Payment Service Provider

A Payment Service Provider (PSP) is a company that facilitates electronic payments for businesses and consumers. It acts as an intermediary, enabling merchants to accept various payment methods such as credit cards, debit cards, and digital wallets through online or in-store transactions. PSPs handle the complex process of securely transmitting payment information, verifying transactions, and transferring funds from the customer to the merchant. This simplifies payment acceptance, enhances security, and often provides additional features like fraud protection and reporting, making it easier for businesses of all sizes to process electronic payments efficiently.