A Payment Facilitator or Payfac is a service provider for merchants. ... A sub-merchant platform involves a Payfac that has been pre-approved for one master merchant account with an acquirer, like TD. They are then able to sign-up merchants underneath their master account as sub-merchants, thus expediting the process.

What does a payment facilitator do?

Payment facilitators allow merchants to accept payments using their infrastructure. They have removed the friction in the application and onboarding process by simplifying it and tailoring it to the businesses they serve, enabling those businesses to begin accepting card payments more quickly.

Is PayPal a payment facilitator?

A payment facilitator (also known as PayFac) holds a master merchant account and can help provide sub-merchant accounts to sellers. ... For example, Square, Stripe, and Paypal are all examples of payment facilitators.