For more details: https://www.2checkout.com/ecommerce-resources What is a Merchant? An individual or business that offers products or services. An e-commerce merchant describes a party that offers items or services exclusively through the web. How Does a Merchant Work? A merchant works with
an Acquiring Bank to get
and receive a Merchant Account( an account that allows the merchant to accept credit and debit cards ). Whenever a consumer purchases a product with a credit or debit card, the merchant submits the purchase transaction info to its acquiring bank, which will then submit it through the card association network to the cardholder’s Issuing Bank. The Issuing Bank will approve or decrease the charge, and bill the cardholder the amount due to the merchant. Source