What does a credit card processor do?

A Credit Card Processor is a company or service that handles credit and debit card transactions for businesses. They act as intermediaries between merchants, customers, card networks (like Visa or Mastercard), and banks to ensure payments are authorized, processed, and settled securely. Credit Card Processors provide the infrastructure and technology that allow businesses to accept card payments both in-person and online, helping to manage security, compliance, and funding. Their services also include fraud prevention, customer support, and sometimes additional tools like analytics or reporting. Choosing the right processor is crucial for smooth, cost-effective payment operations.