PacNet Services
PacNet Services was a Vancouver-based international payment processor founded in 1994 that provided multi-currency card, cheque, and bank transfer services to catalogue sales merchants and international publishers, ceasing operations after OFAC sanctions in September 2016.
- Company typePrivate
- Founded1994
- HeadquartersVancouver, Canada
- Headcount51–100
- GTM typeB2B
- OfferingServices
What PacNet Services does
PacNet Services was a Vancouver, Canada-based international payment processing company founded in 1994, specializing in multi-currency card processing, cheque processing, and bank transfer services for cross-border merchants. The firm built its business around two tightly defined niche verticals — catalogue sales companies and international publishers — segments that traditional acquiring banks often declined to serve due to perceived chargeback, fraud, and regulatory risk. PacNet operated through an unusually large corporate footprint of approximately 33 group companies and subsidiaries, which it used to route settlement flows across multiple jurisdictions and banking partners.
The company's go-to-market was a high-touch, compliance-intensive model: it onboarded merchants in high-risk verticals, assumed the acquiring and cross-border settlement function, and monetized through transaction processing fees. This model required PacNet to maintain money transmitter, payment processor, and related regulatory licenses across the jurisdictions in which it operated, with Dr. Paul Davis serving as General Counsel.
On September 22, 2016, the U.S. Treasury's Office of Foreign Assets Control (OFAC) designated PacNet and 12 associated individuals under sanctions, citing facilitation of fraudulent and deceptive payments. The company ceased operations the same day and entered a wind-down/dissolution process. OFAC subsequently removed PacNet from the sanctions list in 2017, and the company has since secured multiple court rulings in its favor in post-designation litigation. As of the latest available data, PacNet is no longer an operating payment processor, and the entity exists primarily to manage residual legal, contractual, and asset-realization matters from its 22-year operating history.
PacNet Services firmographics
Firmographics- Name
- PacNet Services
- Legal name
- The PacNet Services Group of Companies
- Website
- https://pacnetservices.com
- Company type
- Private
- Founded year
- 1994
- Operating status
- Closed
- Headcount range
- 51–100 employees
- Short description
- PacNet Services was a Vancouver-based international payment processor founded in 1994 that provided multi-currency card, cheque, and bank transfer services to catalogue sales merchants and international publishers, ceasing operations after OFAC sanctions in September 2016.
- Ownership category
- akta.pro rank
PacNet Services industry classification
Industry- Product category
- International Payment Processing Services
- NAICS
- Financial Transactions Processing, Reserve, and Clearinghouse Activities (522320)
- SIC
- Finance Services (6199)
- akta.pro primary industry
- Cross-Border FX, Multi-Currency & Treasury for Payments (FSAGABAK)
- akta.pro secondary industries
- Correspondent Banking & Liquidity Network Platforms (FSAGAKAI), Merchant Payment Gateways (API/Hosted Checkout) (FSAMACAA)
Keywords
Where PacNet Services is headquartered
LocationHeadquarters
- HQ city
- Vancouver
- HQ country
- Canada
- HQ region
- North America
Markets served
PacNet Services business model
Business model- GTM type
- B2B
- Offering type
- Services
- Cost components
- Personnel, Technology or R&D, Operations, Infrastructure
Revenue model
- Payment processing fees: PacNet Services generated revenue through transaction fees for processing international payments including multi-currency card processing, bank transfers, and cheque services for catalogue sales companies and international publishers
Go-to-market motion1 record
Distribution channels1 record
Marketing channels2 records
PacNet Services product offering
Product offeringCore offering
PacNet Services was an international payment processing company that enabled catalogue sales companies and international publishers to accept payments from customers in their home currencies, including cheque processing, multi-currency card processing, and bank transfers. The company provided merchants with the ability to receive funds in their company-designated bank accounts quickly and without high international transaction fees, facilitating cross-border e-commerce and consumer refunds.
Product overview
PacNet Services was a single unified international payment processing platform offering multi-currency card processing, bank transfers, and cheque issuing services to catalogue sales companies and international publishers. The company operated as part of the PacNet Services Group of Companies, which included subsidiary brands Chexx Inc and Counting House. All payment services ceased on 22 September 2016 following OFAC sanctions designation, and the group is in the process of orderly dissolution.
Differentiator
Problem solved
Functional benefit
Brands
- Chexx Inc. Payment processing subsidiary brand
- Counting House
Products and services
- Multi-currency Card Processing Payment processing service enabling merchants to accept card payments in multiple currencies from international customers, facilitating cross-border e-commerce for catalogue sales companies and international publishers.
- International Cheque Processing International cheque processing service enabling companies to accept cheques in customers' home currencies while receiving funds in their company-designated bank account quickly and without high international transaction fees.
- Bank Transfer Processing International bank transfer services facilitating cross-border fund movements for e-commerce and consumer refunds.
