3 ms·

Or they have done at some point, scrapped it and forgot to remove it from an enum used in an error message. I wouldn't hold my breath.

MuffinFlavored 8y ago
How do PayPal/Stripe move money around? Meaning, are they integrated directly with Mastercard/Visa/banks or do they use a First Data/TSYS/FiServ?
- pmart123 8y ago
  I believe the rely on the underlying network of Mastercard, Visa and Amex. Fiserv is more on the ACH side.
  - MuffinFlavored 8y ago
    How does the money actually exchange hands though? Like, your business wants to charge my Mastercard $100. Who moves the money from the mainframe on my bank? I don't think Stripe is integrated with every bank in America?
    - pmart123 8y ago
      The card network handles this I believe. I've never worked in payments, but I have spent some time analyzing the space for investments. As far as my knowledge with regards to online payments, the merchant gateway talks with the merchant acquirer/payment processor, the acquiring bank then pays the merchant, and the acquiring bank sends a request to authorize and settle the transaction through the card network, which talks to the consumer's bank/digital wallet. Stripe in this case is the merchant gateway and acquirer. If PayPal is used, ACH replaces the credit card network.
      - MuffinFlavored 8y ago
        > card network > merchant gateway > merchant acquirer/payment processor > acquiring bank so, since no merchants integrate directly with Mastercard/Visa (it would seem that's just not the business model of the industry. I'd also gamble it isn't possible because if you're a mom and pop shop, Mastercard does not care for you to integrate directly with them), they are going through networks/gateways, which would be TSYS/FiServ/First Data, yes? I'm just trying to picture a world where payment processor fees are lower because instead of PoS systems for businesses connecting to gateways/middlemen who need to take a cut and hike the rate up, they connect directly to the card network/the underlying bank. But, it sounds like a service like that would be exactly the middlemen I'm describing, who need to take a cut of the fees :P

MuffinFlavored 8y ago

How do PayPal/Stripe move money around? Meaning, are they integrated directly with Mastercard/Visa/banks or do they use a First Data/TSYS/FiServ?

pmart123 8y ago
I believe the rely on the underlying network of Mastercard, Visa and Amex. Fiserv is more on the ACH side.
- MuffinFlavored 8y ago
  How does the money actually exchange hands though? Like, your business wants to charge my Mastercard $100. Who moves the money from the mainframe on my bank? I don't think Stripe is integrated with every bank in America?
  - pmart123 8y ago
    The card network handles this I believe. I've never worked in payments, but I have spent some time analyzing the space for investments. As far as my knowledge with regards to online payments, the merchant gateway talks with the merchant acquirer/payment processor, the acquiring bank then pays the merchant, and the acquiring bank sends a request to authorize and settle the transaction through the card network, which talks to the consumer's bank/digital wallet. Stripe in this case is the merchant gateway and acquirer. If PayPal is used, ACH replaces the credit card network.
    - MuffinFlavored 8y ago
      > card network > merchant gateway > merchant acquirer/payment processor > acquiring bank so, since no merchants integrate directly with Mastercard/Visa (it would seem that's just not the business model of the industry. I'd also gamble it isn't possible because if you're a mom and pop shop, Mastercard does not care for you to integrate directly with them), they are going through networks/gateways, which would be TSYS/FiServ/First Data, yes? I'm just trying to picture a world where payment processor fees are lower because instead of PoS systems for businesses connecting to gateways/middlemen who need to take a cut and hike the rate up, they connect directly to the card network/the underlying bank. But, it sounds like a service like that would be exactly the middlemen I'm describing, who need to take a cut of the fees :P