A charter company’s client might need to book an aircraft with only a few hours’ notice, might need to approve a five-figure itinerary booked from another country, and might need to change the charter company’s route before the charter aircraft depart.
Such an instance requires the charter company to have a payment system that can authorize these transactions quickly without suspecting every transaction that includes a high ticket price for charter flights.
The charter industry’s requirements are somewhat different from the ordinary service business. The air charter merchant account must be configured to process large transactions, deposits, cards, ACH transactions, and wires from international clients and airlines, and to require refunds for clients who need to cancel flights. Given the high costs of charter flights, the best option for charter companies is to use a high-risk merchant account rather than a standard small business account setup.
Why Air Charter Payments Are High Risk
Factors like high average tickets sold, a significant portion of sales that are not made with a card present, sales of future flights, changes to flights, international customers and the potential for large refunds are all considered by payment underwriters in the private aviation industry. A single disputed flight creates more risk than dozens or hundreds of flights sold to the general public.
The distinction between the flight operator and the broker must also be made. The Federal Aviation Administration (FAA) requires authorization for charter flights to be conducted under 14 CFR Part 135. Additionally, federal regulations require that air charter brokers disclose information about the flights that they broker, such as the direct carrier of the flight, the role of the broker and the total cost of the flight prior to entering into a contract with a customer. These regulations make licensing requirements, contract and responsibility for the flights relevant for payment processing companies.
Which Aviation Businesses Need a High-Risk Merchant Account?
Companies that may need specialized processing include those that operate under Part 135, charter brokers, jet cards and memberships, aircraft management companies that receive charters, and helicopter charter and concierge companies.
Companies that accept five-figure payments, take payments before the flight, take bookings over the phone or via links, accept international customers, or have encountered account limits with major payment companies may require more specialized processing to accommodate their payments and high transaction volumes. The nature of the company itself (whether it owns the aircraft, plans the flight, etc.) will also factor into how its accounts and business are structured.
Choosing the Right Payment Method for Charter Bookings
Private aviation businesses rarely benefit from sending every transaction through the same payment method. The right mix depends on the customer, booking speed, transaction value and amount of time before departure.
| Payment Method | Best Fit | Operational Advantage | Main Consideration |
|---|---|---|---|
| Credit or debit card | Last-minute bookings and clients prioritizing convenience | Fast authorization and familiar checkout | Percentage-based costs and greater dispute exposure |
| ACH debit or credit | Corporate clients, advance bookings and large domestic invoices | Better fit for high-value B2B payments and reconciliation | Requires authorization, account validation and return controls |
| Wire transfer | Very large, urgent or international payments | Direct bank-to-bank settlement and clear payment instructions | Manual verification and potential fraud from altered instructions |
| Deposit plus final payment | Trips booked well before departure | Limits the amount collected at once and supports staged cash flow | Terms must clearly explain due dates and cancellation treatment |
| Secure payment link | Remote or concierge-assisted bookings | Lets the client enter payment details without sharing them by email | Link security, authentication and gateway compatibility matter |
| Virtual terminal | Phone-assisted bookings | Useful when a trained employee must enter a client-authorized payment | Keyed transactions need tighter access and verification controls |
ACH is particularly relevant for corporate and repeat charter clients. NACHA recorded 8.08 billion B2B ACH payments worth $63.11 trillion in 2025, with payment volume increasing 9.9% from the prior year. ACH is not instant or risk-free, but it can reduce dependence on percentage-based card acceptance for larger domestic invoices.
Key Features of an Air Charter Merchant Account
High Maximum Tickets and Monthly Volume
The merchant account processor should approve tickets and monthly volumes that represent the charter company’s typical and peak months. Processing tickets that are much higher than the approved ticket or monthly volume for a merchant account can lead to review by the merchant account provider, delayed funding of company deposits, or the request for additional documentation to approve such high ticket or monthly volumes. Most air charter companies will need to notify their provider of upcoming increases in ticket sales or monthly volumes due to seasonal increases in charter operations, purchases of additional charter aircraft, or other changes to the company’s operations.
Deposits, Final Balances and Refunds
The payment processing solution should allow a charter company to link deposits, final balances, and refunds to customers and charter itineraries. The company should be able to determine the charges for a customer on a specific charter trip, the final balance for that trip, and the reason for any refunds. Charter brokers are required to refund customers for charter transportation that cannot be performed or for any other reasons specified in federal regulations for charter companies. This regulation provides for separate time frames for refunding cash and check purchases from charter companies.
ACH and Wire Verification
As with all large bank payments, there are requirements for the authorization of ACH payments and wires. ACH payment authorizations should match the type of transaction the charter company will make. Additionally, the account information for the charter company should be verified if it is required for the transaction. Finally, the company should be able to verify any wire instructions with the company through an established and recognized communication method.
