Glossary

Issuing Bank / Issuer in Payments | Glossary Modulr

Written by Modulr | Jul 24, 2025 11:00:00 PM
An issuing bank is a financial institution, sometimes a bank, that provides payment cards (credit, debit, or prepaid) directly to consumers or businesses. The issuing bank is responsible for managing cardholder accounts, authorising transactions, and handling customer service inquiries. Issuers can earn revenue through interchange fees and interest charges when consumers and merchants complete payments on their cards.