A Payment Facilitator, or PayFac, is a sub-merchant account used by merchant service providers to provide payment processing services to their own clients, known as sub-merchants. The second type is a more modern, technology-first payfac solution from a commerce provider like Stripe. However, becoming a payfac requires a significant amount of up-front and ongoing work, like opening a merchant account, obtaining a merchant ID (MID), and getting your PCI DSS certification. Stripe benefits vs. ISO. A Payment Facilitator or PayFac simplifies merchant account enrollment which allows smaller companies to quickly gain the upper hand. When you want to accept payments online, you will need a merchant account from a Payfac. Both offer ways for businesses to bring payments in-house, but the similarities. A PayFac is the official merchant of record with the major card brands such as Visa and Mastercard and holds the relationship with the acquiring bank. Typically a payfac offers a broader suite of services compared to a payment aggregator. Instead, in the PayFac model, a small business gets a submerchant account under the master merchant. The payment facilitators themselves: which are companies providing the necessary infrastructure and allows their sub-merchants to accept payments via credit card. The gateway encrypts the information it received from the buyer and sends the transaction data to a card association. Connection timeout. PayFac® solutions, at your service Worldpay from FIS is your advocate for payment facilitator solutions. Instead of each individual business needing to set up its own merchant account, a process that can be time-consuming, the payfac effectively “rents out” merchant account functionality under its. becoming a payfac. The PayFac executes all the tasks a payment processor needs to onboard a client and gives the ISV a seamless experience. Typically a payfac offers a broader suite of services compared to a payment aggregator. Wide range of functions. Meanwhile, PayPal and Square collectively generated revenues of $22 billion. Simplifying Payments Around the Globe. So, the acquiring bank is in charge of the PayFac customers’ transaction processing. Evolve Support. 3 Rounds of Lottery Drawings. Standard support line. A payment processoris a company that handles card transactions for a merchant, acting. 🌐 Simplifying Payments: PayFac vs. In order to provide a plausible explanation, we need to understand the evolution of the merchant services industry. This model gives your users the ability to seamlessly accept payments directly from your platform and allows you to own and monetize the payments experience while. What is a payment facilitator (payfac)? A payment facilitator (payfac) is a type of merchant services provider that simplifies the payment process for businesses. The TPA categories are listed in the table below. Onboarding processExact Payments is an expert in embedded payment solutions, enabling SaaS businesses to monetize payments through its turnkey PayFac-as-a-Service solution. In other words, ISOs function primarily as middlemen (offering payment processing), while. In other words, ISOs function primarily as middlemen (offering payment processing), while PayFacs are payment facilitation. Thus, the main difference between these two key elements of online payment processing is that the processor is a service provider facilitating the transaction, while the gateway is the communication channel responsible for secure data transmission. PayFac vs. You see. 5. These include SaaS providers, investment firms, franchise owners, online marketplaces, and others. United States. PayFacs perform a wider range of tasks than ISOs. This means providing. 01274 649 893. Major PayFac’s include PayPal and Square. The platform becomes, in essence, a payment facilitator (payfac). However, it is difficult to determine whether this price is high or low without knowing what features the gateway offers. 0 vs. 0 began. Under the PayFac model, each client is assigned a sub-merchant ID. The merchant of record is responsible for maintaining a merchant account, processing all payments. . With a. The terms aren’t quite directly comparable or opposable. What is a payment facilitator (payfac)? A payment facilitator (payfac) is a type of merchant services provider that simplifies the payment process for businesses. 5. Technology: PayFacs offer proprietary technology solutions — in the form of gateways, hardware, and/or other. Before you go to market as a PayFac, it is a good idea to set a goal to define success. payment processor question, in case anyone is wondering. One of the most significant differences between Payfacs and ISOs is the flow of funds. When PayFac became a buzzword among software platforms and the many businesses trying to sell to them, the meaning of the word started to blur. Timely settlements and simplified fee payments. This means businesses only need Stripe to accept payments and deposit funds into their business bank account. Visa, Mastercard) around 2011 as a way for aggregators to provide more transparency into who their sub-merchants were. Contact our Internet Attorneys with the form on this page or call us at 855-473-8474. Non-card payments like ApplePay and GooglePay for both in store and online. Independent sales organizations (ISOs) are a more traditional payment processor. Generate your own physical or virtual payment cards to send funds instantly and manage spending. As the merchant of record, a