Advantage to real-time credit card processing is that the transaction is processed immediately
From: writeedge.com
Most credit card processors will also verify the customer's address to make sure that it matches the address on file with the card's issuing bank. Credit cards can either be processed in real-time or collected and batch processed. Real-time processing means that the customer enters credit card information, it is immediately accepted or denied, the customer is notified, and if it was accepted, the transaction is concluded. Batch processing means that a number of credit card transactions are processed together at a later time. The obvious advantage to real-time credit card processing is that the transaction is processed immediately and the customer knows whether or not it has been approved. However, the risk of fraud is greater with real-time processing, because you take the chance that a stolen card is being used before it has been reported stolen.
Another disadvantage to using real-time processing: if your credit card processor's server goes down, you cannot accept any orders. Batch processing can be the better option for smaller businesses because it lessens the risk of fraud. Although you can perform batch processing by collecting the information and then phoning it into your bank, contracting with a credit card processing company allows you to process transactions via the Web or through dial-up networking. In addition to being faster, computerized processing also reduces the risk of error. If you’re merchant account provider doesn't offer card processing, research your online options carefully. Many credit card service providers are allowing resellers to become involved in the process, so it pays to know who you're dealing with. It's also important to make sure that your bank will work with your credit card provider.
Most credit card processors will also verify the customer's address to make sure that it matches the address on file with the card's issuing bank. Credit cards can either be processed in real-time or collected and batch processed. Real-time processing means that the customer enters credit card information, it is immediately accepted or denied, the customer is notified, and if it was accepted, the transaction is concluded. Batch processing means that a number of credit card transactions are processed together at a later time. The obvious advantage to real-time credit card processing is that the transaction is processed immediately and the customer knows whether or not it has been approved. However, the risk of fraud is greater with real-time processing, because you take the chance that a stolen card is being used before it has been reported stolen.
Another disadvantage to using real-time processing: if your credit card processor's server goes down, you cannot accept any orders. Batch processing can be the better option for smaller businesses because it lessens the risk of fraud. Although you can perform batch processing by collecting the information and then phoning it into your bank, contracting with a credit card processing company allows you to process transactions via the Web or through dial-up networking. In addition to being faster, computerized processing also reduces the risk of error. If you’re merchant account provider doesn't offer card processing, research your online options carefully. Many credit card service providers are allowing resellers to become involved in the process, so it pays to know who you're dealing with. It's also important to make sure that your bank will work with your credit card provider.
0 Comments:
Post a Comment
<< Home