Aggregator Terminology

aggregator: Also known as payment aggregator
. It is an organization that aggregates sub-merchants under a single account and settles funds directly to the sub-merchants. An aggregator is usually an ISO or MSP.
independent sales organization (ISO): Organization that performs one or more of these functions:
Works with acquirers to sponsor merchant accounts and usually assumes the risks associated with the merchants’ processing.
Procures new merchant relationships based on contracts with acquirers.
Connects with a gateway to process online payment card transactions for small businesses, usually in exchange for a fee or percentage of sales.
member service provider (MSP): Same as an ISO, although an MSP has no financial responsibility to the merchant.
payment facilitator: Payment aggregator.
service provider: Third-party or outsource provider of payment processing services. A service provider typically provides a single service with no role in settling funds to a merchant.
sub-merchant: Merchant whose transactions are submitted by a payment aggregator.
third-party agent: Umbrella term for independent sales organizations, member service providers, payment aggregators, and payment facilitators.