PayFac can aggregate and process the card payments for as many “sub-merchants” as they would like underneath their umbrella. GATEWAY STANDARD. Firstly, a payment aggregator is a financial organization that offers. Classical payment aggregator model is more suitable when the merchant in question is either an. Typically, it’s necessary to carry all. In 2021, global payment facilitators processed over $500 billion in transactions – a 75% increase over the previous year. Reports for insights into payments and POS data for your. It accepts all payment types, ranging from direct credit/debit to PayPal, Skrill, Paytm, etc. Stripe benefits vs merchant accounts. This license, only the second…PayFac, which is short for Payment Facilitation, is still a relatively new concept. Becoming a payment facilitator is a change to your operational and support models, has and it pays long-term benefits. A payment processor is a company that works with a merchant to facilitate transactions. Region. The traditional method of bringing payments in-house involves integrating a payment gateway or processor into the platform, allowing for seamless transactions within the platform. In a nutshell, the business problem that the PayFac, as an entity, and payments facilitation, as a concept, seeks to solve, and which has existed stretching back decades: Small businesses have. However, they do not assume. Renew payfac registration and licenses: Re-register as a payfac with card networks annually, and update or renew MTLs on the required cadence. 1. What is a payment facilitator (payfac)? A payment facilitator (payfac) is a type of merchant services provider that simplifies the payment process for businesses. 01. They typically work with a variety of acquiring banks, using those relationships to "resell" merchant accounts to merchants. Both offer ways for businesses to bring payments in-house, but the similarities. This model is ideal for software providers looking to. . Sub-merchants operating under a PayFac do not have their own MIDs, and all transactions are processed through the facilitator’s master merchant account. €0. Stripe was founded in 2010 by two Irish siblings: then 22-year-old Patrick Collison and younger brother John, 20, positioning itself as the builder of economic infrastructure for the internet — launching their payfac flagship product in 2011. Becoming a full payfac typically requires an agreement with a sponsoring merchant acquirer such as Worldpay, registering as a payfac with the card networks, becoming compliant with the Payment Card Industry Data. While both models allow businesses to accept payments, a payfac might provide additional services such as payment gateway integration, hardware for in-person payments, fraud protection, transaction reporting, and customer support. The choice between a PayFac and a payment processor depends on your business needs, industry, and desired level of support. PayFac model is easier to implement if you are a SaaS platform or a. Until recently, SoftPOS systems didn’t enable PINs to be inputted. using your provider’s built. However, they do not assume financial. UniPay Gateway is the leading Omnichannel payment processing and management solution for PayFacs, Saas and equity firms operating worldwide. PayFacs are often more suitable for SMEs seeking a quick and straightforward setup. Sub Menu Item 5 of 8, Mobile Payments. Payfac-as-a-service vs. Create sandbox. 1 billion for 2021. A best-in-class payment solution. Payfac conducts oversight on all the transactions on its platform to ensure that all payments operate under legal and network regulations. PG vs PSP vs ISO vs PayFac vs Payment Aggregator Payment Gateway a payment gateway means just a technological platform, while a payment aggregator. In the PayFac model, banks that monitor PayFacs are called Acquiring Banks. From £19pm. Payfac is the abbreviated term often used in the payments industry to describe a company that provides payment processing services to. Payfac: A payfac operates under a master merchant account, and creates subaccounts for each business it services. 2. However, becoming a payfac requires a significant amount of up-front and ongoing work, like opening a merchant account, obtaining a merchant ID (MID), and getting your PCI DSS certification. In response to the advance of payment facilitation services, many companies started offering special programs for payment facilitators (UniPay Gateway technology by United Thinkers with its PayFac. As mentioned, the primary difference between payment facilitators & payment processors lies in how merchant accounts are organized. Funding A major difference between PayFacs and ISOs is how funding is handled. If you want to offer payments or payments-related. In a PayFac model, however, the merchant will establish a business relationship with the payment facilitator, and it is the latter who will maintain the relationship with. net; Merchant of RecordRenew payfac registration and licenses: Re-register as a payfac with card networks annually, and update or renew MTLs on the required cadence. Becoming a payfac allows software companies to earn the largest share of the payment economics, as compared with the other two options. The PSP in return offers commissions to the ISO. €0. Firstly, a payment aggregator is a financial organization that offers. One key difference between payment facilitators and aggregators is the size of businesses or merchants they work with. becoming a payfac. Payment