Account Hold When the banks withhold some of the money from the merchant account is called Merchant holds. The merchant account remains active and the account holds money that acts as a deposit for doing business. Furthermore, in case of any fraudulent activity or chargeback issues, this money can be used. However, the Merchant Account is not standard practice for both banks and the merchant especially in the case of low-risk merchants . Account Freeze If the Merchant is suspected to be involved in a suspicious activity then the Merchant Account is subjected to freeze. During the freeze, the merchant is not allowed to make any transaction using that Merchant Account. Then the Bank investigates the issues and unfreezes the account if no solid evidence is found against the Merchant. The merchant should understand the reason behind the Account Freeze. This can help to avoid Merchant account hold or freeze in future . What Causes Merchant Account Hold or