How to Accept Credit Card Payments Without a Merchant Account

You can accept credit card payments online without a traditional merchant account by using a payment service provider that handles card processing for your business. Instead of applying for a separate merchant account through a bank, you can collect payments through online invoices, payment links, or website checkout. You'll still need to qualify for the provider's service, but the setup is generally simpler than arranging traditional merchant services.

For small businesses that also need invoicing and bookkeeping, QuickBooks Payments is worth considering. You can accept credit card payments through invoices and payment links while keeping payment records connected to your accounting.

Can you accept credit card payments without a merchant account?

Yes. You don't need to arrange a separate merchant account with a bank to accept credit card payments online. Instead, you can use a payment service provider (PSP) that handles payment processing through its own processing arrangements.

Traditional merchant services generally involve establishing a dedicated merchant account, which is used to receive funds from credit card transactions before they are transferred to your regular business bank account.

Payment facilitators, a type of PSP, typically let businesses process transactions through a provider-managed master merchant account. This eliminates the need for each business to arrange its own traditional merchant account.

For example, Stripe and Square provide payment processing without requiring businesses to establish a separate merchant account directly with an acquiring bank.

QuickBooks Payments also offers an integrated approach to payment acceptance, although users must apply for and receive approval for QuickBooks Payments. Intuit also uses the term merchant account in its payment agreements.

The practical benefit is that you don't have to arrange individual relationships with multiple payment companies before accepting credit cards.

Traditional merchant account vs payment service provider

Neither arrangement is automatically cheaper or safer. A traditional merchant account may offer more pricing flexibility, while an all-in-one provider may be easier to manage.

For a closer look at both options, see our guide to the best merchant services providers.

How to accept credit card payments online without a merchant account

You can start accepting credit cards by choosing a provider, completing its account requirements, connecting a bank account, and setting up a way for customers to pay. Here are five steps to get started.

Step 1: Choose a payment service provider

The first step in how to accept credit card payments without a merchant account is choosing a provider that supports the way you do business.

I recommend starting with how you plan to collect payments rather than comparing transaction fees alone.

A freelancer sending invoices has different requirements from an online retailer processing hundreds of orders each month.

Here are a few options worth considering:

• QuickBooks Payments: For businesses that want payment collection connected to invoicing and accounting.
• Square Payments: For small businesses that sell online, in person, or through payment links.
• Stripe: For businesses that want hosted checkout, payment links, or customizable website payment options.
• PayPal: For businesses that want PayPal checkout, online invoicing, and payment links.
• Shopify Payments: For eligible Shopify merchants that want payment processing integrated into their ecommerce store.

Before choosing, compare each provider's online transaction fees, software costs, supported payment methods, deposit schedules, and account requirements.

Also check whether you can export transaction records or connect them to your bookkeeping software.

Example: A freelance designer sends five invoices each month and wants to track which clients have paid. An invoicing platform with integrated credit card processing may be more practical than building a website checkout system.

For additional options, see our comparison of the best online credit card processing companies.

Step 2: Create an account and complete verification

After selecting a provider, you'll need to register and provide information about your business.

Depending on the service, you may be asked for:

• Your legal name and business name
• Business address and contact information
• Business type and products or services sold
• Tax identification information
• Identity information for owners or authorized representatives
• Bank account information
• Expected transaction amounts and processing volume

Some providers let businesses begin the signup process online in minutes. However, creating an account doesn't guarantee approval or uninterrupted payment processing.

Payment companies must verify business information and evaluate risk. They may request additional documents before or after processing begins.

Be accurate about what you sell and how you deliver your products or services. Differences between your application and actual transactions can trigger additional reviews.

Example: A consulting business expects to collect $3,000 per month through online invoices. It should describe its consulting services accurately and provide realistic estimates of its average transaction size rather than reporting higher sales volume to appear established.

Step 3: Connect your bank account

You don't need a separate traditional merchant account, but you'll generally need an eligible bank account to receive payment deposits.

This account is different from a merchant account.

A business bank account holds your operating funds, which you can use to pay expenses, employees, suppliers, and other bills.

Your payment provider manages the processing and settlement arrangements for credit card transactions before transferring the available funds to your linked account.

