Think something was suspicious after processing a credit card? Don’t hesitate to contact your merchant provider!
A Code 10 authorization request is to be utilized if a merchant is attempting to process a credit card and suspects fraud or suspicious activity. This request is forwarded to the card issuing bank from the merchant processor so information can be verified before the sale is processed.
A void must be performed prior to the authorization of a transaction. After a transaction is authorized, the transaction cannot be voided by the merchant. A refund must be applied to the customer’s account.
Address verification cannot be performed and it is difficult for your merchant processor to verify the sale in question. Ask yourself does the sale make sense? Why does this individual have to buy the product from you and not someone closer geographically?
Sounds simple, but this is something that is often ignored. A CVV Code or CARD VERIFICATION VALUE code is a three or four digit code located on the credit card itself and is a security feature to help verify that the card is on hand for “card not present” transactions.
Verifying the address and CVV code provides the confidence that the credit card is in the possession of the cardholder your dealing with and a positive address match should mean that your are shipping the product to an address recognized by the issuing bank.
MOPO (mail order/phone order) processing is also known as “card not present”. MOPO transactions allow customers to make purchases by providing their credit card information without providing a signature over the telephone, Internet, or via mail.
More and more, we see merchants being approached for”humanitarian” causes with large purchases needed for orphanages, churches, etc. These are uncommon for the business and are usually sent via e-mail.
Merchants are provided with multiple credit cards and are asked to split the sales to get them through. These sales are often invalid. Take the extra step if approached on a Teletypewriter (TTY) line. Unfortunately, another popular method for taking advantage of a merchant is using this device to shield one’s identity. Look for the warning signs and take the proper steps to verify the sale.
Most of the countertop POS terminals (POS = credit card processing machines) being used at small businesses operate on a conventional analog phone line. These POS terminals often use a dial-up modem, very similar to the ones used in fax machines. If the analog, ‘dial-up’ phone line is eliminated, your POS terminal loses its ability to connect to your merchant service network. If the terminal cannot connect, sales cannot be approved by the cardholder’s bank. The ability to process credit cards would be lost.
NDCN offers a wide range of processing solutions for merchants so you can choose which is right for you. From retail stores to ecommerce and mail order to mobile transactions, Federated has the right solution for your business.
Let’s say you buy a packet of 100 gift cards that are customized with your logo and brand. If your average gift card sale is $50, then that’s $5000 in revenue you can generate. If you run at an average of 50% profit margin that is $2500 of pure profit in your pocket.
In many cases, card recipients add their own money at the point-of-sale, which will increase your revenue even more.
Loyalty programs can help retain existing customers because of how they provide incentives for customers to come back, but they also help bring in new customers. If your loyalty rewards program is enticing enough, new customers who stop by your store will more than likely return.