High Risk Merchant Payment Processor

Card Merchant Processors are devices that enable a merchant to process the payment request for a transaction with a customer. These devices facilitate the process of the merchant bank paying the merchant the amount that was transacted between the merchant as well as the customer.

When a customer makes a purchase at a merchant outlet and presents a card for making the payment, it's swiped at a terminal (generally known as a Point-of-Sale terminal), the information is sent and verified at the merchant bank which in turn verifies and pays the amount speaking of transaction to the merchant, if verified.

There are a variety of card merchant processors today, obtainable in the market and they are being widely used by merchants all around the world.

Allow us to take a look-at the process of how a Merchant Processor works.

Foremost, the customer selects the item to purchase and presents the card to the merchant.

Second, the merchant swipes the credit at the terminal (better known as a Point-of-Sale terminal). This starts the process of reading and verifying the information in the credit-card by the merchant bank.

Third, determined by the kind of card merchant processor, there can be a polling service that collects the card information (such as Card Verification Value and also the Card Expiry Date) and sends them to the merchant bank for verification.

Fourth, the merchant verifies the information and also on successful verification, immediately credits the transaction amount to the merchant account. The entire activity usually is accomplished in a matter of seconds.

What is the typical structure of Credit card Merchant Processors? These devices typically contain a modem, printer, keypad, magnetic card reader and power supply.

The modem facilitates the sending of the information to the merchant bank; the keypad is used to key in the card information (for example Card Verification Value and also the Card Expiry Date) and the transaction amount; the printer prints out a slip that gives the transaction details such as the total amount of transaction as well as the date.
These devices have transformed the way business is conducted.

The proliferation of the credit-card industry has meant that the customers are not necessary to carry a great deal of cash any more. The customers also don't have to pay for the transaction right now and may also pay them later.

From the card merchant perspective, they may be not required to count the cash at the counter and store a lot of cash which at times might be risky. The entire process has enabled them to electronically process the amount as well as the amount is quickly credited in to their account.