Definition

Noun: 1. A credit card processing bank: A financial institution that processes credit and debit card transactions on behalf of merchants, receiving the transaction data and facilitating the transfer of funds. The merchant receives the payment amount minus a processing fee. 2. The financial institution that dispenses cash in ATMs: The bank or entity that owns and operates an Automated Teller Machine (ATM). It dispenses cash to cardholders and collects a fee from the card-issuing bank. 3. A corporation gaining control over another: A company that obtains financial or controlling interest in another corporation or financial institution, typically through a purchase using cash, stock, or a combination of both. 4. A person who obtains something: An individual who gains possession or ownership of something, usually in a permanent manner.

Examples

• As a credit card processor:
  • The merchant's contract with the acquirer specified the transaction fees.
  • The payment was authorized by the card network and settled by the acquirer.
• As an ATM operator:
  • The acquirer charges a fee for cash withdrawals at its machines.
• As a corporation gaining control:
  • The larger tech company acted as the acquirer in the hostile takeover bid.
  • After the merger, the acquirer integrated the smaller company's operations.
• As a person who obtains something:
  • She was a passionate acquirer of rare books and manuscripts.
  • The museum listed the private collector as the acquirer of the painting.

Advanced Usage

• In corporate finance: The term is central to discussions of mergers and acquisitions (M&A). The "acquirer" is contrasted with the "target" company.
  • The deal was structured so the acquirer would assume all of the target's debts.
• In payment systems: Within a card transaction flow, the "acquirer" (or acquiring bank) is a key party alongside the "issuer" (the cardholder's bank), the merchant, and the card network (e.g., Visa, Mastercard).

Variants and Related Words

• Acquire (verb): To buy or obtain for oneself.
  • The company plans to acquire three new startups this year.
• Acquisition (noun): The act of acquiring something, or the thing that is acquired.
  • The acquisition of the rival firm was announced yesterday.
  • Her latest acquisition was a vintage car.

Synonyms

• For the corporate meaning: Purchaser, buyer, taking company.
• For the general meaning: Obtainer, procurer, recipient.

Related Phrases

• Acquiring bank: A more specific term for the first two financial definitions, commonly used in the payments industry.
  • The acquiring bank is responsible for depositing funds into the merchant's account.

Noun

1. a credit card processing bank; merchants receive credit for credit card receipts less a processing fee
2. the financial institution that dispenses cash in automated teller machines and collects a fee from the bank that issued the credit card
3. a corporation gaining financial control over another corporation or financial institution through a payment in cash or an exchange of stock
4. a person who acquires something (usually permanently)