merchant account Last modified: Wednesday, June 07, 2006
An industry term for a business banking relationship whereby you and a bank have arranged to accept credit card payments (usually, a local bank can suffice for this kind of relationship). Setting up a merchant account usually involves the bank understanding your business and working with a third-party processor to arrange a mechanism for accepting payments. Merchant accounts are usually required for accepting customer credit card and electronic payments through an electronic commerce Web site.
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