What Is An Internet Merchant Account And How Do I Get One?

An Internet merchant account is a special type of bank account that is specifically designed for trading online and accepting payment by credit card.

Internet merchant accounts are obtainable from acquiring institutions like WorldPay and major banks. The acquirer handles the back-office part of the online transaction by authorising the purchase made with the card and ensuring payment is deposited into the relevant merchant bank account.

Lying between the online order form and the acquirer's network there is normally a third party trust company such as VeriSign, for instance, that handles the two way credit card transaction traffic of authorization and settlement.

To qualify for an Internet merchant account you must have a UK business bank account. If you do not have a UK bank account or would prefer to set up an internet merchant account with an offshore banking account, most acquiring institutions will be able to help. Fees, though, will be significantly higher.