Worldline - 2019 Universal Registration Document
THE PAYMENT INDUSTRY Card Payments
The main parties involved in a typical card retail payment transaction include: The card issuer: Generally, banks issue debit, credit or ●
Like issuers, many acquirers outsource part or all of their activities to “third party acquirer processors”. Such processors will typically route transaction data received from merchants’ physical or online payment gateways with a view to obtaining payment authorizations via the credit and debit card scheme networks, known as “front-end” processing, and then ensuring that each transaction is appropriately cleared and settled into the merchant’s bank account, known as “back-end” processing; Card schemes: Card schemes settle card transactions ● between all of its member banks, typically through a separate batch payment system, which set card scheme network rules and interchange fees and act as custodians and clearing houses for their respective card brands; Clearing and settlement system: ● Clearing is a process through which a card issuing bank ● exchanges transaction information with a processing bank. The acquirer or merchant service provider will connect the merchant card acceptance system to card scheme. The clearing messages contain data on the validity of the payment, but no funds are transferred, Settlement is the exchange of funds between a card ● issuer and an acquiring bank to complete a cleared transaction and the payment to a merchant for the amount of each card sale that has been submitted into the network.
prepaid cards to individuals or corporations to be used as a payment method in face-to-face (card present) or remote (card not present) environments. The process of issuing and managing the cards and the process of authorizing, clearing and settling the payments is complex. As a result, many issuers outsource part or all of these activities to so-called third party issuer processors such as Worldline; The merchant: Merchants sells good and/or services in ● exchange for payment. Merchants need a mechanism that enables their acceptance of card payments (online or proximity); The Merchant Services Provider: Payment acceptance ● processing providers provide merchants with the means (POS Terminals, mobile POS (mPOS) Terminals, online payment gateways) to collect and transmit card data and receive payment authorizations in stores, online and via mobile devices. Some of these also provide merchant with additional functions, such as enhanced reporting, loyalty programs, advertising services, quality surveys using payment Terminals, dynamic currency conversion (DCC) services, etc.; The Acquirer: Acquirers are banks or payment institutions ● that provide merchants with access to the card scheme (e.g. Visa, MasterCard, CB, Bancontact, etc.) network and a merchant account. Commercial acquirers receive funds from issuing banks and deposit the proceeds, net of a “merchant service charge,” into the merchant’s account.
Universal Registration Document 2019
Made with FlippingBook Ebook Creator