Glossary 2020-03-11T18:55:51+00:00


Glossary Overview


An ABA number (also known as routing number or routing transfer number) is a sequence of nine numeric characters used by banks to identify specific financial institutions within the United States. The ABA is usually found at the bottom of a personal or business check.
Automated Clearing House (ACH) is an electronic network for financial transactions in the United States. ACH processes large volumes of credit and debit transactions in batches. ACH credit transfers include direct deposit, payroll and vendor payments including merchant accounts offered by Bancard Financial.
Accounts Receivable Conversion (ARC)
A process that allows paper checks received in payment for an account receivable to be electronically scanned and converted into an electronic payment through the Automated Clearing House. ARC saves time and the expense of actually processing the check. Check conversion is offered by Bancard Financial.
Account Number
The primary identifier for ownership of an account, whether a vendor account, a checking or brokerage account, or a loan account. An account number is used whether or not the identifier uses letters or numbers. Merchant accounts offered by Bancard Financial are assigned a unique account number.
A financial institution or merchant bank (a merchant acquirer) which is contracted to authorize a credit card or debit purchase. The acquirer will either approve or decline the debit or credit card purchase amount. If approved the acquirer will then settle the transaction by placing the funds into the seller’s account.Bancard Financial merchant accounts are available in the US, EU, and Asia.
Acquiring Bank/Merchant Bank
An acquiring bank (or acquirer) is a bank or financial institution that processes credit or debit card payments on behalf of a merchant. Bancard Financial merchant accounts are available in the US, EU, and Asia.
Address Verification Service (AVS)
A system used to verify the address of a person claiming to own a credit card. The system will check the billing address of the credit card provided by the user with the address on file at the credit card company. Bancard Financial encourages the use of AVS on every transaction.
Used to process disputes or discrepancies with other financial institutions. Bancard Financial will help you with your chargebacks and responding to them.
Application Programming Interface (API)
In computer programming, an application programming interface (API) is a set of routines, protocols, and tools for building software applications. An API expresses a software component in terms of its operations, inputs, outputs, and underlying types. The Bancard Financial Gateway API is easy to implement and is PCI secure.
Altered Card
A card on which the original embossed or encoded information has been altered for fraudulent purposes. Bancard Financial can help you identify fraudulent cards.
American Bankers Association (ABA)
The American Bankers Association (ABA) is the largest banking trade association in the United States. Founded in 1875, the ABA represents banks of all sizes. This body also has the registration authority to assign identification numbers.
American Express (AMEX)
A company that specializes in the issuance of Travel and Entertainment (T&E) cards. American Express services the cards it issues, serving as its own transaction processor with its own processing network. Accept American Express today with a merchant account with Bancard Financial.
Application Service Provider (ASP)
A company that delivers applications – software – through the Internet and charges a monthly fee. Traditionally, software is sold. You physically receive a CD and you install it on your hard drive or your office’s server. ASPs don’t operate this way. Bancard Financial provides merchant accounts for every business model.
Approval Response
An affirmative reply following a transaction authorization request. Achieve higher approval responses with a merchant account with Bancard Financial.
A procedure used by an acquirer on behalf of the merchant to resolve a chargeback-related dispute with a card issuer. Bancard Financial you dispute chargebacks.
MasterCard International, Visa U.S.A. or Visa International, which are licensing regulatory agencies for bankcard activities. Every merchant account with Bancard Financial enables you to accept Visa and MasterCard for your business.
ATM (Automated Teller Machine)
An electronic banking outlet, which allows customers to complete basic transactions without the aid of a branch representative or teller. Typical functions include dispensing cash, accepting deposits and loan payments and accepting account transfers and inquiries. Also used by credit cardholders for receiving cash advances.
ATM System
The telecommunications and processing system operated by or on behalf of an Acquirer Member to process STAR Transactions initiated through the Acquirer Member’s STAR ATMs or STAR POB Terminals. The ATM System includes all elements of the processing system from the ATM or POB Terminal to the interface with the STAR Switch.
