What is a third party credit card processor?
A 'third party credit card processor' is, in this case, a company that can accept credit card orders on behalf of you or your company. This makes obtaining a merchant account for your company unnecessary, although it could be worthwhile if you sell enough goods to warrant the expense involved
Third Party credit card processor companies own merchant accounts with the additional rights to use that merchant account to accept credit card orders on behalf of other companies.
Generally it is illegal to obtain a merchant account for your company and then sell another companies goods through your account. As I mentioned, additional rights have to be bought to enable a company to accept credit card orders for another company or individual.