API (Application Programming Interface)

In common terms, API can be described as a set of distinctly ascertained communication methods among various components. API is made of communication protocols, tools, and subroutine definitions, required for a building of the software.

In the payments industry, API is an integration type, that describes how the buyer’s and seller’s computers handle communication with a banking service in order to make a payment, look up details of a transaction, refund a sale, set up a billing plan, etc.

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