facilitation – PayFac – has helped many business ease the transition to a world dominated by digital payments. PayFac as a Force MultiplierWhat is a payment facilitator (payfac)? A payment facilitator (payfac) is a type of merchant services provider that simplifies the payment process for businesses. Integrated per-transaction pricing means no setup fees or monthly fees. I SO. A Payment Facilitator (PayFac) is a third-party service that lets merchants accept various forms of non-cash payments like credit/debit cards or digital payments. The majority of our customers use credit, debit, or prepaid cards to pay for their services. PayFacs can provide an infrastructure and gateway for sub-merchants, providing them with benefits such as an automated underwriting tool with real-time approval and integrated fraud prevention. Unlike payfacs, ISOs set up individual merchant accounts for each business they service. Payment facilitators conduct an oversight role once they have approved a sub merchant. The Job of ISO is to get merchants connected to the PSP. Cardstream Group, which operates Europe’s fastest growing independent white label Payment Gateway, has announced the arrival of its significant new white label PayFac-as-a-Service to the market. January 25 th, 2022 – Atlanta, GA and Tulsa, OK – Payfactory, a fintech payment facilitator for software platforms, has announced a growth investment from Bluefin, the recognized integrated payments leader in P2PE encryption and vaultless tokenization technologies. It needs to obtain a merchant account, and it must be sponsored into the card networks by a bank. The second type is a more modern, technology-first payfac solution from a commerce provider like Stripe. The payment gateway. June 3, 2021 by Caleb Avery. In other words, processors handle the technical side of the merchant services, including movement of funds. Payment Facilitation offers the SaaS application the ability to control the end customer's payment experience. Stripe provides a way for you to whitelabel and embed payments and financial services in your software. In order to provide a plausible explanation, we need to understand the evolution of the merchant services industry. If your platform needs to operate internationally and support sub-merchants in other regions, partnerships with local acquirers, gateways, and other service providers may be necessary. 150+ currencies across 50 markets worldwide. Stripe, a tech-enabled evolution on the traditional payfac model, offers a complete solution that combines the functionality of a merchant account and a gateway all in one. 1. A Payment Facilitator or Payfac is a service provider for merchants. Prepare your application. Stripe benefits vs merchant accounts. Here are the best crypto payment gateway providers, including Coinbase Commerce, BitPay, and CoinGate. If your platform needs to operate internationally and support sub-merchants in other regions, partnerships with local acquirers, gateways, and other service providers may be necessary. With UniPay Platform you have the options of an affordable white label payment gateway solution, a full on-premise software license (including the source code), which ensures the top-quality payment processing. It needs to obtain a merchant account, and it must be sponsored into the card networks by a bank. To ensure high security and performance levels, providers may make their own recommendations but can also honor existing gateway and processor relationships. If the intermediary entity, which funds the sub-merchants, uses different MID for each merchant, it is called a payment facilitator. In many of our previous articles we addressed the benefits of PayFac model. Stripe provides a way for you to whitelabel and embed payments and financial services in your software. For example, by shifting from the ISO model to become a payfac, Lightspeed expects to see a 2. What is a payment facilitator, and what is payfac-as-a-service? Here’s what businesses need to know about how payfac solutions work. Just like some businesses choose to use a third-party HR firm or accountant,. PINs may now be entered directly on the glass screen of a smartphone using this new technology. Small/Medium. These systems will be for risk, onboarding, processing, and more. What is a payment facilitator (payfac)? A payment facilitator (payfac) is a type of merchant services provider that simplifies the payment process for businesses. Our digital solution allows merchants to process payments securely. To accept payments online, you need to connect at least one payment gateway to. This means that businesses only need Stripe to accept payments and deposit funds into their business bank account. If you're using a direct provider, your customers can. An ISO works as the Agent of the PSP. We would like to show you a description here but the site won’t allow us. Bank/ credit or debit company. It also needs a connection to a platform to process its submerchants’ transactions. Companies like NMI and Spreedly are. Stripe operates as both a payment processor and a payfac. Operating on a platform that acts as a payfac means there’s no need to work with an acquiring bank, payment gateway, and other service providers. Partnering with a PayFac vs becoming a PayFac with a technology partner. While both models allow businesses to accept payments, a payfac might provide additional services such as payment gateway integration, hardware for in-person payments, fraud protection, transaction reporting, and customer support. Both offer ways for businesses to bring payments in-house, but the similarities. 