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Upfront Reserve

In this situation, the processor will ask for a reserve upfront, usually based on a % of your applied for monthly volume, and they will require this amount either paid upfront via 1) an ACH from your checking account or 2) withholding 100% of your sales volume until the reserve has been met. As an example, a merchant may apply for $20,000/month in sales, and a 10% reserve which is $2,000 may be requested, which would be held back 100% from your initial sales or debited from your checking account.

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