Credit Card 101 -


Published on

This is an excellent introductory presentation from Payment Processing Inc. a leader in the merchant account processing business. The original presentation can be found on the website. If you would like more information about Merchant accounts, please visit:

Published in: Economy & Finance
1 Like
  • Be the first to comment

No Downloads
Total views
On SlideShare
From Embeds
Number of Embeds
Embeds 0
No embeds

No notes for slide

Credit Card 101 -

  1. 1. Credit Cards 101 Payment Processing, Inc. is a registered ISO/MSP of HSBC Bank USA, National Association, Buffalo NY, First National Bank of Omaha, Omaha, NE and a sponsored Independent Sales Organization of JP Morgan Chase. ©2005 Payment Processing, Inc. All Rights Reserved.
  2. 2. Overview <ul><li>Why Accept Credit Cards? </li></ul><ul><li>Why Integrate Credit Card Processing? </li></ul><ul><li>Card Payment Process </li></ul><ul><li>Card Settlement Process </li></ul><ul><li>Where PPI Fits In </li></ul><ul><li>How PPI Helps You </li></ul><ul><li>About PPI </li></ul><ul><li>The Company We Keep </li></ul><ul><li>Closing and Contact </li></ul>
  3. 3. Why Accept Credit Cards? <ul><li>Customer Satisfaction and Retention </li></ul><ul><li>Increased Sales / Retention </li></ul><ul><li>Larger Sales </li></ul><ul><li>Improved Efficiency with Paperless Payments </li></ul><ul><li>Improved Cash Flow – Secure Form of Guaranteed Payment </li></ul><ul><li>Speed of Checkout </li></ul><ul><li>Competitive Edge </li></ul><ul><li>Internet Strategy </li></ul>
  4. 4. Why Integrate Credit Card Processing? <ul><li>Speed of Checkout and Processing Times </li></ul><ul><li>Less Counter Equipment </li></ul><ul><li>Accounting / Inventory Efficacy </li></ul><ul><ul><li>Consolidates Cash, Checks and Credit Card Transactions for Better Accounting / Inventory Management </li></ul></ul><ul><li>Maximizes Your Investment in Your POS </li></ul>
  5. 5. Today’s Payment World – Complex Telephone PDA Computer Terminal Internet Dial-Up or Frame Relay Satellite Cellular <ul><li>PCCharge </li></ul><ul><li>PayMover </li></ul><ul><li>VeriSign </li></ul><ul><li>ICVerify </li></ul><ul><li> </li></ul><ul><li>“ Processors” </li></ul><ul><li>PPI </li></ul><ul><li>Paymentech </li></ul><ul><li>Vital </li></ul><ul><li>Global Payments </li></ul>Card Presented Card Presented Card Presented Authorized Or Declined Authorized Or Declined Authorized Or Declined Merchant Bank Acquiring Bank Cardholder Bank Issuing Bank Merchant Bank Depository Bank When an authorization is received, funds are settled and deposited into the merchant’s DDA account within 48-72 Hours
  6. 6. Card Payment Process Authorization Process Takes 3-15 Seconds <ul><li>Acquiring Bank </li></ul><ul><li>Accepts Cards </li></ul><ul><li>Has a Contract with the Merchant </li></ul><ul><li>Requests Authentication and Authorization </li></ul><ul><li>Pays the Merchant </li></ul><ul><li>Reimbursed by Association </li></ul><ul><li>Bills Fees to Merchant </li></ul><ul><li>Issuing Bank </li></ul><ul><li>Issues Cards </li></ul><ul><li>Has a Contract with the Consumer </li></ul><ul><li>Issues Authentication and Authorization </li></ul><ul><li>Pays the Association </li></ul><ul><li>Reimbursed by Cardholder </li></ul><ul><li>Bills Fees to Cardholder </li></ul>Acquiring Bank Issuing Bank Transaction Server Customer Pays by Credit Card Joe’s Auto Service 
  7. 7. Card Settlement Process Wednesday Merchant Post Merchant Account 1 Merchant Account 2 Merchant Account 3 Monday Batch Closed by Processor Processor Tuesday “ Sweep” & FRB Post Cardholder Accounts FRB 1 FRB 2 FRB 3 $ $ $ Wednesday Monday Tuesday Thursday Tuesday Wednesday Wednesday Monday Tuesday Thursday Tuesday Wednesday Friday Wednesday Thursday
  8. 8. Where PPI Fits In <ul><li>Trusted Technology Partner </li></ul><ul><li>Development Level Support </li></ul><ul><ul><li>Middleware Integration </li></ul></ul><ul><ul><li>Configuration </li></ul></ul><ul><ul><li>Testing </li></ul></ul><ul><li>On-Going End-User Support </li></ul><ul><ul><li>Magstripe Reader, Middleware, Connectivity </li></ul></ul><ul><li>Merchant Account Provisioning </li></ul><ul><ul><li>Credit / Debit / EBT Merchant Accounts </li></ul></ul><ul><ul><li>ACH Check Processing Accounts </li></ul></ul><ul><ul><li>Gift & Loyalty Programs </li></ul></ul><ul><ul><li>Middleware Provisioning </li></ul></ul>
  9. 9. How PPI Helps You <ul><li>Get the Lowest Rates </li></ul><ul><ul><li>Terminals </li></ul></ul><ul><ul><li>Address Verification </li></ul></ul><ul><ul><li>Card Swiping vs. Hand Keying Transactions </li></ul></ul><ul><li>Avoid Duplicate Transactions </li></ul><ul><li>Analyze Statements </li></ul><ul><li>Decide on the Best Solution </li></ul><ul><ul><li>Fat Client vs. Thin Client Implementation </li></ul></ul><ul><li>Solve Support Struggles – Hardware, Software, POS, Bank </li></ul><ul><li>PPI Partners with You to Help You Get the Best Rates and Support </li></ul>
  10. 10. About PPI <ul><li>Since 1995… </li></ul><ul><li>Pioneer and Leader in PC-Based Transaction Processing </li></ul><ul><ul><li>Helped Over 500 Software Developers and 10,000 Merchants Implement Integrated Payment Processing </li></ul></ul><ul><li>A Technology Company </li></ul><ul><li>Development Level & On-Going Support for Transaction Processing </li></ul><ul><li>Top 5 Independent Processors </li></ul>
  11. 11. The Company We Keep
  12. 12. Thank You! http:// 800-774-6462