Payment service provider
A firm authorised to provide payment services, such as a bank, an e-money institution or a payment institution.
A payment service provider is a firm authorised to provide payment services, such as a bank, an electronic money institution or a payment institution, under rules like PSD2 in the European Union and the Payment Services Regulations in the UK. Payment services include executing transfers, issuing payment instruments, acquiring card payments, initiating payments and providing account information. An agent that moves money does so through a payment service provider, whose authorisation, controls and liability rules apply to the transaction.
Agent Minute explains this term on 9 October 2026.
Related terms
Payment accountAn account held in the name of one or more payment service users and used to execute payment transactions.Payment initiation serviceA service that initiates a payment order at the user's request from an account held at another provider.Account servicing payment service providerThe provider that provides and maintains the payer's payment account, typically the customer's bank.Account information serviceAn online service providing consolidated information on a user's payment accounts held with other providers.