It is a critical service on which many businesses rely these days. People rely on credit card processors to make sure that if they can accept credit and debit cards.

Credit card processors make sure that customers can easily check out by using their debit or credit cards. A number of operations are performed during this process to ensure the smooth flow of payments made with credit cards online, in person, or over a phone call. People can boost their business by giving their customers credit card payment facilities. To manage card-based sales you have to make sure all the processing is done accordingly and there will be no authorization delay.

How does it work?

Multiple operations are involved in the working of credit card processing. We have broken these operations into two steps for the better understanding. These steps are as given below:

Step-1:  Authorization of payments

During checkout when the cardholder swipes the card on the POS machine and provides the information then the merchant’s machine creates a link with the bank’s database and opens a payment gateway.

Before sending it to the payment processor machine encrypts the data of the customer and makes sure that all the information provided is authentic or not. When it is sent to the payment processor then it routes the information to the customer’s bank who has issued the card. The bank of the customers then verifies the customer’s identity whether they have sufficient funds in their account or not. An authorization message is sent back to the machine for the payment. This process is so fast that normally it takes a minute or two if the network is functioning properly.

Step-2: Settlement of Payment

In this step, when the transaction authorizes, the merchant’s POS machine sends the approval ticket to the processor for the reconciliation of the transaction. Then the processor deposits the transaction amount in the account of the merchant. The settlement typically takes a business day or two.

After the completion of the process, the amount is deducted from the customer’s account and debited to the merchant’s account. A sale invoice is then sent to the customer for verification.

Top Credit Card Processing Companies

We have compiled a list of top credit card processing companies. Have a look at it and choose your desired one accordingly. The list is given below:

Helcim: They provide fully transparent pricing and discounts on the volume of the customers accordingly. They help you to scale up your business in the modern world. They are in business since 2006 and they have covered a wide range of customers and merchants. From the credit card processors, they have become a financial technology company providing several other business solutions. Helcim is a PCI-DSS-compliant [i]service provider in America. It provides top-notch security features to its customers. Many business owners are using their services to accept the payments like:

  • Mastercard
  • Visa
  • Apple Pay
  • JCB
  • Google Pay
  • Pin Debit Cards
  • Discover
  • American Express

PayPal: It is the most popular company in the world and they are in business since 1998. It is a trusted name by many people around the world. Almost every store in America offers PayPal. They stand out because of their best services for the merchants with small businesses with a transactional volume of low tier. They have many PCI-compliant certifications so you can trust them. By having the services of PayPal, you can accept debit and credit cards of:

  • Mastercard[ii]
  • Visa
  • Discover
  • Venmo
  • PayPal Credit Cards

National Processing: It is a budget-friendly credit card processing company that provides you the low fees options. It was established in 2007 and became famous among small to medium businesses. They are reliable and their pricing is transparent to their customers. They provide the opportunity to small businesses to accept credit cards. They are PCI-compliant as well. They accept all payments forms like:

  • Mastercard
  • Visa
  • American Express
  • Discover
  • Electronic checks
  • Online payments

Square: They are established in 2009 and start accepting credit card payments for processing. They are a familiar and reputable company that aims to deliver quality services and fast payments processing. They are PCI-compliant and lead the industry with their technology and strong security protocols which include end-to-end encryption. They accept all major cards like:

  • Visa
  • Mastercard
  • Discover
  • American Express
  • Union Pay
  • JCB
  • Consumer Credit Cards
  • Prepaid Cards

Stripe: Stripe Provides the best services and features to online retailers. It was founded in 2009 and since then they are the top-rated online payment service provider. It is very flexible and very easy to integrate with your business. They provide a variety of customization of options with flat rates. They are the best payment gateway provider of e-commerce processors. They are PCI Level 1 service providers with numerous online security protocols. They accept all the major cards and digital payments methods like:

  • Visa
  • Mastercard
  • Visa Debit
  • JCB
  • Discover
  • American Express
  • Apple Pay
  • Google Pay
  • Visa Checkout
  • Microsoft Pay
  • Alipay
  • WeChat Pay
  • Amex Express Checkout
  • Masterpass
  • International Payment Options

Stax by Fattmerchant: It is a subscription-based service provider with no markup on the rates of interchange. They are perfect for people who have small volume businesses. They have launched their services in 2014 with an unusual name. The company’s model is to provide affordable services, various add-ons, and everything that your business may require. It is a level-1 PCI compliant company that provides end-to-end encryption protocol. They accept all famous credit cards like

  • Visa
  • American Express
  • Mastercard
  • Pin Debit
  • JCB Dining
  • EBT
  • Health Flex
  • Voyager
  • Wex

PaymentCloud: They are in business since 2016 and made their name in the market. They have come to the market with a diverse customer base and providing solutions for in-store and online business problems. They are now a reputable credit card processing company. They are providing competitive rates and services to those companies who have trouble qualifying for the services. They are PCI compliant and accepts all major cards like:

  • American Express
  • Visa
  • Union Pay
  • Apple Pay
  • Star
  • Discover
  • Mastercard

 

[i] https://pcivault.io/?gclid=CjwKCAjwh5qLBhALEiwAioodsw7wtBampZhgLS-hOztvHHOqkLo5Ysm9lpce9EyaQBPfCHM-rFS1aBoCuOEQAvD_BwE

 

[ii] https://www.mastercard.us/en-us.html