The process by which a transaction is approved by the issuer, or by Visa/MasterCard on behalf of the issuer. Permission is given (or denied) to the merchant, via the acquirer, to accept a specific transaction from the cardholder account. An authorization indicates only that the card is valid and that sufficient funds are available on the cardholder’s credit limit at the time the request is made. Achieve higher authorization ratios with a merchant account with Bancard Financial.
Authorization Approval Code
The numerical code designated by the issuer, assigned to a sales transaction as verification that the sale is authorized. Get more authorization approval codes with a merchant account with Bancard Financial.
Authorization Only (Auth Only)
Used to reserve an amount against a credit card’s available credit limit for intended purchases. Authorization Only is most frequently used in the lodging (check-in), restaurant (tab) and car rental (pick-up) industries, where an approval is received for an estimated amount prior to the finalization of the charge amount.
Authorization Request
A Bancard Financial merchant’s request for an authorization to accept a cardholder’s sales transaction. An authorization request can occur electronically via a credit card processing terminal or via telephone as a voice authorization.
Auto Representment
Automatically sending information to resolve a chargeback on a Bancard Financial merchant’s behalf without the need for merchant intervention.
Average Ticket:
The average size of a Bancard Financial merchant bankcard transaction. Generally used in pricing decisions and calculations.
Business to Business – refers to one business communicating with or selling to another. Bancard Financial merchant accounts are for both B2B and B2C business models.
Back-End Network
The settlement provider responsible for finalizing transactions, routing payment to a Bancard Financial merchant’s account and generating statements.
Balance Sheet
A financial statement that lists assets, liabilities and net worth as of a specific date. Bancard Financial will provide a merchant account to businesses of any size.
Bank Identification Number (BIN)
A unique series of numbers assigned by Visa/MasterCard to a member institution, which identifies that institution in transaction processing. The BIN comprises the first six digits of a standard credit card number. Learn more with a merchant account with Bancard Financial !
Bank Card
A card issued by a banking institution with a MasterCard or Visa brand. Bancard Financial merchant accounts can accept any card bearing the Visa or MasterCard logo.
The accumulation of captured transactions waiting to be settled. Multiple batches may be settled throughout the day on a merchant account with Bancard Financial.
Batch Deposit
The electronic depositing of a batch file transmitted to the transaction processor for settlement. Receive batch deposits daily with a merchant account from High Risk Helper .
Batch Processing
The authorization of transactions offline when immediate approval is not required. Transactions are collected in a batch and sent as one transmission for authorization and/or settlement. Batch processing is generally used with mail order/telephone order (MOTO) transactions. Process batch uploads with the Bancard Financial gateway.
Bisynchronous Communication
A communication method that transmits continuously with no start and stop between the information bytes.
A software application used to locate and display Web pages. Such as the one you’re using to view this on the Bancard Financial website.
Business Card
A payment card typically issued to and used by owners of small businesses. Accept all major credit cards with a Bancard Financial merchant account.
Business Day
A day on which the Federal Reserve Bank is conducting business to which a Member may send applicable items for presentment. Bancard Financial is open every business day to answer any questions you may have.
Call Center
An authorization request response displayed on the credit card terminal screen, generated by the issuer or through stand-in processing. The merchant must then call for a voice authorization. If an approval is given, the user must enter the approval code manually into the POS device as a “force” or “post-authorization.” Learn more from Bancard Financial.
Receiving and storing transaction data at the processor’s host computer, to be submitted later for processing and payment.
Card Identification Number/Card Identifier (CID)
An American Express and Discover verification process that utilizes a non-embossed three- or four-digit number printed when authorizing credit card transactions where the physical card is not present. On American Express cards, the CID is a four-digit code printed on the front of the card. On Discover cards, the CID is a three-digit code printed next to the card number in the signature panel.Bancard Financial encourages the request of the CID at the time of purchase.
Card Issuer
The financial institution or retailer that authorizes the issuance of a card to a consumer (or another organization), and is liable for the use of the card. The issuer retains full authority over the use of the card by the person to whom the card is issued. Or any bank or organization that issues, or causes to be issued, bankcards to those who apply for them. Or any organization that uses or issues a personal identification number (PIN). Accept any major credit card with a merchant account at Bancard Financial.
