Everything About Payment Processing

Payment terms

Cardinity
It is the trademark owned by Click2Sell and the system of payment card acceptance in e-commerce developed by Click2Sell.

Agreement
The agreement is concluded between the Merchant and Click2Sell on provision of payment instrument acceptance service and related services.

Confidential Information
Confidential information is any information known by both parties about each other during the validity of the Agreement, in particular, Click2Sell's Terms of Service, particularities, technical infrastructure, prices, a payment card holder's (buyer's) details, payment card details, content of the Agreement, negotiating positions.

E‐Commerce
E-commerce is distance selling where the instruction to make a payment transaction using a payment card is transmitted via the Internet;

E-commerce Merchant
E-commerce merchant is a person or company that sells goods or services through the internet.

Merchant Account
A merchant account is an account issued by an acquiring bank that allows an e-business to accept credit and debit cards. When a customer is charged for an online order, the funds are transferred from the customer's bank account to your merchant account.

Buyer
Buyer is a cardholder or other person entitled to operate a payment card when buying the merchant's goods or services on the latter's online shop.

Acquirer or Acquiring Bank
It is a bank or financial institution that accepts debit or credit card transactions for a cardholder and processes them on a merchant's behalf. When a customer makes a purchase on your store with a credit card, the acquirer transfers the funds to you.

Issuer or Issuing Bank
It is a bank or financial institution that issues credit cards. When a customer makes a purchase on your store with a credit card, the issuer bills the customer's credit card.

Payment Gateway
A payment gateway is a service that facilitates communication within banks by transmitting transaction information to Acquiring Banks and responses from Issuing Banks. Sometimes, a merchant account and payment gateway are set up in one process through the same company.

Payment Transaction
Payment transaction is the transfer of funds initiated by a cardholder (buyer).

Payment Transaction Submission
It is the submission of payment card details by the Merchant to Click2Sell in accordance with the terms and conditions of the Agreement in order to accept the funds for the payment transaction made with the payment card.

Card Not Present (CNP) Transaction
The case when a transaction is completed and the cardholder (or his or her credit card) is not physically present to hand to the seller is called CNP Transaction.

Recurring Transaction
It is a charge applied to a cardholder in predetermined intervals for services or goods of an ongoing nature (memberships, subscriptions).

Delayed Delivery Transaction
It is a transaction in which a buyer does not receive goods or services immediately at the time of purchase.

Transaction Settlement
It is the process through which a merchant receives funds for a transaction with a customer. Once a buyer purchases goods or services, his or her issuing bank sends funds to the seller's payment processor, which disperses said funds to the merchant.

Payment Processor
A payment processor is a company authorized to process credit card transactions between buyers and sellers.

Payment Service Provider (PSP)
It is a third party that helps merchants accept and facilitate payments.

Authorisation
Authorisation is a request to see whether a credit card is approved for use to complete a given purchase transaction. It is necessary to check whether a card holder's credit card holds sufficient funds and is approved to purchase from a merchant.

Credit Card Authorisation Code
This code is five or six numbers generated by an Issuing Bank, or the bank of a buyer using a Credit Card, for the purpose of validating a credit card whenever it is approved in the sale of a good or a service.

Address Verification System
It is a system created and maintained by Visa which was designed to prevent fraudulent activity by allowing a Merchant to verify whether a credit card's given address matches the address in the Card Issuer's system.

Payment (Credit/Debit) Card
It is an instrument of payment with an information-holding magnetic strip. A payment card is issued to a cardholder under the rules and regulations of credit card organisations for the use of purchasing goods and services.

Cardholder
Cardholder is a person in whose name a payment card has been issued.

Payment Card Details
The details are a card number, card verification code, expiration date, the amount of payment, full name, and address of the payment card holder.

Payment Card Organisations/Associations
Such organisations are Visa International, Visa Europe, MasterCard Inc., and Maestro International which operate card payment systems.

BIN (Bank Identification Number)
The first four to six digits on a credit card, which can be used to identify the Issuing Bank that issued the card.

Credit Card Account Number
It is the number that uniquely identifies a specific credit card account. The first 6 digits of the number are the Bank Identification Number, identifying the Issuing Bank. The last digit is a check-digit, used to detect errors. The remaining 9 digits represent the account number assigned to the cardholder.

Payment Card Details
The details are a card number, card verification code, expiration date, the amount of payment, full name, and address of the payment card holder.

Payment Card Number
It is a multi‐digit number which is imprinted on the payment card. It designates the relevant card account.

Payment Card Verification Code
It is a three to four‐digit number imprinted on a payment card beside the card number (in the signature field on the reverse side of the card) or otherwise provided to a payment card holder.

Chargeback
Chargeback is a refund of the amounts of a payment transaction officially claimed by a cardholder from his/her bank or card issuer. This usually occurs because the customer escalated a dispute about a purchase to his or her bank for resolution.

Reserve
Reserve is the Merchant's amount of funds withheld by Click2Sell and used as the guarantee of fulfilment of the Merchant's obligations and liabilities.

PCI DSS (Payment Card Industry Data Security Standard)
PCI DSS is a payment card data security standard created to reduce Credit Card fraud and required by payment card organisations.

Hypertext Transfer Protocol Secure (HTTPS)
HTTPS is a communications protocol for secure communications over a computer network.


Frequently Asked Questions

Useful Resources

Here you can find additional resources that may help you in the process and tell you more about payment processing.

  • Check our industries list and find out more information about what types of businesses can be accepted and what types are prohibited.
  • In order to start accepting card payments, you need to follow some requirements. We made them available to every online merchant.
  • Certain business types are not allowed to process card payments. Here you can find the list of prohibited business activities.
  • Follow our blog to get to know more about Cardinity, e-commerce and online payments as well as stay up to date with news from us.

Have any questions?

If you haven't found answers to your questions here or need any further assistance, don't hesitate to contact us.