There is Much More to It

1. There is Much More to It. Are you confused about Settlement Services? Before talking about different things, it is important for you to know that the very initial stage towards a productive integration is to understand the payment procedure.When a credit card is presented by a customer as a payment for goods or services, it is the first step for a multilayered series of under the carpet data transfers and the transactions. The result of any such procedure is that the merchant attains a diminished payment for the products or services vended to the client.A transaction starts when a Cardholder hands over the card to a Merchant for making the payment for goods or services.The card can be given personally in the campus of a business establishment, or indirectly through the web by submitting the number, expiration date and name given on the card. Next, merchant either swipes the card via electronic reader or writes the details of the card into a system.The transaction amount can also be noted or transferred from a point- of-sale system or just via shopping cart. Electronic Payment System links to a system which belong to a Processor, and takes along the data of the card and transaction.If all the transaction activities get done through the web, the Merchant will either contact to a Processor directly or link through a Gateway provider which makes the arrangement for data and leads it to Processor possessed by the Merchant.It is to be noted that each single processor has an exact protocol for such types of transmissions.The system of the processor makes sure that the card is lawful and there are

2. sufficient funds available for credit in the account of the cardholder. Only after this, the Processor sends an approval or denial code back to the system of the Merchant. Again, it is done through the procedure compatible to that Processor. For some particular types of industry transactions such as in restaurants, there are actually two phases- pre- authorization in which an assessed amount is approved, and post-authorization wherein the true amount of the transaction is recorded.It is necessary because the amount of the tip is anonymous at the time of the early authorization.At the end of each business day, the account of merchant should be shut or settled.It relies on the Processor.It can either happen robotically or require retransmission of the costs of day.Once closing or settlement has been done, the Processor notifies the Acquirer and he then starts the procedure of moving funds. Thus, to sum up, it is not wrong to say that a variety of tasks are performed, administered and arranged by Visa and MasterCard settlement services. CONTACT US:- Payscout, Inc. Los Angeles • Atlanta New Jersey • São Paulo Shanghai 1.888.689.6088 www.payscout.com