QashPay Payment Model Explained
A simple overview of how QashPay supports online payment acceptance through gateway technology, merchant onboarding and acquirer-backed settlement.
QashPay provides the merchant-facing technology, onboarding support, transaction routing and payment gateway layer for online merchants and partners. Regulated acquiring, settlement and funds movement are handled by the acquiring bank.
Contact QashPayThe model in one paragraph
QashPay operates a sponsored PayFac-lite and payment gateway model. QashPay provides the merchant-facing platform, checkout technology, onboarding workflow, transaction routing, partner tools and technical support. The acquiring bank provides the regulated acquiring services, processes card transactions, manages scheme connectivity and settles funds directly to the merchant.
QashPay's commercial income comes from gateway/software fees, transaction usage fees and agreed commercial markups or commissions. These are QashPay's own revenue and are separate from merchant settlement funds.
Important: QashPay is not a bank, e-money institution, money transmitter, client-money business or merchant-of-record business for the underlying goods and services sold by merchants.
Who is responsible for each part of the payment process?
A clear split of responsibilities between QashPay, the acquiring bank and the merchant across the payment lifecycle.
How settlement funds move
QashPay is not in the settlement funds flow. Merchant settlement is handled directly by the acquiring bank.
QashPay may invoice or receive its own commercial fees separately. These are QashPay revenue and are not merchant settlement funds.
How QashPay differs from a full payment facilitator
QashPay uses a sponsored PayFac-lite operating model, but does not operate as a full funds-holding PayFac. The core difference is that settlement funds are handled directly by the acquiring bank.
The key distinction: QashPay provides the technology and merchant-management layer, while the acquiring bank handles regulated acquiring, settlement and funds movement.
What QashPay is and is not
QashPay is
- A payment gateway technology provider
- A merchant onboarding and support platform
- A transaction routing layer between merchants and acquiring banks
- A provider of merchant and partner reporting tools
- A commercial payment technology partner
- A sponsored PayFac-lite operating layer under acquirer oversight
QashPay is not
- Not a bank
- Not an e-money institution
- Not a money transmitter
- Not a client-money business
- Not a business that safeguards client balances
- Not a business that pools merchant funds
- Not the settlement account provider
- Not the merchant of record for the goods or services sold by merchants
- Not responsible for selling the merchant's goods or services to cardholders
For clarity, QashPay may be described as a payment facilitator in the context of its sponsored acquirer arrangement. This does not mean QashPay receives, holds or settles merchant funds.
Why QashPay is not authorised or regulated
QashPay is a technology provider. It does not come into possession of funds, so it does not require payment-services authorisation for the services it provides.
Because QashPay provides technical services in support of payment services, and does not at any time come into possession of the funds to be transferred, its activities fall within the exclusion for technical service providers under Schedule 1 of the UK Payment Services Regulations 2017.
On that basis, QashPay is not authorised or regulated by the Financial Conduct Authority (FCA), and does not require such authorisation for the technology services it provides. The regulated activities of card acquiring, processing and settlement are carried out by licensed acquiring banks that contract directly with the merchant.
For clarity, Quaife.net Limited / QashPay.com does not:
- Receive customer or merchant funds
- Hold or safeguard client money
- Operate payment or settlement accounts
- Act as a merchant of record
- Provide money remittance or e-money services
Risk, compliance and merchant monitoring
QashPay supports the acquiring bank by helping collect merchant information, supporting KYB/KYC workflows, reviewing merchant websites, monitoring transaction activity and assisting with compliance obligations.
Merchant application
The merchant provides business, ownership, website and trading information.
KYB/KYC support
QashPay supports the collection and review of required due diligence information.
Acquirer review
The acquiring bank reviews the merchant and confirms whether processing can be approved.
Gateway setup
QashPay supports technical integration, checkout setup and testing.
Ongoing monitoring
QashPay supports monitoring, reporting, fraud checks, chargeback alerts and merchant support where applicable.
Acquirer oversight
The acquiring bank retains oversight of regulated acquiring, settlement, reserves and scheme obligations.
QashPay's role includes support for onboarding, technical integration, monitoring and merchant management. The acquiring bank remains responsible for regulated acquiring and direct settlement.
Frequently asked questions
Does QashPay hold client or merchant funds?+
No. QashPay does not hold, safeguard, pool or settle client, customer or merchant funds. Settlement is handled directly by the acquiring bank to the merchant's nominated settlement account.
Who settles funds to the merchant?+
The acquiring bank settles net funds directly to the merchant's nominated settlement account. QashPay is not in the settlement funds flow.
What does QashPay provide?+
QashPay provides the payment gateway, checkout technology, transaction routing, onboarding workflow, merchant support, partner tools, reporting and technical services.
Is QashPay a payment facilitator?+
QashPay operates under a sponsored PayFac-lite arrangement with an acquiring bank. This means QashPay supports merchant onboarding, gateway connectivity, merchant management and compliance workflows. However, QashPay does not hold or settle merchant funds.
Is QashPay a bank, e-money institution or money transmitter?+
No. QashPay does not provide banking, e-money issuance, money transmission, safeguarding or client-money services.
Who underwrites merchants?+
QashPay supports due diligence and merchant information collection. The acquiring bank provides acquiring approval, underwriting oversight and settlement according to its own requirements.
Who handles chargebacks?+
Chargebacks are handled through the acquiring bank and card scheme process. QashPay may provide tools, reporting and support to help merchants manage disputes and provide evidence.
Who is responsible for the goods or services sold?+
The merchant is responsible for the goods or services sold to cardholders, including fulfilment, refunds, customer service and compliance with applicable laws.
How does QashPay earn money?+
QashPay earns commercial software, gateway, transaction usage and agreed commission or markup income. These are QashPay's own fees and are separate from merchant settlement funds.
Why does QashPay use this model?+
The model allows QashPay to provide merchants and partners with faster onboarding, gateway technology and a more streamlined payment experience while keeping settlement and regulated acquiring directly with the acquiring bank.
Supporting documents available on request
For due diligence, account opening, acquirer review or compliance checks, QashPay can provide supporting documents that evidence the operating model and funds flow.
Access to supporting documentation may be subject to confidentiality requirements.
Need further information?
If you are reviewing QashPay for banking, acquiring, partner onboarding, merchant due diligence or compliance purposes, our team can provide further information and supporting documentation.
Contact QashPayFor compliance and due diligence enquiries, please book a call with our team