Your doubts will be cleared by the experts of Merchant Services Broker Solutions. With a lead in the industry of top payment processors, the company explains starting with four parties’ classification.
- The customer
- The merchant
- The bank that issues the debit card or credit card to the customer and
- The acquiring bank receives money from the customer's issuing bank.
Payment Processor
The transaction execution is carried on by the payment processor by transmitting the data between the merchant, you, acquiring bank and the issuing bank. The work of the payment processor is to provide the machines that involve credit and debit cards along with other related equipment that is needed to use the payments done through credit card. If you want your business to accept a credit card, then you need to set up with a merchant service provider. There are many best payment processors companies in the market, but one must make sure about its authenticity and services before finalizing the deal.
Payment Gateway
A tool that helps in transmitting the online payment with absolute security to the transaction cycle is called the Payment Gateway. It is mostly used for eCommerce business and can term as online POS terminals. Just like the payment processor companies in the market, the business owners are also given an option for online merchant account providers. The difference between both the Payment Gateway and Payment Processor is one communicates the decline or approval of transactions while the latter one aids in the transaction process.