When connecting your bank account, confirm:

• Whether your account type is supported
• Whether the account name must match your business information
• How long standard deposits take
• Whether faster deposits cost extra
• How refunds and chargebacks are deducted

Remember that a successfully processed card payment is not always available in your bank account immediately.

Example: A home repair business collects a $500 deposit on Monday. Before promising to purchase materials using that payment, the owner checks the provider's deposit schedule to determine when the funds should become available.

Step 4: Set up your payment method

One advantage of using an all-in-one provider is that you may have several ways to accept credit card payments without purchasing separate payment gateway software.

The best method depends on how customers place orders and when you collect payment.

Payment links are useful for selling through email, text messages, or social media. You create a payment request and share a link that opens a provider-hosted checkout page.

Online invoices work well when you need to show itemized charges, payment terms, or an amount due. Customers can use the invoice's payment option to pay by credit card.

Website checkout is better suited to businesses that receive orders directly through an ecommerce website. Some providers offer hosted checkout pages or embeddable payment buttons.

Recurring payments may be useful for businesses collecting regular service charges or subscriptions, provided the processor supports the billing arrangement.

You don't necessarily need all four methods.

For a business providing professional services, invoices and payment links may be enough. A product-based online store may benefit from a shopping cart and integrated checkout.

If you don't have a website, read our guide to the best ways to accept payments without a website.

Example: A small marketing agency bills clients monthly. Instead of asking customers to call with their credit card details, the agency emails an itemized invoice with an online payment option. This gives customers a payment method and gives the agency a record of what was billed.

Step 5: Test your payment process and monitor transactions

Before regularly accepting customer payments, check that your payment setup works as expected.

Review the payment page, accepted payment methods, invoice details, and confirmation messages.

If you use a website, open the checkout on both desktop and mobile devices. Make sure customers can see the amount, understand what they're paying for, and complete the purchase without unnecessary steps.

Use the provider's test environment when available. If a live payment is necessary, follow its rules for testing and refunds.

After processing your first legitimate transaction, inspect the payment record and deposit details.

Pay particular attention to:

• The amount charged and the processing fee
• Whether the payment appears in your dashboard
• The status of the transaction and deposit
• Whether the payment is matched to the correct invoice or order
• How refunds and disputes are handled

If you're using accounting software, verify that the transaction is recorded correctly and that you can reconcile it against your bank deposits.

Example: A photographer sends an invoice for a $200 session. After the client pays, the photographer confirms that the invoice shows as paid, checks the fee deducted, and later matches the deposit to the bank transaction.

For more guidance on payment setup, see our step-by-step guide to accepting credit cards online.

Ways to accept credit card payments without a traditional merchant account

Once your processing account is active, you can collect payments through several channels. You don't need a separate merchant account for each method, although availability depends on your provider.

Payment links for one-time sales

A payment link sends customers to a hosted checkout page where they can enter their payment information.

This is one of the simplest methods for small businesses accepting occasional online payments. It doesn't require a shopping cart or custom website.

Some providers support reusable links for standard products or services, while others provide single-use payment requests.

Before sending a link, verify the amount, description, accepted payment methods, and any information you need to complete the sale.

You can learn more in our guide explaining what payment links are and how to use them.

Online invoices for service businesses

Online invoices are useful when payments need to be connected to a specific customer or project.

Unlike a basic payment link, an invoice can include multiple line items, taxes, payment terms, and an outstanding balance.

I recommend this method for businesses where keeping track of unpaid bills is as important as processing the payment itself.

QuickBooks Payments supports card payments through QuickBooks invoices, along with payment links. For businesses using QuickBooks, customer payments can stay connected to the corresponding invoices and accounting records.

Website checkout for online stores

If you operate an ecommerce website, your payment provider can often supply the payment gateway and checkout tools needed to collect credit card payments.

This may include a hosted checkout page, an embedded payment button, or an integration with your ecommerce platform.

For instance, QuickBooks Online supports payment links that can be turned into buy buttons and added to compatible websites. Customers selecting the button are redirected to a checkout page. This is different from a full shopping cart with inventory and order management.

Read our comparison of the best payment gateways if you need more advanced website payment features.

