A Merchant Account is a special bank account that allows firms to take electronic payments from their customers. It functions as an intermediary between the merchant, the acquiring bank as well as the processor of payments. If a client is making a payment with their card then the money is initially kept in the merchant's account, before they are transferred to the company's primary account with the bank. The existence of a merchant account is vital for companies that wish to take debit and credit payment cards safely.