Credit Card Processing Blog

If your business accepts credit cards, you may have heard of MasterCard SecureCode and/or Verified by Visa. Since these names ring a bell to many business owners but don’t paint a clear picture, we thought it would be helpful to cover the basics of these different technologies, along with the pros and cons that accompany each one: The Ins and Outs of MasterCard SecureCode SecureCode is a tool offered by MasterCard that’s designed to combat fraud. The purpose of this tool is to help ensure that online purchases are actually made by authorized users. The way SecureCode makes that happen is an individual has to enter their passcode during checkout. The passcode is a separate form of identification from other details like credit card number and CVV. According to MasterCard, this measure helps to minimize fraud by adding an additional layer of security. So even if a hacker gets someone’s card number and CVV, they won’t be able to make a purchase. The ability of SecureCode to cut down on fraud is why it often helps protect merchants against chargebacks… Read more

Recently, we brought you a story about Walmart suing Visa. In an interesting update, another major retailer has filed their own lawsuit against Visa. In the middle of last month, Home Depot filed an antitrust lawsuit in an Atlanta federal district court. Not only does the lawsuit target Visa, but it also names MasterCard. The issue at the center of this lawsuit is inadequate credit card security. According to Home Depot’s lawsuit, both of the card companies are exposing retailers and their customers to hacking. To better understand this topic, we want to cover some additional details of Home Depot’s position, along with how the credit card companies have reacted and other issues that may play a role as this lawsuit moves forward. Why Home Depot Says Visa and MasterCard Are Falling Short with Security Some of the language used in the lawsuit by Home Depot states that the credit card companies care more about keeping their “inflated profits and dominant market positions” than they do protecting retailers and customers from security breaches. One of the claims Home Depot is… Read more

For many businesses, summer is a time of the year when operations slow down a bit. Although that can be frustrating, this minor to moderate lull can also be an opportunity. Not having to juggle quite as much on a daily basis can provide the headspace needed to take some time to strategically look into ways to finish strong in 2016 and begin 2017 in the best possible position. Credit card processing is a topic that’s worth reviewing during this time. Features, reliability and security are all important elements of credit card processing. But when merchants first dig into this element of their business for a review, rates are generally what they want to focus on the most. Regardless of how many transactions your business processes on a monthly basis, what you’re paying to your credit card processing company will impact your bottom line. Since the rates you’re paying definitely matter, we want to dig into a few key issues that will help you best understand if you’re currently paying too much: Paying Non Qualified Rates The first step in… Read more

Address Verification Service is a way to combat fraud. This tool is offered by many credit card processors. The way AVS works is it takes the name and address someone enters during checkout and compares that information to what’s on file with the issuing company of the associated credit card. Advantages of AVS Address Verification Service is a technology that can be used in most payment situations involving a credit card. Online ecommerce transactions are the most common use of AVS. This security measure can also be useful for other forms of card-not-present transactions. In some situations, AVS may make sense for in-person transactions. The most prominent benefit of using Address Verification Service is deterring fraud. Not having to deal with the aftermath of fraudulent transactions can save your business time and money. Another key advantage of this technology is it can help protect you against chargebacks. According to the chargeback guide that Visa publishes for merchants, having AVS adds a layer of authentication that can be used in the event you need to defend against a chargeback. How to… Read more

Sooner or later, it’s very common for businesses to find themselves in a situation where they want to change credit card processing companies. While there are many different reasons a business may come to this decision, the steps that need to be completed are usually the same. Before a business can switch to a new processor, they need to cancel their current merchant account. When a business decides they’re going to make this transition, they generally want to know if they’re going to have to pay any fees to cancel. Since there are multiple factors and other issues involved in that answer, we want to cover everything you need to know to minimize the likelihood of having to pay a fee for cancelling your current merchant account. Understanding the Implications of a Personal Guaranty and Different Fees If your business has a relationship with a processor, chances are you signed a Merchant Processing Contract at some point. Often referred to as a MPC, this type of agreement covers a lot of ground. The element of a MPC that’s especially relevant… Read more