A payment card transaction made where the cardholder does not or can not physically present the card for a merchant’s visual examination at the time that an order is given and payment effected, such as for mail-order transactions by mail or fax, or over the telephone or Internet. These are considered higher risk transactions. Bancard Financial specializes in Bancard Financial merchant account activations.
Card Present
A type of transaction in which the card is present and is swiped through an electronic device that reads the contents of the magnetic stripe on the back of the card. Process all your card present transactions with a merchant account at Bancard Financial.
Card Reader
Input device on a card terminal that translates the information stored on the magnetic stripe on the back of a card.Bancard Financial can also provide you with any hardware you need to process your face-to-face transactions.
The person to whom a payment card is issued, or an additional person authorized by the original cardholder to use the card.
Cardholder Account Number
A sequence of numbers assigned specifically to a cardholder account that also identifies the issuer and type of payment card. The cardholder account number is the embossed number imprinted on the payment card.
Cardholder-Initiated Chargeback
A chargeback that results when a cardholder contacts the card issuer and refuses to accept a charge appearing on a monthly billing statement. Bancard Financial can help you fight your chargebacks.
Cash Advance
A transaction in which a cardholder obtains cash in person at the branch of a member financial institution or ATM. This is the only method of receiving cash from a credit card that is approved by the payment brands.
A credit or debit entry, initiated by a merchant, to consolidate funds of that organization, from its branches, franchises or agents, or from other organizations; or to fund the accounts of its branches, franchises or agents or of another organization.
A transaction that is challenged by a cardholder or card issuing bank and is sent back through interchange to the merchant bank for resolution. Bancard Financial can help you fight your chargebacks.
Chargeback Period
The number of calendar days (counted from the transaction processing date) during which the issuer has the right to charge the transaction back to the acquirer. The number of days varies according to the type of transaction from 45 to 180 days. Bancard Financial can help you fight your chargebacks.
Chargeback Fee
The amount assessed by the acquirer for processing chargebacks.Bancard Financial can help you fight your chargebacks.
Chargeback Reason Code
A numerical code that identifies the specific reason for a chargeback. Bancard Financial can help you fight your chargebacks.
Check Card
A bank card that can be used with a PIN at an ATM or without a PIN at the point of sale, also known as an offline debit card. When used at the point of sale, the transaction is processed through interchange as a credit card transaction with the funds debited from the cardholder’s checking account. Accept any check card with the Visa or Mastercard logo with a merchant account at Bancard Financial.
Check Digit Verification (MOD-10 check)
A check digit is the last position of a card account number, generated from an algorithm performed on a primary card account number. Verification of this number is referred to as a MOD-10 check and is used to validate a credit card number.
Check Guarantee
A service that guarantees check payment to a merchant up to a specified amount. However, merchants are required to perform correct authorization procedures. Bancard Financial provides check guarantee services in addition to merchant accounts.
Check Reader
A device that reads the numbers printed on the bottom of most checks. Bancard Financial can provide a check reader to use with your check guarantee service.
Check Verification
A service that provides merchants with some security against bad checks. The person writing the check is matched against a national negative file database to flag outstanding or bad checks on record from other members of this service.Bancard Financial can provide check verification services in conjunction with your merchant account.
The encrypted text of a message, which may be decrypted only by someone who has the correct key.
Sending a merchant’s completed transactions to the host for processing.
Code 10 Authorization
If the POS device displays “Lost or Stolen Card,” or “Pick Up Card” or a similar message, the merchant should call the authorization center for a Code 10 Authorization. The operator will ask questions to determine if the transaction is valid. Bancard Financial
Commerce Service Provider (CSP)
An organization that hosts commerce software applications on its own servers within its own facilities.
Commercial Cards
Formal name for the following three types of cards:

• Corporate Card – usually issued to the employees of a large corporation where the corporation assumes all liability for the card’s usage.

• Purchasing Card – issued to corporations. It allows the corporation numerous parameters to control daily and monthly spending limits, total credit limits and where the card may be used. Many employees may be issued the same card number.

• Business Card – similar to the Corporate Card, but issued to a business with fewer employees. Each employee is responsible for his or her purchases. Accept any commercial card branded with a major credit card logo with a merchant account at Bancard Financial.

