Credit Card Processing Industry: How Much They Charge you?

The financial instrument which is known as credit card is part of an online internet payment. Credit card has network systems and structures that can do payment transactions without any appearance of fraud.

The credit card processing industry is executed and is a result of such settlement by the following:

  • Card providers: These card providers have logo and advertisements everywhere you go. These providers include Visa, MasterCard, American express, JCB, and others.
  • Card acquirer. Also known as merchant account services and credit card processing. The acquirer of credit card does process it and accepted in stores.
  • Card Issuers: They can be banks and financial institutions. They are the ones who issue credit card to every card holder. The release credit card may contain logos of the name of the card issuer or card provider.
  • Merchant account: The stores have gateways such as merchant accounts from a credit card processing industry. These are used by merchant stores to receive payments from costumers.


The credit card is used in every payment, online transactions and functions as a transporter of information. The information includes in every transactions are payments, exchange of money between card holder and the merchant account holder. That flow of information is conducted from the approval of the card issuer and credit card processing industry.

Credit card processing industry offers services to customers in different ways that each of them can be fully satisfied. Services that benefited a card holder include control over how much and when, money is sent which is similar to electronic cheques. This is the safest way to transact business than using the type of payments like cash and checks.

The credit card processing companies do the work of giving authority to any payment transactions made by the owner of the credit card like merchant accounts. As the card holder purchases a product or service, the credit card processing company charges directly from a bank account. In this transaction, the card holder pays the services for the processing. Payment is then made to any merchant once the transaction fee is deducted.

Master Card and Visa are the most well known credit card payment processing giants. They had firms who issue any depositor and who can use it in a merchant card machine conveniently. They have increases their business and services as the middleman of every payment transactions. The profit of these companies comes from merchants who needed these companies’ services to receive and transact payments for their customers.

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