Mercantile Transactions Using Credit Cards:

Advertisement

 

Two  major  components  comprise  credit  card  transactions  in  the  mercantile  process:  Electronic Authorization and  Settlement credit authorization processes at point-of-sale terminal. The credit card number is checked against the database and the transaction is either approved or denied, within few seconds.

 

Step-by-step a/c of a retail transaction follows:

 

Step 1: A customer presents a credit card for payment at a retails location.

 

Step 2: The point-of-sale s/w directs the transaction of to the Local Network access point.

 

Step 3: The system verifies the source of the transactions and routes to the appropriate authorization source.

 

Step 4: At retail location collects all complement transaction information into a ‘batch’.

 

Step 5: The system gathers all completed transactions and processes the data in preparation for settlement.

Advertisement
The following two tabs change content below.
We, at BMS.co.in, believe in sharing knowledge and giving quality information to our BMS students. We are here to provide and update you with every details required by you BMSites! If you want to join us, please mail to [email protected]
0 Comments

Leave a reply

Your email address will not be published. Required fields are marked *

*

*

BMS.co.in is aimed at revolutionising Bachelors in Management Studies education, also known as BMS for students appearing for BMS exams across all states of India. We provide free study material, 100s of tutorials with worked examples, past papers, tips, tricks for BMS exams, we are creating a digital learning library.

Disclaimer: We are not affiliated with any university or government body in anyway.

©2019 BMS - Bachelor of Management Studies Community 

A Management Paradise Venture

Ask Us On WhatsApp
or

Log in with your credentials

or    

Forgot your details?

or

Create Account