The procedure a Visa or MasterCard member may use to resolve a dispute between members when no chargeback reason code applies. The challenging member must prove financial loss due to a violation of MasterCard and/or Visa rules by the other member. Bancard Financial can help you fight your chargebacks.
Counterfeit Card
A plastic card that has been fraudulently printed, embossed or encoded to appear to be a genuine bank card, but which has not been issued by a Visa or MasterCard member. It could also be a card which was originally issued by a member, but was subsequently altered without the issuer’s knowledge or consent.Bancard Financial can help you identify counterfeit cards.
A refund or price adjustment given for a previous purchase. Issue credits quickly and easily with the Bancard Financial gateway.
Credit Card
A plastic card with a credit limit used to purchase goods and services and to obtain cash advances on credit. The cardholder is then billed by the issuer for repayment of the credit extended.
Credit Slip
A form stating a refund or price adjustment will be credited to a cardholder account. Also referred to as a credit voucher or credit draft.
The process of protecting information by transforming it into an unreadable format. The information is encrypted using a “key” that makes the data unreadable. It is later decrypted, making the information readable again.
Card Verification Code (CVC)
MasterCard term for the three-digit code printed next to the card number in the signature panel and used as part of the authorization process. Bancard Financial encourages the use of CVC at the time of checkout.
Card Verification Value (CVV)
Visa term for the three-digit code printed next to the card number in the signature panel and used as part of the authorization process. Bancard Financial encourages the use of CVV at the time of checkout.
A collection of data organized and designed for easy access, e.g., a collection of customer names and addresses.
Data Encryption
The process of transforming processing information to make it unusable to anyone except those possessing special knowledge, usually referred to as a key. The Bancard Financial gateway is encrypted to ensure PCI compliance and cardholder security.
Debit Card
A bankcard used to purchase goods and services and to obtain cash, which debits the cardholder’s personal checking account. During online debit transactions, the cardholder must enter a PIN. Accept all major debit cards with a merchant account from Bancard Financial.
Debit Switch
A portal that transmits debit data between gateway banks and debit card issuers – also referred to as “Debit Network.” Only financial institutions may be members of debit switches.
A response from the card issuer denying the use of the card for the attempted transaction. If a request for approval is declined, the merchant must ask the cardholder for another form of payment.
Demand Deposit Account (DDA)
A checking account.
Derived Unique Key Per Transaction (DUKPT)
A method of PIN pad encryption. Accept all major debit cards with a merchant account from Bancard Financial.
Dial-Up Terminal
An authorization terminal that uses a telephone line to communicate with the authorization center. Bancard Financial offers a variety of terminals for your brick-and-mortar or mobile business.
Digital Certificate
An encrypted attachment to an electronic message, used for security purposes. The most common use of a digital certificate is to verify that a user sending a message is who he or she claims to be. The receiver is also provided with a way to encode a reply.
DIP Switches
Dual In-Line Package Switches – a series of connected switches that determine the proper configuration for a payment card terminal printer.
Direct Response
Term used to describe a Bancard Financial merchant processing primarily non-face-to-face or card-not-present transactions.
Discount Rate
An amount charged a merchant for processing its daily credit card transactions. Get competitive discount rates with a merchant account from Bancard Financial.
Doing Business As (DBA)
Refers to the specific name and location of the Bancard Financial merchant establishment where credit card purchases are made.
Electronic Commerce (E-commerce)
The transacting of business electronically rather than via paper. Bancard Financial offers many e-commerce solutions to accept credit cards online.
Electronic Cash Register – a cash register that also emulates a point-of-sale terminal for processing credit card transactions. Bancard Financial merchant accounts are compatible with with many ECR products.
Electronic Draft Capture – the use of a point-of-sale device to authorize and settle credit card transactions. Bancard Financial merchant accounts are compatible with with many EDC products.
Electronic Benefits Transfer (EBT)
The automation of government benefits through electronic authorization, data capture and settlement processes. Plastic cards with magnetic stripes are used, eliminating paper benefits and coupon distribution. Accept EBT with a merchant account at Bancard Financial.
Electronic Check Acceptance/ Electronic Check Processing (ECA/ECP)
Process that converts a paper check into an electronic check at the point of sale. The check is electronically processed through the ACH network. Accept checks electronically with a merchant account at Bancard Financial.
