When merchants establish or open a merchant processing account, they are asked to predict their highest single transaction amount. This is known as a “High Ticket.” If the business is new, the merchant can give an estimate. However, if the merchant is an existing entity, previous sales receipt can be of great value. Accuracy is important in this situation, because the high ticket amount is used to set the purchase limit amount for a single sale.
If the sale amount is more than what the merchant expected, the sale can be denied at checkout. For instance, if a merchant expects the highest sales to be $1,000, and the sale is $1,050, this purchase will have placed the merchant over the expected $1,000 single purchase limit. Constantly over the limit amounts can trigger an investigation, where the merchant may be asked to provide financial history, as proof of the company’s financial stability.