Factors to Consider Credit Card Processing & Payment Services

In today’s business world the usage of credit cards being increasingly for every kind of money transactions. People are mainly depending on credit card processes for their money relevant transactions. If you want to get the information about credit card processing and other details of it, then read this article.

Credit Card Processing
CreditCardProcessing

About Credit Card Processing

The Credit card processing is always so simple. Credit Card Processing is basically money transaction through electronic access directly linked to the customer’s account. This credit card processing is one the safest and reliable process of payment for anyone. Many banks issue credit cards to customers.

The quality of your credit card processing service will impact the three areas like the speed and reliability of your transactions, the availability if knowledgeable support and the rate structure of your business is placed. The credit card systems will provide the customers with protection. Both, the customer and the traders are cashing in on credit card processing.

How Credit Card Processing Works

  • The cardholder presents their payment card to the merchant in exchange for goods or services.
  • The merchant sends a batch of approved authorizations to their acquiring bank.
  • The acquiring bank accepts and transmits the batch of authorizations.
  • Then that bank credits the merchant’s bank account through the automated clearinghouse for funds of cars transaction.
  • And the card network debits the issuing bank’s account and credits the acquiring bank’s account for the amount of the authorized transactions.
  • The issuing bank pays the acquiring bank for its customer’s transactions.
  • Cardholders must pay their issuing bank back for transactions plus any accrued interest and fees which is collected by the issuing bank per the terms of their agreement.

Online Credit Card Process

Online Credit Card Process
OnlineCreditCardProcess

The online credit card processing provide the customers with a variety of payment options and uses. Some uses are mentioning below for you.

Find Peace of Mind With Recurring Billing:

Through online credit card process, the revenue comes with the ability to accept one time and repeated payments, even when you are in busy work.

Get and Keep More of Your Favorite Customers:

Create a good customer experience by offering the accepting credit cards with ecommerce and the ease of buying online.

Be Proactive About Your Business Insights:

The merchants can synced directly to their customer profiles of every credit card payment including any registration details which are collected at the time of purchase.

Accept Mobile Credit Card Payments:

Mobile payment system allows you to accept credit card payments on your phone and for customers to pay you from them.

Your Business, No Limits:

You can accept the credit card payments and manage your business smoothly with the mobile apps that sync the complete web app.

Credit Card Submission, Clearing and Settlement Process:

The stores or business firms which are accepting credit cards, they become an integral part of payment processing system. The basic knowledge will help you to understand the components of payment processing and how they affect the way to do business.

Transaction Submission:

The credit card payments are not completed until the transaction information is submitted to the processing bank. Usually the transactions are submitted electronically to the pre-defined intervals at the end of the business day. Some exceptions are made for the merchants those who can’t connect to the processor at the time of the transaction.

Clearing Basics:

Through the clearing process, the card issuing bank transfers transaction information with the processing bank and deals with the settlement. Clearing is only provide in Visa and MasterCard transactions and American Express and Discover are both issuers of the cards & processors of the payments made with them.

The payment processor will connect to the card acceptance system to Visa and MasterCard, these two companies uses their own system for authorization. Single Message clearing and Dual Message clearing are two important procedures of clearing process.

Settlement:

Settlement is transfers the funds between a card issuer and an acquiring bank to complete a transaction which is cleared. The transaction is either single or dual message there is only one settlement window or settlement will done on the net basis. Interchange fees are collected from the acquiring banks and credited to the issuers for all sales transitions at the time of settlement.

List of Credit Card Processing Companies

There are number of credit card processing companies are available for us, among them we are mentioning the top ten payment processing companies in the world.

  • PayPal
  • Due
  • Payline Data
  • BitPay
  • Adyen
  • Square
  • Stripe
  • Flagship Merchant Services
  • Cayan
  • GoCardless

Leave a Reply