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Credit Card Processing

Summary

Credit Card Processing refers to the handling of credit card transactions between a consumer and a merchant, ensuring the secure transfer of payment information.

Detailed Description

Credit Card Processing involves several key steps: authorization, capture, and settlement. When a cardholder makes a purchase, the merchant sends the customer’s information to the acquiring bank via a payment processor. The processor contacts the card-issuing bank for authorization to complete the transaction. Upon approval, the funds are temporarily reserved until the merchant requests payment capture. Finally, during settlement, funds are transferred from the cardholder’s bank to the merchant's account, minus transaction fees.

Category
Payment Systems
Synonyms
Card Processing
Payment Gateway
Transaction Processing

Impact Details

3 impact insights hidden

Yirifi's stakeholder, regulatory-compliance, and risk-impact analysis for this term.

E-commerce Transactions

Merchants can accept credit card payments online for goods and services.

Industries:

Retail
Travel
Digital Services

Platforms:

Websites
Mobile Apps
In-Store Purchases

Physical stores utilize card processing systems to accept customer payments through card terminals.

Industries:

Restaurants
Supermarkets
Retail

Platforms:

POS Systems
E-commerce Transactions

Merchants can accept credit card payments online for goods and services.

Industries:

Retail
Travel
Digital Services
Subscriptions

Platforms:

Websites
Mobile Apps
In-Store Purchases

Physical stores utilize card processing systems to accept customer payments through card terminals.

Industries:

Restaurants
Supermarkets
Retail
Healthcare

Platforms:

POS Systems
Recurring Payments

Enables businesses to set up automatic billing for subscriptions or installments.

Industries:

SaaS
Telecommunications
Membership Services

Platforms:

Payment APIs
Billing Software

Top Metrics

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FAQs

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