Wires should never be changed based on an unverified, often erroneous email request from a third party. The callback procedures will ensure that both the air charter company and its clients are protected against invoice redirection and business email compromise.
Secure Remote and Phone Payments
As most charter company sales and bookings occur outside the main office, the merchant account solution should support secure links, hosted pages, or virtual terminals to accommodate bookings made away from the main office. Authorize.net, for example, offers solutions for virtual terminals, invoicing, ACH payments, recurring billing, and fraud screening. However, these solutions are only available with certain merchant accounts. Additionally, they are only available depending upon the setup of the merchant account and its processors. While a payment gateway will allow for the transaction to occur, it will not replace the merchant account itself.
Cardholder Authentication and Fraud Controls
For transactions involving high credit and debit card charges, there should be additional authentication measures beyond standard address verification. These measures may involve the use of the customer’s CVV number, address, device, IP address, and the identity of the customer who is purchasing the airline tickets. Additionally, the EMV 3-D Secure protocol allows information to be exchanged among the air charter company, the customer’s bank, and the customer to authenticate the customer’s purchase of charter flights without using the card. The system will not prevent the customer from making the purchase, but it will allow the customer’s bank to determine whether the purchase is authorized.
Booking, Accounting and Reconciliation Data
The merchant account software should generate data for the booking, such as the invoice or itinerary number, the customer information, and a description of the transaction. Such data will help the company reconcile all of its transactions during a given period. Payments Nerds offers jet charter solutions for high-value customers, including credit and debit cards, ACH, wire, remote bookings and payments, and accounting and custom software integrations. All of the company’s solutions are based upon the capabilities of the merchant account and its processors. Thus, the requirements for integration with the accounting and booking software must be determined before the merchant account is approved.
What Merchant Account Underwriters Look For
An underwriter needs to understand both the financial exposure and who is responsible for delivering the flight. A charter application may require standard ownership and banking records along with documents that explain the aviation business model.
Common requests may include:
- business formation records and owner identification
- recent bank and processing statements
- projected monthly volume and maximum ticket
- sample invoices and charter agreements
- cancellation and refund policies
- website and booking-flow access
- FAA or other applicable operating documentation
- broker disclosures and direct-carrier relationships
- fulfillment timelines
- chargeback and refund history
- supplier, operator or aircraft-management agreements
The information should match across the application, bank account, website and contracts. Describing the company as an operator in one place and a broker in another can slow underwriting because the processor cannot determine who delivers the service or carries the financial obligation.
How Visa VAMP Impacts Air Charter Payments
The Visa Acquirer Monitoring Program (VAMP) collects both fraud and non-fraud chargeback reports from merchants within Visa’s network and monitors their enumeration rates (the number of attempts to automatically test payment cards).
For merchants within the United States, Canada, the European Union, and Asia-Pacific, Visa publishes an “Excessive Merchant” threshold for VAMP of a ratio of 150 basis points (1.5%) or 1,500 fraud and dispute chargebacks per month. This threshold began on April 1, 2026, for these regions. While most charter companies will not reach the fraud and dispute threshold, their payment processor may have a higher one. Additionally, one high-value chargeback can still significantly impact the company’s finances.
Charter companies can avoid many chargebacks by using easily recognizable billing codes on all tickets, requiring proof of approval of the flight itinerary, requiring all instances of changes to that itinerary to be approved by the company, requiring the airline to include terms for the cancellation of the ticket prior to payment, and by maintaining records of the individual who approved the flight itinerary. Providing great customer service may also prevent chargebacks from occurring altogether.
Choosing the Right Merchant Account for Air Charter Businesses
Different payment structures fit different stages of a private aviation business.
| Account Model | Best Fit | Strength | Tradeoff |
| Specialized dedicated merchant account | Established charter operators and brokers with regular high-ticket volume | Underwriting can reflect real ticket sizes, channels and future-delivery exposure | More documentation and potentially more restrictive terms |
| Standard payment facilitator | New or low-volume businesses with smaller, simpler transactions | Faster onboarding and straightforward tools | Account limits or risk policies may not fit charter growth |
| Enterprise acquiring setup | Large fleets, global platforms and complex multi-entity operations | Greater control over regions, currencies, reporting and risk | Longer implementation and more technical requirements |
| ACH- and wire-led setup with card backup | Corporate-heavy charter businesses | Reduces the share of large invoices processed by card | Less convenient for some last-minute or consumer bookings |
Payment Nerds may be a practical option for eligible operators and brokers who need charter merchant services aligned with high-ticket, deposits, ACH, wires, remote payments, and chargeback exposure. Approval, pricing, reserves, gateways, and funding terms depend on underwriting rather than on the industry name alone.
