Small BusinessPayments
What is a payment service provider (PSP) and how do they work?
Nov 12, 2025
A payment service provider is a third-party company that helps businesses accept various payment methods, including credit cards, debit cards, and digital wallets. It manages almost the entire payment transaction, from the moment a customer submits their information to the final deposit into your account, helping simplify and secure the checkout experience.
7 mins readAuthorPayPal Editorial Staff