What is authorization?
1 Authorization is the act of ensuring the cardholder has adequate funds available against his or her line of credit. A positive authorization results in an authorization code being generated, and those funds being set aside. The cardholder’s available credit limit is reduced by the authorized amount.
What is batch?
2 Batch is the accumulation of captured sales transactions waiting to be settled. Multiple batches may be settled throughout the day. We strongly recommend our merchants to batch at least once a day.
What is decline or declined?
3 Decline is the denial of an authorization request by, or on behalf of, an Issuer Member. A processor decline indicates that the consumer’s issuing bank has refused the transaction request. Sometimes you can tell why it was declined by reading the response code, but only the consumer’s issuing bank can confirm the specific reason.
What is payment gateway?
4 Payment gateway is an eCommerce application service provider that authorizes credit cards or direct payments for e-businesses, online retailers, or traditional brick and mortar businesses. It is equivalent to a physical point of sale terminal located in most retail outlets
What is recurring transaction?
5 Recurring transaction is a transaction charged to cardholder, with prior permission, on a periodic basis for a series of goods or regular services. For example, you may charge your customers (with their permission) a specific amount by weekly, monthly, quarterly, or yearly.
What is settlement?
6 As the sales transaction value move from the merchant to the acquiring bank to the issuer, each party buys and sells the sales ticket. Settlement is what occurs when the acquiring bank and the issuer exchange data or funds during that function. It also refers to the specific amount of funds transferred by an acquirer to a merchant for the acceptance of a card transaction.
What is transaction?
7 Any event that causes a change in an organization’s financial position or net worth, resulting from normal activity. Advance of funds, purchase of goods at a retailer or when a borrower activates a revolving line of credit. Activities affecting a deposit account carried out at the request of the account owner. One example of a transaction is the process that takes place when a cardholder makes purchase with a credit card.
What is virtual terminal?
8 Virtual terminal allows merchants to accept payments virtually anywhere they have internet access, with no card swipe, dip, or software to install, and is ideal for merchants who receive sales orders by phone, fax, or face to face.