If you own a gun store or any firearms related business, you already know the truth that most processors will not say out loud:

Firearms businesses get shut down all the time, even when they are fully legal and compliant.

It can happen to a gun store that has been in business for ten years. It can happen to a brand-new FFL that just got approved. It can even happen to a range, a training company, or a shop that sells mostly accessories.



For many firearms dealers, the first sign of trouble is sudden.

Funds get held. Deposits stop. The provider asks questions they never asked before. Then the termination notice arrives.

And if you are using Stripe, Square, PayPal, or Shopify Payments, the shutdown can happen instantly without warning.

The good news is this.

Most merchant account shutdowns are preventable.

This article will explain the real reasons gun stores get shut down and the steps you can take to keep your business processing safely and compliantly.

The Real Reasons Gun Stores Get Shut Down

The payment world treats firearms as high risk. High risk does not mean illegal. It means the bank sees higher potential for disputes, policy sensitivity, and reputation risk.

Here are the most common shutdown triggers.

1. Incorrect Merchant Classification

This is one of the biggest causes of shutdowns.

If your business is classified incorrectly at the start, the account may be approved.

But later, once the provider reviews your website, your product descriptions, or your transaction details, the mismatch gets flagged.

Then the account gets shut down.

This happens when a sales rep tries to force you into a category like sporting goods to make approval easy.

That is a shortcut that often leads to termination.

2. Processor Policy Conflicts

Some providers simply do not support firearms, even if the bank could.

They may approve you at first, but once your activity is detected, they terminate you due to internal policy.

This is common with payment facilitators.

3. Underwriting Was Never Done Properly

Some processors do not fully underwrite accounts at the beginning.

They approve quickly and review later.

If they discover you sell firearms, ammo, magazines, or certain accessories, they can shut you down even if you disclosed it.

A true firearms friendly merchant account is underwritten correctly from day one.

4. High Chargeback Rates

Chargebacks are one of the fastest ways to trigger shutdowns.

A gun store may have great customers and still get chargebacks from:

• buyers remorse
• spouses who did not know about the purchase
• delayed fulfillment on special orders
• deposit disputes
• fraud on online orders

Banks and processors monitor chargeback ratios closely.

If you exceed thresholds, your account can be labeled high risk or terminated.

5. Fraud, Especially for Online Orders

Online firearm accessory sales and ammo sales can trigger fraud monitoring.

The store is not at fault, but fraud can still cause a provider to pull back.

That is why firearms ecommerce requires fraud tools and correct underwriting.

6. Restricted Products

Some processors shut down accounts for selling products they consider restricted.

Examples can include:

• high capacity magazines
• certain firearm parts
• certain optics
• certain types of ammo
• NFA related items
• armor

Whether or not those products are legal, the processor’s policies may still block them.

This is another reason why you need a partner that understands firearms commerce.

7. Incomplete Website Policies

This is a big one for ecommerce.

Many processors require:

• refund policy
• shipping policy
• privacy policy
• terms and conditions
• contact information
• clear product descriptions

If these are missing, underwriting may deny you or shut you down later.

Warning Signs You Might Get Shut Down Soon

If you see these signs, your account is at risk.

• Your deposits suddenly slow down
• You receive vague compliance emails
• You are asked for invoices or receipts
• Your processor asks you to update business descriptions
• You have sudden rolling reserves
• Your account is labeled high risk without explanation
• Your provider will not answer questions directly

These signs usually mean the processor is reviewing you.

That is the moment to act, before deposits get frozen.

How to Prevent Merchant Account Shutdowns

Here is how firearms dealers stay protected.

Step 1. Make Sure Your Account Was Underwritten Correctly

The safest setup is one where underwriting is done up front and firearms activity is fully disclosed.

If you were approved instantly with no underwriting conversation, you may want a review.

Step 2. Confirm Your Business Classification

You should know:

• what category your business is coded as
• what the bank believes you sell
• whether firearms are explicitly included

A firearms friendly processor will explain this clearly.

Step 3. Use Fraud and Chargeback Protection

At minimum, firearm ecommerce should use:

• AVS verification
• CVV verification
• velocity controls
• suspicious transaction review
• chargeback alerts

Chargebacks kill accounts. Prevention keeps you processing.

Step 4. Post Clear Policies on Your Website

If you sell online, this is non-negotiable.

Clear policies reduce disputes and improve underwriting confidence.

Step 5. Document Deposits and Special Orders

Many disputes happen with special orders.

Always provide:

• a signed receipt
• a written explanation of timelines
• clear refund rules
• documentation that the customer agreed

Why EPIC Merchant Systems Helps Dealers Stay Approved

EPIC Merchant Systems exists because too many American businesses are treated like numbers.

Gun stores and Second Amendment businesses are targeted even more.

We take a different approach.

• we underwrite firearms accounts correctly
• we classify you properly
• we help you stay compliant
• we provide real personal service
• we stand with pro 2A businesses

We believe in God, family, and country.

And we believe legal firearms businesses deserve to operate without being punished for what they sell.

If you are worried about a shutdown or you are already dealing with one, reach out.

We will review your setup and help you build a stable processing foundation.

Talk to Steve directly and get an FFL merchant account set up the right way.

ACTIVATE YOUR EPIC ACCOUNT HERE