What are Merchant Services?

Merchant Services, or better known as credit card processing is the handling of electronic payment transactions for merchants. Merchant processing activities involve obtaining sales information from the merchant, receiving authorization for the transaction, collecting funds from the bank which issued the credit card, and sending payment to the merchant.

Merchant Services: Payment Processing

Debit and Credit Cards – The merchant services is most typically associated with transactions that are paid for with a credit or debit card.

ACH – Automated Clearing House (ACH) transactions, also referred to as Electronic Funds Transfer (EFT), enable customers to make a payment from their checking account without needing to write a physical check or use a debit card.

Gift Cards – Offering your customers the opportunity to purchase items with gift cards is a good way to encourage higher sales.

Check Guarantee – Accepting checks provides consumers with an easy payment method, but it also increases a company’s risk of dealing with fraud.

Electronic Benefits Transfer – Eligible individuals can receive access to funding via an electronic benefits transfer (EBT) program. This option is more commonly referred to as food stamps, but the EBT card can also be used to purchase non-food items in some instances.

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