Understanding Air Charter Payment Processing Costs
Pricing for each charter company’s credit card is only one part of the costs of operating such a company. The company will want to request a complete cost breakdown from each proposed credit card company prior to signing any agreements. Such a breakdown will include costs for interchange fees, processor markups, gateway costs, monthly fees, ACH fees, international fees, chargeback fees, PCI fees and minimums and terms.
Additionally, many high-risk companies are required to establish a rolling reserve with their credit card company. Such a reserve is not a transaction cost for the charter company, but it will impact the working capital available to them. Any charter company will want to review the terms of such a reserve in relation to their existing costs for fuel, crew, operators and airport payments before they accept the credit card company’s offer.
Common Air Charter Payment Processing Mistakes
A technically functional payment system can still become unstable when the operating process does not match the underwriting.
Common problems include:
- submitting projected ticket sizes that are lower than actual bookings
- collecting payments under a descriptor clients do not recognize
- failing to distinguish the broker from the operating carrier
- accepting card details through unsecured email or text
- changing wire instructions without independent verification
- using vague cancellation language for weather or itinerary changes
- processing sudden volume increases without notifying the provider
- keeping weak records of who approved the flight and final price
The best prevention is consistency. The processor, client agreement, payment page, accounting record and aviation documentation should all describe the same transaction and responsible business entity.
FAQs
Q: Why are jet charter companies considered high risk for payment processing?
A: Due to the nature of jet charter companies, which require high ticket prices, advance payments, card-not-present sales, cancellations, and international customers.
Q: What is an air charter merchant account?
A: An air charter merchant account is a merchant account that is configured to accept payments for air charters. This account can accept all of the same types of payments as a standard merchant account with higher ticket limits for air charters.
Q: Can a charter company use a standard payment app?
A: While some companies may be able to use a standard payment app, it is essential that the account and its policies match the charter company’s booking policy. Furthermore, large ticket sizes may require a dedicated app approved by the merchant account provider for those sizes.
Q: Is ACH better than cards for private aviation?
A: ACH may be better for domestic aviation company invoices as the acceptance of cards within these domestic tickets does not rely on the percentage of sales that the company can accept with card payments. However, card acceptance may be better for customer convenience and for bookings the customer requires to use card-based benefits.
Q: What documents are needed for a charter company merchant account?
A: Merchant accounts for charter companies require business and bank operating documents, business contracts, refund policies, and documents related to the charter company and its operators.
Q: Can a charter company accept international cards?
A: International charter company cards may be accepted based on the capabilities of the merchant account and payment gateway. Additionally, international cards may require additional review for authorization.
Q: How can charter companies prevent chargebacks?
A: Companies can prevent chargebacks by having contracts in place between the charter company and the customer with specific travel itineraries that are approved in writing and with the agreement of the charter company. Furthermore, fraud and authentication software can prevent chargebacks resulting from unauthorized card use, while good customer service can prevent chargebacks due to travel confusion.
Q: Does a high-risk merchant account always require a reserve?
A: No. Merchant accounts that take flight and travel tickets are high risk but may require a reserve based on the size of ticket sales, customers’ requirement to make advance payments for flights, the company’s financial condition, and other factors reviewed during the merchant account application.
Q: Does PCI DSS apply to private aviation companies?
A: PCI DSS applies to all companies that deal with payment and card information. However, there are methods to reduce this requirement for private aviation companies by using hosted pages and limiting staff access to sensitive payment information. However, companies will have to review their obligations to meet this security standard with their merchant account provider.
Build a Better Air Charter Payment Strategy
There are several suitable options for how a charter company can accept payments from its customers. These options should reflect the company’s charter-booking values, the number of days’ deposits required, the company’s aviation and operational responsibilities, the international flights it will offer, and the number of advance payments it will accept from charter clients.
Rather than attempting to route every charter booking through a credit card, there are several payment options that can be accepted and still route to the same booking and management process for the charter company.
Sources
- Federal Aviation Administration. “14 CFR Part 135 Air Carrier and Operator Certification.” Accessed July 2026.
- Electronic Code of Federal Regulations. “14 CFR 295.24: Disclosures.” Accessed July 2026.
- Electronic Code of Federal Regulations. “14 CFR 295.26: Refunds.” Accessed July 2026.
- Nacha. “Business-to-Business (B2B).” Accessed July 2026.
- Visa. “Visa Acquirer Monitoring Program Overview.” Accessed July 2026.
- Visa. “Visa Secure With EMV 3-D Secure.” Accessed July 2026.
- PCI Security Standards Council. “PCI Security Standards Overview.” Accessed July 2026.
- Authorize.net. “Accept Credit Card Payments Online, In Person and by Phone.” Accessed July 2026.