Recurring billing for repeat customers

Recurring billing helps businesses charge customers on an agreed schedule, such as monthly subscriptions or service retainers.

Before enabling it, check whether your provider supports automatic card charging, how customers authorize recurring payments, and how failed transactions are handled.

A recurring invoice isn't always the same as an automatically charged subscription. Confirm whether the customer must manually pay each invoice or whether the system can charge an authorized payment method.

Best providers for accepting credit cards without a traditional merchant account

There isn't one best provider for every business. Some focus on online checkout, while others combine payments with software for invoicing, accounting, or managing retail sales.

Here is how I would narrow down the options.

I would start by comparing your most common payment workflow.

If most customers pay after receiving an invoice, choose a provider with strong invoicing and payment tracking. If customers make purchases directly from your website, checkout integrations and payment-method support deserve more attention.

For businesses that want invoices, credit card payments, and accounting records in one place, QuickBooks Payments can reduce the work involved in tracking customer balances and reconciling transactions.

How much does it cost to accept credit card payments without a merchant account?

You can accept payments online without a merchant account arranged separately through a bank, but that doesn't mean payment processing is free.

All-in-one providers typically charge transaction fees when customers pay by credit card. Some also charge monthly software fees, fees for certain deposit options, and fees associated with disputes or international transactions.

For example, a processor charging 2.9% + 30 cents on a $100 online credit card transaction would deduct $3.20 in processing fees, leaving $96.80 before any other adjustments.

QuickBooks Payments processing fees

QuickBooks' published pricing lists the following rates for eligible payment methods.

At 2.99%, a $100 eligible online card payment would cost $2.99 in processing fees, leaving $97.01 before other adjustments.

For a service business that sends ten $500 invoices each month, that same rate would produce $149.50 in card processing fees if all ten invoices were paid by card at that rate.

These calculations exclude software costs, refunds, disputes, and other fees.

Other costs to check

• Monthly software fees: Some payment providers have free entry-level tools, while certain invoicing, ecommerce, and accounting products require paid subscriptions.
• Chargeback fees: A customer dispute can result in additional fees or deductions, depending on the provider's policy.
• Faster deposits: Standard deposits may be included, while optional instant transfers can carry additional fees.
• International transactions: Cross-border payments and currency conversion may cost more.
• Refunds: Check whether the original processing fee is returned when you refund a customer.

Don't compare providers solely by their advertised percentage rate. Your average transaction amount and how you collect payments both affect your total cost.

If keeping monthly software expenses low is the priority, read our guide to accepting credit card payments online for free to see which costs can be avoided and which transaction fees still apply.

Is accepting payments without a traditional merchant account right for your business?

For many small businesses, an all-in-one provider is a practical place to start.

You can avoid arranging separate merchant services with a bank and use the tools included with your payment provider to collect payments.

This approach is particularly useful if you:

• Are starting a new business with straightforward payment needs
• Send digital invoices or collect occasional deposits
• Want to accept credit cards without maintaining an ecommerce website
• Prefer published transaction rates over negotiating a custom arrangement
• Want payment records connected to your invoicing or accounting software

However, you may benefit from exploring traditional merchant services if your business processes substantial monthly card volume, operates in a specialized industry, or needs custom payment terms.

Some traditional providers offer interchange-plus pricing or custom rates that may be more economical as your processing volume grows.

Also, keep in mind that all-in-one providers can still review transactions, delay deposits, impose reserves, or suspend processing when permitted by their agreements.

Before committing to a provider, review its prohibited business categories, processing limits, deposit policies, and dispute procedures.

For a larger business, the right choice may be the provider offering more predictable pricing and account support rather than the fastest initial setup.

Bottom line

Small businesses can accept credit card payments online without merchant accounts opened separately through traditional merchant services providers. Payment facilitators and all-in-one processing platforms provide a simpler route to collecting customer payments through invoices, payment links, and online checkout.

The best choice depends on how you sell and what happens after the payment. If you regularly send invoices and track outstanding customer balances, I would prioritize payment collection and record-keeping over having the lowest advertised processing rate.

For businesses already using QuickBooks or planning to connect payments with accounting, QuickBooks Payments is an option worth reviewing. It supports online credit card payments through invoices and payment links while keeping transactions connected to your financial records.