1. Many large banks, for example, issue credit. This solution involves you partnering with either (1) an acquiring bank or (2) an acquirer and a payment facilitator vendor. If you are an existing Bambora customer who needs assistance there are our support guides that can be found here. Put simply, the acquiring bank is the bank on the merchant end of the transaction, and the issuing bank is the cardholder or consumer’s bank. Payment Facilitator. As your true payments partner, we provide you with an entire division of payments experts essentially in house. Payment facilitation (Payfac) is a service that allows businesses to accept payments from their customers in a variety of ways. Priding themselves on being the easiest payfac on the internet, famously starting. The PayFac does not have to underwrite all merchants upfront — they are instead, underwriting the merchants essentially as they continue to process transactions for them on an ongoing basis. It is when a business is set up as a primary merchant account and provides payment processing to its sub-merchants. Payfac and payfac-as-a-service are related but distinct concepts. It provides a technology, allowing to authorize transactions and, potentially, receive transaction settlement information. Onboarding processBefore offering customers payment methods from popular card networks (Visa, Mastercard, etc. 6. It works by using one umbrella merchant account that allows every merchant to open as a sub-account underneath it. Thinking about the three-to-five-year strategic plan — geographics expansion, adjacent services and products, and even new end customers — can help sharpen the focus on PayFac options, she said. If necessary, it should also enhance its KYC logic a bit. The full-function platform has been designed to deliver Acquirers with a comprehensive Third Party Payment Facilitator programme,. an ISO. UniPay Gateway is the leading Omnichannel payment processing and management solution for PayFacs, Saas and equity firms operating worldwide. The bank receives data and money from the card networks and passes them on to PayFac. In total, they sent 19 marketing & logistics emails in 2023, leading to nearly 10,000 views of their RunSignup website. Payment Facilitator. While both models allow businesses to accept payments, a payfac might provide additional services such as payment gateway integration, hardware for in-person payments, fraud protection, transaction reporting and customer support. Typically a payfac offers a broader suite of services compared to a payment aggregator. In this guide, we’ll explore what a payment facilitator (often abbreviated as payfac or PF) is, examine the considerations and costs of different types of payfac solutions, and identify. Access Worldpay uses cloud-based, RESTful JSON APIs for simple integration of online payments. We have APIs for all business types, whatever your size or location and whether you take payments online or at point of sale. Intro: Business Solution Upgrading Challenges; Payment System Integration; Migrating from One Processor to Another;Starting from only £19 p/m our flexible pricing plans can be fully tailored to suit your business needs. A payment facilitator (PayFac) is a merchant services business that sets up electronic payment and processing services for business owners, so they can accept electronic payments online or in-person. While both models allow businesses to accept payments, a payfac might. PayFac-as-a-service delivers a competitive payment program with instant onboarding of merchants while creating a seamless customer experience. The rate. Every payment gateway, processor, or bank uses its own payment system (often a unique one). What is a payment facilitator (payfac)? A payment facilitator (payfac) is a type of merchant services provider that simplifies the payment process for businesses. In almost every case the Payments are sent to the Merchant directly from the PSP. No-Cost Merchant Services: Your Gateway to Success with Visa CBPS and PayFac. Just to clarify the PayFac vs. Within the payment industry, VAR model emerged as the product of ISO evolution. ISOs mostly. Fiserv offers a full range of efficient in-house. Get in touch for a free detailed ROI Analysis and Demo. Why PayFac model increases the company’s valuation in the eyes of investors. Revolutionize Business. Payfacs with high standards and reliability based on the Visa's certification process may apply for two extended tiers: Visa Ready Payment Facilitator and Visa Trusted Partner. About 50 thousand years ago, several humanities co-existed on our planet. Grow with the experts. One classic example of a payment facilitator is Square. Some more important things to consider are:Merchant Account. Payment is becoming more cashless than ever now as a massive number of transactions are digitally carried out through credit cards and e-wallets. Typically a payfac offers a broader suite of services compared to a payment aggregator. Typically a payfac offers a broader suite of services compared to a payment aggregator. Stripe provides a way for you to whitelabel and embed payments and financial services in your software. Gateway 💳🛍️ Let's go diving into the payment realm 💡 You want smooth checkouts 🤔, but the payment landscape holds more than meets the eye. Instead of each individual business needing to set up its own