Transaction Lifecycle


Credit Card Transaction Lifecycle

Payment Processing Lifecycle

1. Consumer uses a credit card for payment. The merchant enters the cardholder data into their payment system, (either point-of-sale terminal/software or e-commerce site).

2. The acquirer / processor receives card data from merchant. The credit card data is routed through the payment system for processing.

3. The acquirer /processor sends the data to the payment card brand (Visa, MasterCard, Discover). The credit card data is then forwarded to the issuing bank for verification.

4. Credit card is verified by issuing bank / processor. Card verification checks for sufficient funds and account status.

5. Upon verification, a payment authorization number is generated by issuing bank. The authorization number indicates acceptance of transaction and is routed back to the payment card brand.

6. The acquirer / processor receives the authorization number from the payment card brand.

7. The acquirer / processor sends the authorization number back to the merchant.

8. Merchant completes the sale. Customer receives the goods or services.

The Payment Industry, and in particular, credit card processing, is complex. Merchants are faced with confusing statements, hundreds of various payment processing fees – including costly layers of discount rates, transaction fees and surcharges – in addition to the numerous processing options offered by merchant service providers, payment gateways, and other payment processing entities.

Our role, at VeriProcess, is to help organizations that accept credit card payments reduce their payment processing expenses by identifying and correcting areas of overspend. We are not a merchant services provider; instead, we function as merchant advocates and our expense reduction services do not require you to change your existing merchant service provider. Our experience and expertise in the Payment Industry puts the knowledge in your corner when navigating the complexity of payment processing, and our results-based fee model incents us to deliver maximum savings.