A payment processor coordinates the handling of customer payments through the relevant payment arrangements. Providers often combine processing with checkout, reporting, dispute tools and payouts.
Follow the transaction stages A payment can pass through authentication, authorisation, capture and settlement before funds reach the business. The exact flow depends on the method and integration. One successful stage does not automatically prove completion of all the others.
A practical example A store records a paid order today, while the processor includes the available amount in a later payout together with other sales, fees and refunds. The net bank deposit will not necessarily equal that order's price.
What the merchant should compare Review eligibility, supported methods, total fees, payout timing, reserves, support and reconciliation tools. Confirm the provider accepts the actual company and activity before promising customers a payment option.
The processor is different from the business bank account, even where their products look similar in a dashboard. Understand who supplies each service, how funds are protected and which terms determine access.
Sources and scope
General information, not advice for your individual legal or tax position. Confirm current requirements with the relevant authority or provider.