Definition Edit

A payment processor is a company (often a third party) appointed by a merchant to handle credit card transactions for merchant banks. They are usually broken down into two types: front-end and back-end.

  • A front-end payment processor has connections to various card associations and supplies authorization and settlement services to the merchant banks' merchants.
  • A back-end payment processor accepts settlements from front-end payment processors and, via the Federal Reserve Bank, transfer the money from the issuing bank to the merchant bank.

Ad blocker interference detected!

Wikia is a free-to-use site that makes money from advertising. We have a modified experience for viewers using ad blockers

Wikia is not accessible if you’ve made further modifications. Remove the custom ad blocker rule(s) and the page will load as expected.