masthead accept credit cards

What Is A Third Party Credit Card Processor?

Credit Card Processing Blog
Comparison Page
Direct comparison of Internet-based credit card processing services
Online Credit Card Processing Tips
What is an Internet merchant account?
What is a third party credit card processor?
Online Merchant Account or an Online Credit Card Payment Processing Service?
How Does Internet Credit Card Processing Work?
Credit Card Processing Decision
What Is Internet Credit Card Payment Processing?
Need To Take Credit Card Payments Via Telephone?
Credit Card Pre-Authorization Info
Third Party Processors Homepage

What is a third party credit card processor?

A 'third party credit card processor' is a company that can accept credit card orders on behalf of you or your company. This makes obtaining a merchant account for your company unnecessary, although it could be worthwhile if you sell enough goods to warrant the expense involved.

The cost of a regular merchant account has fallen since this site was created, so consider carefully if you need a third party credit cards processor or can get your own Internet-specific merchant account.

Third Party credit card processor companies own merchant accounts with the additional rights to use that merchant account to accept credit card orders on behalf of other companies.

Generally it is illegal to obtain a merchant account for your company and then sell another companies goods through your account. As I mentioned, additional rights have to be bought to enable a company to accept credit card orders for another company or individual. The third party will have to levy fees to cover not only the cost of processing the transaction, but also their own costs, so they are more expensive on a per-transaction basis than having your own Internet-based merchant account to process credit cards. On the other hand, using a third party processor is a lot less hassle initially and could help you test your market quickly and cheaply.

This article by Neil Shearing, executive author, 3rd Party Processors.

neil shearing, 3rd party processors author

Feedback, comments? Please use our support services website Please note that we do not offer credit card processing services. For a list of sites that do, please see this page

You don't need a Merchant Account to Accept Credit Cards on the Internet!

By using this site you agree that you've read and will abide by our terms and conditions of site usage. Also available is our privacy policy

Important Site Usage Terms. If you can't see the graphic please visit

Scamfree Ltd is registered under the Data Protection Act (1998) in the UK.