Payment service provider

Short description: Company that assists business to accept payment methods

A payment service provider (PSP) is a third-party company that allows businesses to accept electronic payments, such as credit card and debit card payments. PSPs act as intermediaries between those who make payments, i.e. consumers, and those who accept them, i.e. retailers.[1]

They will often provide merchant services and act as a payment gateway or payment processor for e-commerce and brick and mortar businesses. They may also offer risk management services for card and bank based payments, transaction payment matching, digital wallets, reporting, fund remittance, currency exchange and fraud protection. The PSP will typically provide software to integrate with e-commerce websites or point of sale systems.[2]

## Contents

* 1 Operation
* 2 Security
* 3 Market size
* 4 Regulatory history
* 4.1 China
* 5 See also
* 6 References

## Operation

PSPs establish technical connections with acquiring banks and card networks, enabling merchants to accept different payment methods without the need to partner with a particular bank. They fully manage payment processing and external network relationships, making the merchant less dependent on banking institutions.[3]

PSP fees are typically charged in one of two ways: as a percentage of each transaction, or as a fixed cost per transaction.[4]

European payment service providers are supervised based on the European Payment Services Directive.[5]

## Security

Each merchant remains responsible for his own actions and must accordingly ensure that the selected provider observes the guidelines, e.g. with regard to data protection. Compliance with PCI DSS guidelines is important. There are four levels of PCI compliance, that must be respected by the PSP. Depending on the volume of transactions as well as other details about the level of risk assessed by payment brands, the payment service provider has to follow higher standards.

The levels are as follows:

* Level 1 – Over 6 million transactions annually;
* Level 2 – Between 1 and 6 million transactions annually;
* Level 3 – Between 20,000 and 1 million transactions annually;
* Level 4 – Less than 20,000 transactions annually.[6]

## Market size

Main article: Finance:List of online payment service providers

As of 2022[update], there were more than 900 payment providers in the world. More than 300 offer services just for Europe[7] and North America. The global payment service provider market is expected to reach $US88 billion by 2027 from $US40 billion in 2019.[8]

## Regulatory history

The examples and perspective in this article may not represent a worldwide view of the subject. You may improve this article, discuss the issue on the talk page, or create a new article, as appropriate. (May 2024) (Learn how and when to remove this template message)

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### China

In 2010, the People's Bank of China issued administrative measures regarding online non-financial payment services.[9]: 33 These measures retroactively recognized the legal status of online third-party payment platforms like Alipay.[9]: 33 Prior to the 2010 measures, these services existed in a legal grey area.[9]: 32

## See also

* E-commerce payment system
* Mobile payments
* Payment gateway
* Payment processor
* Payments as a service

## References

1. ↑ "What is a payment service provider?" (in en). https://www.dnb.nl/en/sector-information/supervision-sectors/payment-institutions/licensing-requirement-for-payment-service-providers-overview/what-is-a-payment-service-provider/.
2. ↑ "What Is A Payment Service Provider (PSP)?". Forbes. August 25, 2022. https://www.forbes.com/advisor/business/payment-service-provider/.
3. ↑ "What is a PSP or Payment Service Provider? | Definition & Benefits - Zoho Books" (in en-US). 2019-01-24. https://www.zoho.com/finance/essential-business-guides/books/articles/payment-service-providers.html.
4. ↑ "Payment service providers explained". November 13, 2024. https://stripe.com/resources/more/payment-service-providers.
5. ↑ "European Commission Payment Services". https://ec.europa.eu/info/business-economy-euro/banking-and-finance/consumer-finance-and-payments/payment-services/payment-services_en.
6. ↑ "A Complete Guide to PCI Compliance". https://www.vikingcloud.com/blog/pci-dss-compliance-guide. Retrieved June 21, 2025.
7. ↑ "European Payments Council Member List". https://www.europeanpaymentscouncil.eu/about-us/epc-members/list-epc-members.
8. ↑ "Payment Service Provider Market: Share, Market Size, Growth By Top Company, Region, Applications, Drivers, Trends and Forecast: 2022-2031" (in EN-US). https://www.marketwatch.com/press-release/payment-service-provider-market-share-market-size-growth-by-top-company-region-applications-drivers-trends-and-forecast-2022-2031-2022-07-27.
9. ↑ 9.0 9.1 9.2 Zhang, Angela Huyue (2024). High Wire: How China Regulates Big Tech and Governs Its Economy. Oxford University Press. ISBN 9780197682258.

