorize.net and NMI offer 24/7 customer support and a range of resources such as tutorials, FAQs, a knowledge base, and a community forum.

Authorize.net vs NMI: both are competitive in terms of payment processing capabilities, security features, integration options, and customer support and resources. They offer similar features and pricing, but NMI has the advantage of accepting ACH payments and multiple currencies. Businesses should carefully evaluate their specific needs and compare these services’ features to determine which is the best fit for their business.

Authorize.net vs NMI For High Risk Businesses

When it comes to high risk businesses, both Authorize.net and NMI have specific features that make them a better fit depending on the needs of the business.

Fraud Prevention

• Authorize.net offers a specialized high-risk merchant account option that includes additional fraud prevention tools and chargeback management.
• NMI has a dedicated team of fraud prevention experts that monitor transactions in real-time and can assist high-risk businesses in identifying and preventing fraud.

Transaction Processing

• Authorize.net also offers a virtual terminal for businesses that need to process transactions manually.
• NMI also offers a virtual terminal for businesses that process transactions manually.

Payment processing capabilities

High-risk businesses may have specific processing requirements, such as the ability to accept payments in multiple currencies or alternative payment methods. Authorize.net vs NMI both have different capabilities in this area, so businesses should carefully evaluate which service best meets their needs.

Compliance

High-risk businesses may have additional compliance requirements, such as industry-specific regulations. Both Authorize.net and NMI are PCI compliant, but businesses should also check if they meet other specific compliance requirements.

Underwriting

High-risk businesses may need help getting approved for a merchant account. Both Authorize.net and NMI have dedicated high-risk merchant account options, but businesses should check if they meet the underwriting criteria.

Ultimately, the decision between Authorize.net and NMI for a high-risk business will depend on the business’s specific needs. Both services offer specialized features and support for high-risk businesses. Still, businesses should carefully evaluate which service best meets their needs regarding fraud prevention, chargeback management, and other related features.

By considering all of these factors, high-risk businesses can make an informed decision on which service, Authorize.net or NMI, best meets their needs.

Authorize.net vs NMI Pros and Cons 

Authorize.net Pros:

• Established brand and reputation in the payment processing industry
• Wide range of integrations with popular eCommerce platforms and shopping carts
• Advanced fraud detection tools such as AVS and CVV2
• Allows Level 2 and Level 3 processing, which allows businesses to process more detailed transaction information and get lower interchange rates
• Offers a mobile payment solution, Authorize.net Mobile
• 24/7 customer support and a range of resources such as tutorials, FAQs, and a community forum

Authorize.net Cons:

• Higher fees for some pricing plans compared to other payment gateway services.
• Limited options for businesses that need to accept payments in multiple currencies

NMI Pros:

• Competitive pricing with a pay-as-you-go option of 2.9% + 30 cents per transaction
• Advanced fraud detection tools such as AVS and CVV2 and real-time monitoring by the fraud prevention team
• 24/7 customer support and a range of resources such as tutorials, FAQs, and a knowledge base
• Accepts ACH payments and multiple currencies

NMI Cons:

• Less established brand compared to Authorize.net
• Doesn’t have customizable checkout pages
• Doesn’t allow Level 2 and Level 3 processing
• Doesn’t have a mobile payment solution specifically

Both Authorize.net and NMI have their own set of pros and cons, depending on the business’s specific needs. Authorize.net offers a wide range of integrations but is limited in accepting payments in multiple currencies, while NMI is more flexible in this area but is a less established brand. Businesses should consider their specific needs and weigh each service’s pros and cons before deciding.

Authorize.net vs NMI: Who Is The Winner?

In this blog post, we compared and contrasted the payment processing capabilities, security features, integration options, and customer support and resources of Authorize.net and NMI. Both Authorize.net and NMI offer advanced features such as recurring billing, fraud detection, and PCI compliance, but NMI has the advantage of accepting ACH payments and multiple currencies.

Authorize.net vs NMI when choosing between them, businesses should consider their specific needs and weigh the pros and cons of each service. NMI will be better if you need to accept payments in multiple currencies or ACH payments. If you value a wide range of integrations, features, a powerful gateway, and an established reputation, Authorize.net might be a better choice.