Who submits the payment request to the third-party network in a payment transaction?

In a payment transaction, the process of submitting a payment request to the third-party network is typically executed by the merchant bank. The merchant bank is responsible for processing payment transactions on behalf of the retailer or merchant. When a customer makes a purchase, the retailer collects the payment information and then communicates with the merchant bank to process the transaction. The merchant bank, in turn, sends the payment request through the appropriate card network (like Visa or Mastercard) to validate and authorize the transaction.

This step is crucial as the merchant bank acts as an intermediary between the retailer and the payment networks, ensuring that funds are transferred efficiently. While the retailer initiates the transaction, it is the merchant bank's role to formally submit the payment request for processing. The customer provides the payment details, but they are not directly involved in submitting the request to the network. Therefore, the accurate representation of who submits the payment request in this context is indeed the merchant bank.