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End-to-end payment processing systems let online companies manage their payment processes from beginning to end in one place. These systems bring all the information involved in processing payments into one comprehensive view, giving ecommerce businesses full visibility over these processes.

The front-end processor authorizes the card, connects to credit card companies and authorizes the network. The back-end processor receives and then forwards settlement batches to issuing banks in a scheduled time frame. A fee is charged for each transaction, typically bundled into the Transaction Fee.

Online payment is the electronic transfer of funds via the internet, usually between a merchant and a consumer. These payments can be made in various ways, such as via credit and debit cards, banking apps or web pages.

Front-end payment processors connect with credit card networks and transaction settlement services to manage merchant accounts. Back-end processors oversee the actual movement of funds among accounts. Front-end payment processors typically contract with back-end processors to provide full services to clients.

Here's a clear breakdown of how it typically works: Step 1: Customer places order and submits it on the website. Step 2: Website directs customer to payment gateway where they enter bank/card details. ... Step 3: Payment gateway verifies customer's account balance.

Back-end processor A processor that is used for some specialized function such as database management, or a special-purpose ALU. Compare front-end processor. A Dictionary of Computing.

The remaining steps of payment processing are referred to as back-end processing. Essentially, the back-end process concerns the transmission of the sale data to the card network, the issuing bank, and the acquiring bank in any given transaction.