Companies that use PacNet Services
Customer profileSegments2 records
Ideal customer profiles2 records
PacNet Services technology and API
TechnologyTechnology focussed No
API detail
- Has API
- No
- API docs
- API detail
Core technology
AI maturity
App detail
Feature3 records
PacNet Services partnerships and signals
Strategic signalPartnerships
Three partnerships are on record, tiered minor.
- Chexx IncminorA subsidiary/affiliate company included in the OFAC sanctions designation in September 2016. No accusations or allegations were made against Chexx Inc, yet it was included in OFAC's actions. The company ceased operations following the sanctions.
- Counting HouseminorAn affiliated company included in the OFAC sanctions designation in September 2016. No accusations or allegations were made against Counting House, yet it was included in OFAC's actions. Isle of Man court later ruled there was no demonstrated connection with any illegal activity.
- i-PayoutminorA former Chexx Inc client that joined PacNet's court action in support of PacNet's complaint against US Government actions regarding the interpleader proceedings.
Scale indicators4 records
Recent moves6 records
Expansion highlights1 record
PacNet Services competitors and assessment
Company assessmentBroad incumbents
- Stripe: Modern global payment gateway and orchestration platform offering multi-currency card processing and international payouts, overlapping PacNet's card processing and payout services.
- Western Union: Global cross-border money movement and remittance incumbent with multi-currency payout and FX capabilities directly comparable to PacNet's cheque and bank-transfer processing for international consumers.
- PayPal: Dominant multi-currency card and online checkout processor for cross-border merchants, including direct-response and catalogue-style sellers that historically formed PacNet's core base.
- Adyen: Global merchant acquirer and payment processor offering multi-currency acceptance and settlement for enterprises, comparable to PacNet's multi-currency card processing for international merchants.
Emerging players
- dLocal: Emerging-market focused cross-border payment processor for global merchants, addressing similar multi-currency acceptance pain points that PacNet solved for direct-response marketers in the late 1990s.
Direct peers
- OFX: Cross-border payments and FX specialist offering multi-currency settlement for businesses, similar to PacNet's core service of receiving funds in a company-designated account across currencies.
- Payoneer: Cross-border payment processor for freelancers, marketplaces, and merchants, operating multi-currency receiving accounts analogous to PacNet's cheque and bank-transfer processing for international catalogue and publishing clients.
- WorldRemit: Cross-border remittance and payment platform serving international consumers and small businesses, structurally similar to PacNet's cross-border money movement for catalogue and direct-marketing merchants.
- Wise (TransferWise): Multi-currency payment platform serving cross-border merchants and individuals; the modern analogue to PacNet's local-currency payment processing value proposition.
- Earthport (Visa Cross-Border Solutions): Cross-border payment network acquired by Visa; PacNet operated in an adjacent payments/correspondent space that interfaced with similar cross-border bank-transfer infrastructure.
Market position
Strengths1 record
Weaknesses5 records
Competitive moat3 records
Key risks6 records
Key highlights6 records
Customer concentration
PacNet Services social profiles
Digital presencePacNet Services financial estimates
Financial estimateRevenue estimate
Valuation estimate
PacNet Services leadership team
Management profileNumber of profiles
PacNet Services subsidiaries and ownership
Company hierarchySubsidiaries4 records
PacNet Services funding detail
Funding detailFunding overview
Funding rounds
Investors
Funding detail is available on the Subscription and Enterprise plan.Contact sales →
PacNet Services M&A and investment
M&A and investmentM&A
Investments
M&A and investment is available on the Subscription and Enterprise plan.Contact sales →
Frequently asked questions about PacNet Services
What does PacNet Services do?
PacNet Services was an international payment processing company that enabled catalogue sales companies and international publishers to accept payments from customers in their home currencies, including cheque processing, multi-currency card processing, and bank transfers. The company provided merchants with the ability to receive funds in their company-designated bank accounts quickly and without high international transaction fees, facilitating cross-border e-commerce and consumer refunds.
Is PacNet Services a public or private company?
PacNet Services is a private company. It is classified as founder individual operated bootstrapped and is currently closed.
When was PacNet Services founded?
PacNet Services was founded in 1994. It employs 51 to 100 people.
Where is PacNet Services based?
PacNet Services is headquartered in Vancouver, Canada, in the North America region.
How does PacNet Services make money?
One revenue line is on record: payment processing fees.
Who are PacNet Services's main competitors?
Broad incumbents on record are Stripe, Western Union, PayPal and Adyen. dLocal is listed as an emerging player. Direct peers are OFX, Payoneer, WorldRemit, Wise (TransferWise) and Earthport (Visa Cross-Border Solutions).
Does PacNet Services have an API?
No public API is recorded for PacNet Services.
What industry is PacNet Services in?
PacNet Services's product category is International Payment Processing Services. Its primary akta.pro industry code is FSAGABAK, Cross-Border FX, Multi-Currency & Treasury for Payments, with a secondary code of FSAGAKAI, Correspondent Banking & Liquidity Network Platforms. Its NAICS code is 522320 and its SIC code is 6199.