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* t
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Digital payment providers

Active|

* 2C2P
* Adyen
* Airtel Payments Bank
* Alipay
* Amazon Pay
* Ant Group
* Apple
* Card
* Pay
* Wallet
* Atlantic Money
* Bancomat Pay
* bKash
* BillDesk
* bit
* Bizum
* Blik
* Block
* Afterpay
* Square
* Boku, Inc.
* BPAY
* Bunq
* Carta Worldwide
* Cash App
* CDS Global
* Chase Paymentech
* WePay
* Circle
* Cred
* Dwolla
* Easypaisa
* Elavon
* EnStream
* Ensygnia
* EServGlobal
* Freecharge
* GCash
* Global Payments
* Google Pay
* Google Pay app
* Google Wallet
* iDEAL
* Ingenico
* Interac e-Transfer
* JazzCash
* Jumio
* KakaoPay
* Klarna
* Line Pay
* Maya
* Mir
* MobiKwik
* NTT Data Payment Services
* Mobile Suica
* MobilePay
* M-Pesa
* Mi-Pay
* MintChip
* MMQR
* Nagad
* NPCI
* IMPS
* UPI
* BHIM
* Naver Pay
* NEFT
* Nexi
* Nexgo
* Novalnet
* Nuvei
* Orange Money
* Osaifu-Keitai
* Passport
* PAX Technology
* Paya
* Payanywhere
* PayBox
* PayMate
* PayMe
* Paymentwall
* PayNow
* Payoneer
* PayPal
* Braintree
* Zettle
* Venmo
* Xoom
* PayPay
* PayPoint
* Paysafe
* Neteller
* Openbucks
* PaysafeCard
* Skrill
* Payzone
* Paytm
* PayU
* Paze
* Pepper
* PhonePe
* Pine Labs
* Pix
* POLi Payments
* QRIS
* Red Dot Payment
* Remita
* Revolut
* Samsung Pay
* Samsung Wallet
* Sarvatra Technologies
* Sezzle
* Shift4
* Shop Pay
* Skaleet
* Spice Money
* Stripe
* Swish
* Tata Neu
* Tencent
* Touch 'n Go eWallet
* TWINT
* UnionPay app
* Veem
* Verifi
* Verifone
* Versapay
* Vipps
* VugaPay
* Wave Money
* WebMoney
* WeChat Pay
* Wero
* WiPay
* Wizzit
* Worldline SA
* Worldpay, Inc.
* Yape
* YooMoney
* Zelle
* Zeta
* Ziina

Defunct|

* AirTag
* Bell ID
* Billpoint
* C2it
* Clinkle
* Flattr
* Fortumo
* Google Wallet (2011–2018)
* Kuapay
* Lemon Wallet
* LG Pay
* Merchant Customer Exchange
* Microsoft Pay
* Mozido
* PayDirect
* Paym
* Pingit
* Powa Technologies
* Qiwi
* Quahl
* Sage Pay
* Simpay
* Softcard
* Tez
* vcash
* Paydiant
* Ukash
* Wirecard
* Worldpay Group
* Zong

Remittance|

* CurrencyFair
* MoneyGram
* Nium
* OFX
* Remitly
* Rewire
* Ria Money Transfer
* Transfast
* TransferMate
* Travelex
* Western Union
* Wise
* WorldRemit
* XE

Related|

* Digital currency
* Digital wallet
* Mobile payment
* Payment service provider
* List of online payment service providers
* European Mobile Payment Systems Association

* Category

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