In this article, we’re explaining what acquirer means in the context of charging credit cards through offshore and international businesses engaged in e-commerce.
This will include a look at the role of an acquirer, how they help clients, and alternative options that business owners can consider instead. We will also be answering some common questions we receive about acquirers from our members.
Feel free to use the table of contents to jump ahead to the sections most relevant to you.
Table of Contents
- Acquirer Means
- Merchant Acquirer for Electronic Payments
- Frequently Asked Questions
- Do You Want Help Opening Bank Accounts?
Acquirer Means
Acquirer means a financial institution that offers credit card processing to commercial clients. Acquirers offer these services directly to their existing client base, clearing their credit card transactions through major credit card networks like Visa and Mastercard.
That said, while a direct relationship with merchant acquirers used to be necessary, the world of payment processing has changed through the introduction of digital and fintech platforms. New processing alternatives have provided businesses with a faster (and less bureaucratic) way to start processing payments. This is especially true for online and digital businesses that do not require physical payment terminals (POS machines) to process payments.
With this in mind, if you are in search of credit card processing and you have an online business, you should look into the wide range of available options before deciding which one is best for your business.
Do You Want Our Free Non-Resident Banking Guide?
Sign up here to receive our Free Non-Resident Banking Starter Guide and weekly updates on the best account opening options available:
Merchant Acquirer for Electronic Payments
Merchant acquirer for electronic payments refers to a bank or other large financial institution that provides credit card processing services to their commercial banking customers. In essence, merchant acquirers act as intermediaries between their customers and credit card networks like Visa and Mastercard.
Merchant acquirers benefit from this relationship as they’re able to centrally facilitate all of the financial services their commercial clients require.
Likewise, credit card networks benefit as they are able to offload the administrative requirements of onboarding individual clients and they can automatically reach a wider network of clientele through a bank’s existing client base.
Lastly, merchants benefit as they can more easily navigate the onboarding process for credit card processing services with the help of their existing banking relationships.
Frequently Asked Questions
Below are a few of the most common questions we receive from people looking into what acquirer means in banking. If you have further questions you would like to ask our team, don’t hesitate to get in touch.
What Is an Acquirer Example?
An example of an acquirer in payment processing and financial services is a large financial institution like Chase, Bank of America, and Wells Fargo as well as large financial services companies like Worldpay, Vantiv and Fiserv.
What Is Meant By Acquirer in Banking?
In banking, acquirer refers to financial institutions that provide credit card processing services to their customers. These customers are referred to as merchants and are typically larger commercial clients of banks. In short, the acquirer is an intermediary between their customers requiring payment processing and the credit card networks.
What Is the Role of an Acquirer?
The role of an acquirer is that of the financial institution that provides access to payment processing, more specifically credit card processing, to individual merchants. Merchants either deal directly with the acquirer or they may deal with an independent sales organization ISO.
Do You Want Help Opening Bank Accounts?
If so, you can access GlobalBanks Insider and start the process of applying for an offshore account in a few clicks.
GlobalBanks Insider is a dedicated account opening solution that involves direct support from our team and direct introductions to the banks of your choosing. It gives you instant access to the…
+ Direct support from a team of banking experts
+ Direct introductions to your desired banks
+ Answers to your most pressing questions and challenges
+ Expert insights on which banks to choose & why
+ Plus, FULL access to our entire suite of account opening tools and intelligence!
And “yes!” GlobalBanks Insider is designed to help foreign and non-resident individuals and companies open bank accounts.
You can learn more on the Products page on our website.
