Payment service provider (PSP)

(Payment service provider is known in English as "Payment Service Provider (PSP)").

A payment service provider (PSP), also known as a "payment service provider," is a company that provides electronic payment processing services to online merchants and consumers.

Payment service provider

A payment service provider (PSP) is an essential component in the e-commerce ecosystem. It is a company that provides technical and financial infrastructure to facilitate payments between buyers and sellers. A PSP takes on the task of offering various payment methods, processing transactions, implementing security protocols, and often performing fraud checks.

One example of such a service provider is Payrexx. A PSP enables online merchants to accept credit cards, e-wallets and other payment methods without having to set up an extensive technical infrastructure themselves. PSPs specialize in simplifying the complexity of payment processing while ensuring that transactions run smoothly and sensitive data is protected.

PSPs also play an important role in the international expansion of companies, as they can support different currencies and payment methods. They often offer interfaces (APIs) that can be seamlessly integrated into e-commerce platforms.

Payment service provider examples

An online store uses the services of a PSP like Payrexx to offer customers a wide range of payment options, including credit cards and digital wallets.

A subscription service uses a PSP to process recurring payments from customers and automate the process.

A software company integrates the services of a PSP to securely and reliably process online purchases of their applications.

Payment service provider FAQ

  • A payment service provider (PSP) is of central importance in e-commerce. It enables secure and smooth payment transactions between buyers and sellers. PSPs offer a variety of payment options, process transactions, and facilitate international business.

  • The integration of a PSP into a sales platform is done through APIs. After partnering with the PSP, the API is integrated into the platform. Customers can then conveniently select payment methods while the PSP processes the transactions.

  • Using a PSP offers companies a variety of benefits. These include: Offering different payment methods, access to international markets, increased security of payment data, increased efficiency in the payment process and fraud prevention.

  • PSPs employ various security measures, such as data encryption, tokenization, fraud monitoring, and PCI-DSS compliance, to protect payment transactions and ensure the security of sensitive data.

  • Yes, most PSPs support international payments and multiple currencies. Companies can use PSPs to accept payments worldwide and convert currencies to facilitate international trade.