Electronic Funds Transfer (EFT)
An electronic system that automatically moves funds, e.g., an ATM withdrawal or pay-by-phone transaction. All Bancard Financial merchants are funded by EFT.
EuroPay, MasterCard and Visa, is a microchip-based technology designed to reduce fraud at the point-of-sale. Banks are beginning to issue payment cards with these embedded chips. Ensure your equipment is updated to accept EMV with a merchant account at Bancard Financial.
Method of scrambling data to protect a cardholder’s personal information.
License or permission to accept a particular type of payment card or other payment vehicle.
Erasable Programmable Read Only Memory (EPROM)
Industry-initiated standards used to identify terminal types and components.
Exceeded Timeliness
A transaction that is deposited too late to qualify for the best interchange rate.
Expiration Date
The embossed date on a bankcard. After that date, the card becomes invalid and should no longer be accepted.
When a legitimate merchant processes another merchant’s transactions in return for payment. This practice is forbidden by the associations.
Financial Institution
Any organization in the business of moving, investing or lending money, dealing in financial instruments or providing financial services. This includes commercial banks, thrifts, federal and state savings banks, saving and loan associations and credit unions.
Fleet Card
Payment card designed mainly for fueling, maintenance and repairs of corporate motor vehicles. Fleet cards are normally used to provide specialized reporting. Accept fleet cards with a merchant account with Bancard Financial.
A number assigned by a lodging merchant for tracking a guest’s charges.
The process by which a voice-authorized transaction is key-entered to be settled electronically with a batch of transactions. Also known as a post-auth.
Fraud Investigation
The process of identifying suspicious merchant or cardholder activity.
Front-End Network
Network provider responsible for authorizing and capturing transactions and forwarding the information to the back-end network.
Refers to the payment to a merchant for his submitted deposits.
Funds Transfer System
A wire transfer network, ACH, or other communication system or clearing house or association of banks in which a payment order by a bank may be transmitted. Includes: SWIFT, CHIPS, Fedwire, the National Association of Clearing House Associations, MasterCard and Visa.
Manages the electronic connection between consumers and their financial institutions and transmits data. The Bancard Financial gateway is PCI compliant and easy to implement.
Gift Card
A reusable, stored-value card that enables merchants to have an electronic alternative to paper gift certificates. Accept gift cards at your business with a merchant account through Bancard Financial.
Good Faith
An attempt by a card association member to resolve a dispute with another member in writing. A good-faith attempt at resolution must be made before filing a compliance case. Bancard Financial can help you respond to your chargebacks.
A laser-created photograph that uses a three-dimensional image that is difficult to duplicate. Used as an anti-counterfeiting measure on many payment cards.
Host Capture System (HCS)
A transaction is transmitted with an authorization request to the host computer at the front end, the information is captured at the host, then sent back to the POS device. Since the information is already stored at the host, it can be settled without the Bancard Financial merchant performing a settlement function.
Idle Prompt
The standard display on a payment card terminal waiting to process the next transaction.
A device used to imprint embossed card information onto a sales draft for payment card transactions. An imprinter is used if the card is present and the POS device cannot read the contents of the magnetic stripe.
Integrated Services Digital Network (ISDN)
A digital phone service link capable of supporting up to three types of communication devices simultaneously.
National debit card network in Canada.
The domestic and international systems operated by Visa and MasterCard for authorization, settlement and the passing through of interchange and other fees, as well as other monetary and non-monetary information related to bankcard activities.
Interchange Fees
Fees paid by the acquirer to the issuer to compensate for transaction-related costs. MasterCard and Visa establish interchange fee rates.
Internet Service Provider (ISP)
An organization that provides access to the Internet.
Issuer, Issuing Bank
The financial institution and member of Visa or MasterCard that holds contractual agreements with, and issues cards to, cardholders.
Level I Data
Level I purchasing card data includes the same information captured during a traditional credit card purchase transaction. This includes: total purchase amount, date, merchant category code and supplier/retailer name. Accept Level I purchasing cards with a merchant account from Bancard Financial.
