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How Payment Facilitation Works: An Overview for SaaS Providers

Exact Payments

There are several entities and technologies that interact in order to facilitate the transaction process, including: Payment processors Payment processors are service providers that operate as intermediaries between the customer’s bank and the merchant’s bank. This bank is known as the sponsoring bank.

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How Does Merchant Underwriting Work?

EBizCharge

This process is critical for payment processors, who must determine whether a business poses a high financial risk. The primary goal is to protect payment processors and merchants from financial losses associated with fraudulent activities or chargebacks. What steps are involved in the merchant underwriting process?

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The Fed’s crypto pivot: Unlocking banking access and its impact on payments

The Payments Association

One notable change is the removal of “reputational risk” as a consideration when evaluating applications for master accounts. Federal Reserve Chair Powell confirmed that regional reserve banks will no longer take reputational factors into account when deciding whether to grant access.