What is a Payment Processor?
A payment processor is a third-party service provider that facilitates electronic transactions between buyers and sellers, enabling the transfer of funds from the payer to the payee. Payment processors play a crucial role in the modern digital economy by securely processing various forms of payment, including credit card payments, debit card payments, bank transfers, and digital wallet transactions.
Geeky Takeaways:
- Payment processors verify the validity of payment credentials provided by the payer, such as credit card numbers or bank account details, to ensure that the transaction can proceed.
- Payment processors provide reporting tools and reconciliation services to help merchants track their transactions, reconcile payments, and manage their finances.
- Payment processors offer customer support services to assist merchants and consumers with payment-related inquiries, disputes, and technical issues.
Table of Content
- Working of a Payment Processor
- Top Payment Processing Companies in US
- What to Consider When Choosing a Payment Processor?
- Payment Processor – FAQs