merchant account, a process that can be time-consuming, the payfac effectively “rents out” merchant account functionality under its. While an ISO product will sometimes take weeks to approve a merchant due to the more stringent and quite often paper-based application process, PayFacs are able to. As your transaction volume increases, the payfac solution scales accordingly, providing consistent, reliable performance. Nick Starai is chief strategy officer and one of the co-founders of NMI who played an integral role in the formation and launch of the NMI payments platform in 2001. Both offer ways for businesses to bring payments in-house, but the similarities. We could go and build a payment gateway, but there would be a. SoftwareRight now, Stax offers three software plans for small businesses starting at $49 USD (Starter), and moving up to $89 USD (Growth), or $129 USD (Pro) per month. Global expansion. 7-Eleven Malaysia. In other words, processors handle the technical side of the merchant services, including movement of funds. Here are some pros and cons of Payment Aggregation: The disadvantages to the Payment Facilitator model. +2. Instead of each individual business needing to set up its own merchant account, a process that can be time-consuming, the payfac effectively “rents out” merchant account functionality under its. Essentially, a payfac is a company that allows its customers to accept electronic payments using their platform. Mar 19, 2019 2:09:00 PM. 78% of people 40 and under would stay with their bank if it went all digital, according to our recent Expectations & Experiences consumer research, focused on digital banking and fintech services. Find a payment facilitator registered with Mastercard. 2. Generally, ISOs are better suited to larger businesses with high transaction volumes. At first it may seem that merchant on record and payment facilitator concepts are almost the same. This means businesses only need Stripe to accept payments and deposit funds into their business bank account. For some ISOs and ISVs, a PayFac is the best path forward, but for others owning the payments process, end-to-end is a long way. July 12, 2023. When it comes to choosing between a PayFac and an ISO, the best option depends on your business's specific needs and preferences. Merchants that want to accept payments online need both a payment processor and a payment gateway. Stripe, which is a tech-enabled evolution on the traditional payfac model, is a complete solution that combines the functionality of a merchant account and a gateway in one. To put it another way, PIN input serves as an extra layer of protection. 9% + 30¢. Visa vs. High transaction costs, complex fee structures, and the need for seamless payment solutions have become. Funds flow: As the master merchant, the PayFac receives funds from the Acquiring Bank during the settlement process. To put it simply, a PayFac is a service provider specifically for merchants. A gateway may have standalone software which you connect to your processor(s). It is significantly less expensive compared to using a regular PayFac model. Global expansion. A payment gateway ensures that a customer’s credit card is valid. Using payment facilitation, customers can be onboarded and verified quickly, with a faster underwriting process. 4. The B2B FinTech company, WALBING, has obtained a Payment Service License from the German Federal Financial Supervisory Authority. A PayFac sets up and maintains its own relationship with all entities in the payment process. Here, ISOs (Independent Sales Organizations if on the Visa network), or MSPs (Member Service Providers if Mastercard) sell credit card processing services to merchants on behalf of an acquiring bank. What SaaS & E-commerce Companies Need to Know About Payment Facilitator Regulations, and what key regulations govern their operation. What ISOs Do. Renew payfac registration and licenses: Re-register as a payfac with card networks annually, and update or renew MTLs on the required cadence. Successfully certified payfacs will receive the status of Visa Certified Payment Facilitator. In short, Payment Facilitation is an operating model that affects the acquiring side of the payment ecosystem. In a nutshell, the business problem that the PayFac, as an entity, and payments facilitation, as a concept, seeks to solve, and which has existed stretching. In the current downturn, said Mielke, the PayFac or ISV that is diversified will be better positioned to weather the storm. It is when a business is set up as a primary merchant account and provides payment processing to its sub-merchants. Principal vs. In order to establish a new payment gateway or payment processor relationship, your business has to go through a labor-intensive and time-consuming integration process. Thanks to its flexibility and profitability, PayFac model seems to perfectly adjust to the present-day market requirements. You'll need to submit your application through Connect . They provide services that allow software platforms to accept credit and debit card payments and make it easier and faster for them to start accepting payments as they handle most of the work for you. A payment processor sends card information from a merchant’s POS system to the card networks and banks involved in the transaction. Stripe benefits vs. Owners of many software platforms face the need to embed. EVO was founded in the U. Instead of each individual business needing to set up its own merchant