A payment card that extends credit to the cardholder up to a limit; purchases are paid later, potentially incurring interest. Credit cards include additional consumer protections and network rules that impact merchant processing.
A fee charged by a merchant for using an alternative payment channel that’s outside the merchant’s customary method (e.g., paying online instead of in person). Rules vary by card network and jurisdiction; merchants should review network policies.
A payment made by tapping a card or device near a compatible reader using NFC technology. Contactless transactions are fast and secure, often leveraging EMV standards and tokenization.
A fee assessed to the merchant by the acquirer or processor when a chargeback occurs. It compensates for dispute handling and network fees related to the case.
A reversal initiated by the cardholder’s issuing bank when a transaction is disputed (e.g., fraud, goods not received). Chargebacks can lead to fees, lost revenue, and potential account risk for merchants.
A 3- or 4-digit security code printed on the card used to verify that the customer has the physical card. PCI rules prohibit storing CVV after authorization.
A transaction where the card is physically presented and read by a terminal (swipe, chip, contactless). Card-present transactions generally benefit from lower fraud rates and fees due to stronger authentication at the point of sale.
A transaction where the merchant cannot physically inspect the card (e.g., ecommerce, phone orders). CNP transactions carry higher fraud risk and typically incur higher processing costs.