Aggregator

An aggregator utilizes the processing services of a larger third-party processor or acquiring bank, but assumes risk for the merchant accounts that it signs. A merchant account aggregator has its own underwriting department to analyze the risk associated with the merchant accounts that it signs.

Aggregators appear to be processors themselves, but they actually outsource processing services, and assume the liability associated with their accounts in order to obtain lower buy rates on merchant processing services.

Aggregators usually have more lenient underwriting guidelines than larger processors or acquiring banks, making them ideal for businesses that are seen as high risk or prohibited by larger financial institutions and providers.