A
Acquirer (Acquiring Bank). A Visa / Master Card Affiliated Bank or Bank/Processor alliance
that processes credit card transactions for business. Acquirer is responsible for depositing
the funds into your checking account.
Address Verification Service (AVS).
This service is provided as part of a credit card authorization for mail
order/telephone order transactions. During address verification process
cardholder's given address is validated against the issuer's records
to determine accuracy and deter fraud. As authorization result a code is
returned that indicates the level of accurancy of the address match and
helps secure the most favorable interchange rates.
Adjustment.
It is an action initiated by the acquirer to correct a processing error. The acquirer debits
or credits the merchant DDA account for the money amount of the adjustment.
Approval Code (Authorization Code). The 6-digit code returned to the merchant on transaction
approvement.
Audio Response Unit (ARU). It is an electronic authorization device where touch-tone telephone
is used by the merchant to process transactions.
Authorization. A request to charge a cardholder.
Authorization does not actually capture the funds but verifies if credit card has sufficient funds
available for succesfull payment.
Authorization Response. A message reply to an authorization request send by issuing financial institution.
This message may include information about transaction approval, decline or call center response pending
for more information where merchant must call authorization phone number.
Automated Clearing House (ACH). A form of electronic payment like "electronic check".
ACH is typically used to process high volumes of relatively small payments for settlement
within one or two business days.
Automated Clearing House (ACH) File.
A document of regulations for the exchange and settlement of electronic
payments passed between financial institutions. This document represents debits and
credits to be deducted from an account automatically as they occur.
Average Sale.
The average money amount of a merchant's typical sale. This
amount is calculated by dividing the total sales volume by the total
number of sales for the specified poriod of time.
