What is credit card processing and why businesses need it?

Credit Card Processing:

Now, let’s go into the process of the credit card,

When one has a credit card he/she can get a loan to buy an article within a matter of seconds, with a swipe of a card. When a customer uses the card to buy goods on credit, Pinoy Channel, the same gets approved by the bank within minutes. If he hasn’t reached his credit limit the transaction gets approved, But if he has the same gets rejected.

There are actually four people involved in this process, the customer, merchant, issuing bank and the acquiring bank. The customer with a swipe of a card gets credit from the issuing bank, the issuing bank then sends the money to reimburse them for the purchase that was made, the merchant then sends at the end of the day a list of payments called as a Batch for which money has to be deposited in his bank account (merchant bank account). Pinoy Tambayan,, Then issuing banks issues a bill to the cardholder at the end of the month. Fees are deducted from both banks to the customer and merchant bank and at the end, the amount of money that ends up in the merchant bank is less than what he charged the customer. The rate charged by the customer’s bank is the interchange fee and the rate charged by the merchant bank is the discount rate. In a way having credit processing will increase the chance of a purchase being made.

Credit Card Processing:

Now, let’s go into the process of the credit card,

When one has a credit card he/she can get a loan to buy an article within a matter of seconds, with a swipe of a card. When a customer uses the card to buy goods on credit, Pinoy Channel, the same gets approved by the bank within minutes. If he hasn’t reached his credit limit the transaction gets approved, But if he has the same gets rejected.

There are actually four people involved in this process, the customer, merchant, issuing bank and the acquiring bank. The customer with a swipe of a card gets credit from the issuing bank, the issuing bank then sends the money to reimburse them for the purchase that was made, the merchant then sends at the end of the day a list of payments called as a Batch for which money has to be deposited in his bank account (merchant bank account). Pinoy Tambayan,, Then issuing banks issues a bill to the cardholder at the end of the month. Fees are deducted from both banks to the customer and merchant bank and at the end, the amount of money that ends up in the merchant bank is less than what he charged the customer. The rate charged by the customer’s bank is the interchange fee and the rate charged by the merchant bank is the discount rate. In a way having credit processing will increase the chance of a purchase being made.

Credit Card Processing:

Now, let’s go into the process of the credit card,

When one has a credit card he/she can get a loan to buy an article within a matter of seconds, with a swipe of a card. When a customer uses the card to buy goods on credit, Pinoy Channel, the same gets approved by the bank within minutes. If he hasn’t reached his credit limit the transaction gets approved, But if he has the same gets rejected.

There are actually four people involved in this process, the customer, merchant, issuing bank and the acquiring bank. The customer with a swipe of a card gets credit from the issuing bank, the issuing bank then sends the money to reimburse them for the purchase that was made, the merchant then sends at the end of the day a list of payments called as a Batch for which money has to be deposited in his bank account (merchant bank account). Pinoy Tambayan,, Then issuing banks issues a bill to the cardholder at the end of the month. Fees are deducted from both banks to the customer and merchant bank and at the end, the amount of money that ends up in the merchant bank is less than what he charged the customer. The rate charged by the customer’s bank is the interchange fee and the rate charged by the merchant bank is the discount rate. In a way having credit processing will increase the chance of a purchase being made.