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Understanding Credit Card Processing Fees for Merchants: How Much Does Processing Credit Cards Cost?

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Payment Gateway: A service provider that facilitates communication between the merchant’s POS system and the acquiring bank’s payment processing system. This request contains crucial information such as the card number, transaction amount, and merchant details. Card Network (e.g., These can add up.

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Everything You Need To Know about Merchant Processing and How To Choose the Right Solution for Your Needs

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The merchant sends this payment information to the acquiring bank, i.e., the bank where the merchant wants to receive the payment. The bank forwards this information to the relevant credit card company. This information transfer is facilitated through a payment processor.