Authorisation of electronic fund transfer, Other Subject

AUTHORISATION

EFT transactions necessitate communication between number of parties. When a card is applied at a merchant or Automated teller machine   (ATM), the transaction is first routed to an acquirer, then throughout a number of networks to the issuer where the cardholder's account is detained.

A transaction may be approved offline by several of these entities through a stand-in agreement. Stand-in agreement may be used when a communication link is not existing, or merely to save communication time or cost. Stand-in is subject to the transaction amount being below agreed limits, known as floor limits. These restrictions are calculated based on the possibility of authorizing a transaction offline, and therefore differ between merchants and type of card. Offline transactions may be subject to additional security checks such as inspection the card number against a 'hot card' (stolen card) list, velocity checks (preventive the number of offline transactions permissible by a cardholder) and random online authorization.

previous to online approval was standard practice and credit cards were processed using physical vouchers, every merchant would consent a limit ("floor limit) with his bank above which he must telephone for an approval code. If this was not carried out and the transaction consequently was declined by the issuer ("bounced"), the merchant would not be permitted to a repayment.

Posted Date: 10/13/2012 2:04:31 AM | Location : United States







Related Discussions:- Authorisation of electronic fund transfer, Assignment Help, Ask Question on Authorisation of electronic fund transfer, Get Answer, Expert's Help, Authorisation of electronic fund transfer Discussions

Write discussion on Authorisation of electronic fund transfer
Your posts are moderated
Related Questions
QUESTION (a) You have just been appointed as the Human Resource Manager in a parastatal body and the Chief Executive Officer has requested you to submit proposals for enhancing

FEES CHARGED TO CUSTOMERS The main fees are for delayed payments or late payments Charges that result in more than the credit limit on the card (whether done deliber

Question 1: (a) As a counselor, define the central concepts in professional counseling. (b) According to you, what would be the primary ethical issues to consider? Qu

Maizee Hospital is a 300-bed hospital in Nishingwa, Montana. It is part of a small investor-owned hospital chain, Corporation of Hospitals of America's Inland Northwest (CHAIN).

what are the factors affecting wastage and stagnation

his is my svm coding.its not working properly. showing error >> test2 ??? Error using ==> svmtrain at 190 GROUP and TRAINING must have the same number of rows. Error in ==> test2

QUESTION : Create a case encompassing data from your routine office work so as to apply all Quantitative Techniques learned in this course. Perform all possible analyses on t

whenever dry nitrogen from a portable cylinder is used in service and installation practicing what, is of most importance in concidering safety

Question 1: (a) Explain the different concepts of culture. (b) According to you, how is culture related to anthropology? Question 2: The 2009 presidential election

Define the notion of state territorial morphology and discuss its application to Cambodia, Malaysia and Thailand, respectively as compact, fragmented and protruded states. Guide