account, a process that can be time-consuming, the payfac effectively “rents out” merchant account functionality under its. ISOs never directly touch a merchant’s money as the money will flow directly from the payment processor to the merchant’s merchant. Global expansion. A Payment Facilitator (PayFac) is a type of merchant services company that provides business owners with a way to accept electronic payments, both online and in-store. Payment service provider is a much broader term than payment gateway. Then the PayFac needs to build a number of other tools or go through compliance processes, like becoming PCI Level 2 certified, but as soon as they. Manage Your Payments. If you want to become a payment. Some Final Considerations: You will also need to find out about the third-party integration options, SDKs, and API functionality of the payment gateway. Managed PayFac or Managed Payment Facilitation – The 2023 Guide. It runs about 40 minutes (really shooting to be less than 30) and we discuss the differences in payfac vs ISO and where payfac is heading. Likewise, it takes a lot of work and expenses to become a PayFac. Moreover, in a sense, PayFac model relieved acquirers from merchant management functions, which they delegated to PayFacs. Payment facilitators, aka PayFacs, are essentially mini payment processors. Instead of each individual business needing to set up its own merchant account, a process that can be time-consuming, the payfac effectively “rents out” merchant account functionality under its. I SO. This was around the same time that NMI, the global payment platform, acquired IRIS. Onboarding processWhat is a payfac? A payfac or PF, short for payment facilitator, makes it possible for you to accept payments from customers in a variety of ways, including card payments, direct debits, local payment methods, and alternative payment methods like mobile and digital wallets including Apple Pay and Google Pay. A payfac is a platform that intermediates payments between consumers, payment operators (card operators, banks, PSPs, etc. Global expansion. Instead of each individual business needing to set up its own merchant account, a process that can be time-consuming, the payfac effectively “rents out” merchant account functionality under its. The PayFac model has gained popularity in recent years, as it allows businesses to simplify their payment processing and reduce costs, while also providing a better customer experience. Payfac and payfac-as-a-service are related but distinct concepts. A payment gateway ensures that a customer’s credit card is valid. e. At Revision Legal, we protect businesses that thrive online, and understand the connections between law, technology, and business. The second type is a more modern, technology-first payfac solution from a commerce provider like Stripe. The size and growth trajectory of your business play an important role. While there are many benefits of integrating to a Payfac, two of the most notable are frictionless onboarding and risk, liability and costs associated. The core of their business is selling merchants payment services on behalf of payment processors. Payfac = a software product, platform, or marketplace that has in integrated payments into its product, and is responsible for the risk of transactions processed by its customers. A facilitator provides merchants with their own Merchant ID under a master. You own the payment experience and are responsible for building out your sub-merchant’s experience. Classical payment aggregator model is more suitable when the merchant in question is either an. What is a PayFac? Benefits & Reasons Why Businesses Need One in 2023. It used to take weeks to get a merchant account, but then Payfacs came around and simplified the enrollment process by creating a sub-merchant platform. Stripe, a tech-enabled evolution on the traditional payfac model, offers a complete solution that combines the functionality of a merchant account and a gateway all in one. It offers the. ), and merchants. It also needs a connection to a platform to process its submerchants’ transactions. NerdWallet rating. There is then additional time ensuring the payment gateway or application using the payment processing has all the appropriate merchant account credentials provisioned. The main difference between the two entities is that one is a company that facilitates payments, and the other is a piece of software that integrates into a website or payment portal. An ISV can choose to become a payment facilitator and take charge of the payment experience. At the very minimum, a new PayFac. Basically, a payment gateway is simply an online POS terminal. Finally, web. One of the reasons for this phenomenon is that many companies (including former independent sales organizations (ISO)) find it more profitable to combine the functions of an online gateway provider and a merchant service provider (MSP). a merchant to a bank, a PayFac owns the full client experience. The gateway handles the tokenization process, which hides the card information while it’s in transit; a very important piece of the data security in payments. PayFacs perform a wider range of tasks than ISOs. In essence, they become a sub-merchant, and they face fewer complexities when setting. This solution includes hosted payment pages; one-time, subscription, and one-click billing solutions; risk management; affiliate tools, and end-user customer support. PayFac vs ISO. An ISO works as the Agent of the PSP.