82ad790e_and_Merchant_Services_Glossary__Definition
[Term] Back-end Processor [Definition] 
A data processing company that contracts with acquirers to provide communication and processing systems that connect with the interchange systems for clearing and the ACH systems for settlement services. The back-end processor receives the data, captures items from the front-end processor, formats and submits the items to the card company for clearing and settlement. The back-end processor also handles all chargeback and retrieval processing, the production of merchant statements, and the formatting of the merchant deposit for submission to the depository bank or into the ACH.
Credit Card Processing and Merchant Services Glossary
Definition