Level II Data
Level II purchasing card data includes the same information captured at Level I, plus the following: sales tax amount, customer’s accounting code, merchant’s tax ID number, applicable minority – and women-owned business status and sales outlet ZIP code. Accept Level II purchasing cards with a merchant account from Bancard Financial.
Level III Data
Level III purchasing card data includes the same information captured at Levels I and II, plus the following: quantities, product codes, product descriptions, ship to ZIP, freight amount, duty amount, order/ticket number, unit of measure, extended item amount, discount indicator, discount amount, net/gross indicator, tax rate applied, tax type applied, debit or credit indicator and alternate tax identifier. Accept Level III purchasing cards with a merchant account from Bancard Financial.
A service that processes payments by check and credits the appropriate business.
Magnetic Ink Character Recognition Number (MICR Number)
The bank routing and transit, checking account number and check number encoded at the bottom of a check that can be used to authorize the check.
Magnetic Stripe
A panel located on the back of a payment card containing magnetically encoded cardholder account information.
Magnetic Stripe Reader
A point-of-sale device that reads the encoded information from the magnetic stripe when the card is passed through the reader. Readers may read Track Two, which contains the cardholder account number and expiration date, or both Track Two and Track One, which contains the cardholder name. Bancard Financial can provide a magnetic stripe reader for your in-person transactions.
Point-of-Sale (POS)
The location at which a payment card transaction occurs, usually by way of a device such as a credit card terminal or cash register.
Point-of-Sale Terminal (POS Terminal)
A terminal at the point of sale, connected via telecommunication lines to a central computer. Authorization, recording, and transmission of electronic transactions are performed through the terminal.
The process of recording debits and credits to an account.
A credit or debit entry, initiated by a merchant, pursuant to a standing, or one time authorization from a consumer, to effect an electronic funds transfer, to or from a consumer’s bank account.
In the electronic check-processing environment, a non-dollar transaction sent through the ACH network for the purpose of verifying the accuracy of the cardholder’s account data.
Presentment Currency
The currency in which a purchase is authorized through Visa, MasterCard or American Express. Accept up to 36 global currencies with a merchant account from Bancard Financial.
Private Label Card
A card issued by a merchant that can only be used in the issuing merchant’s business. An example would be a department store credit card.
Processing Fees
The fees associated with the processing of credit card transactions. Get competitive processing fees with a merchant account from Bancard Financial.
A company responsible for processing interchange transactions – operated by an acquirer or acting on the acquirer’s behalf.
A set of rules that allow data communications to work.
Purchasing Card
A purchasing card is a type of commercial card that allows organizations to take advantage of the existing credit card infrastructure to make business-to-business electronic payments for a variety of business expenses. Accept purchasing cards with a merchant account from Bancard Financial.
RAM (Random Access Memory)
Short-term memory for a computer or payment card terminal.
Reason Code
A code used to provide additional information to the receiving clearing member regarding the nature of a chargeback, subsequent presentment, fee collection, funds disbursement, or request for a source document.
Re-authorization (re-auth, add auth)
To request an additional amount to be authorized on an existing transaction. Used in the lodging industry when the original authorization is not sufficient to cover the charges.
A hard copy description of the transaction that took place at the point-of-sale, containing at minimum: date, merchant name/location, primary account number, type of account accessed, amount, reference number, and an action code.
Recurring Transaction
A transaction charged to the cardholder (with prior permission) on a periodic basis for recurring goods and services, i.e., health club memberships, book-of-the-month clubs, etc. Process recurring transactions with a merchant account from Bancard Financial.
The message received from an issuing bank when an attempt for authorization requires a call to the Voice Authorization Center.
A refund occurs when the merchant rebates all, or a portion, of an original transaction amount to the cardholder. Refunds are made to the same card that was used for the original transaction.
An attempt to reverse a chargeback initiated by a merchant or acquirer to the issuing bank that presented the chargeback, backed by supporting documentation. Bancard Financial can help you respond to chargebacks.
Retail Transaction
A face-to-face transaction in which the cardholder presents a card to the merchant to pay for goods or services.
Retrieval Request
A request by the issuer to the acquirer for a copy of the original sales ticket.
When an acquirer successfully represents a chargeback to the issuer, the chargeback is reversed and the funds are returned to the merchant.
ROM (Read-Only Memory)
Memory and information that cannot be changed.
The standard port on POS device used to support a wireless transmission via VSAT, Frame, VPN or Motient. May also be used with various peripheral devices i.e. Check Reader or Personal Computer.
Sales Transaction Fee
The amount the financial institution charges a merchant for each sales transaction.
As the sales transaction value moves from the merchant to the acquiring bank to the issuer, each party buys and sells the sales ticket. Settlement is what occurs when the acquiring bank and the issuer exchange data or funds during that function.
Settlement Currency
The currency in which a merchant receives funds after the completion of a foreign exchange conversion. Accept 36 global currencies with a merchant account at Bancard Financial.
Shopping Cart Software
Shopping cart software allows the cardholder to select items from an online store and place them in a virtual shopping basket or shopping cart. The shopping cart remembers which items are selected while the cardholder views other items within the virtual storefront, keeps a running total, and may calculate taxes and shipping. The items in the shopping cart are eventually ordered if the cardholder chooses. Bancard Financial offers numerous shopping cart solutions that are a custom fit to your business.
Smart Card
A plastic card resembling traditional credit or debit cards that contains a computer chip; the chip is capable of storing significantly more information than a magnetic stripe.
Soft Decline
A declined authorization attempt that does not necessarily mean the card is bad (i.e., call referral, issuer unavailable or cardholder over limit). These transactions may be resubmitted a day or two later in an attempt to obtain a valid authorization.
Software Development Kit (SDK)
A “kit” that is built to help a developer incorporate software into another program or system.
Split Dial
The capability of a card terminal to dial different telephone numbers to obtain an authorization or settlement of different card types.
Standard Industrial Code (SIC)
A universal four-digit code that designates a merchant’s industry type. Similar to an MCC code.
Stored Value Card
A stored value card is used by a merchant to issue spending credit to their customers. The merchant’s customers are given a magnetic stripe card in exchange for money received, merchandise returned or other considerations. The card represents a dollar value that the merchant’s customer can either use or give to another individual. There is no security associated with the card itself. The actual record of the balance on the card is maintained on a stored value card database.
A file sent by the merchant that contains one or more transactions.
Summary Adjustment
A correction to a deposit, made by the acquirer, when there is an error in the submitted deposit.
T&E Cards
Cards that are developed for and used primarily in travel-related services. Accept all major T&E Cards with a merchant account at Bancard Financial.
T&E Merchant
An airline, car rental company or lodging establishment with a primary function of providing travel-related services. Setup a T&E merchant account at Bancard Financial.
An electronic debit from a consumer’s bank account based on oral authorization by phone. A company can only initiate the telephone call when there is an existing relationship with the consumer.
Selling goods or services over the phone, for payment by credit card.
Terminal Capture System (TCS)
The process in which transactions are stored in the terminal until the batch is settled to the host. Most often used in restaurant applications where tip adjustments need to be made.
Terminal Identification Number (TID)

Number identifying a merchant to the front-end network.

Track One
Track One information, stored on the magnetic stripe on the back of a card, has the cardholder’s name in addition to the account number and expiration date stored in it.
Track Two
Track Two information, stored on the magnetic stripe on the back of a card, has the account number and expiration date.
Any event that causes a change in an organization’s financial position or net worth, resulting from normal activity. Advance of funds, purchase of goods at a retailer or when a borrower activates a revolving line of credit. Activities affecting a deposit account carried out at the request of the account owner. One example of a transaction is the process that takes place when a cardholder makes a purchase with a credit card.
Transaction Date
The actual date on which a transaction occurs.
Transaction Fee
The amount a merchant pays per transaction for processing. Receive competitive transaction fees with a merchant account at Bancard Financial.
Valid Date
The date embossed on a payment card stating when the card may first be used.
Value Added Reseller (VAR)
A third-party that certifies their software to be used on a processor’s system.
Voice Authorization
Transactions authorized by a voice operator. Voice-approved transactions must be “forced” into a terminal batch for settlement.
An electronic debit from a consumer’s bank account created during a secure Internet session between a company and consumer.
Zero Floor Limit
Requires that all transactions receive authorization.