The principle of acquiring operation
The term “acquiring” means the procedure for accepting finances from accounts of bans. However, the mechanism of this procedure does not differ when accepting funds for credit cards of various types (credit or debit). Responsibility for conducting acquiring lies on the following objects:
• Merchant account for transfer of funds.
• Processing company that accepts funds from bank cards.
A merchant account is an identification number of a special type. This code is assigned to the object of entrepreneurial activity by special bodies. An identifier is required to perform a specific task – receiving financial transfers. However, there is no complete information regarding the sender of the transfer. To carry out the transfer, only the bank card data is required. But it is this feature that acts as the main problem of merchant accounts, which is the increased risk of making transfers because of the lack of complete identification data of the person conducting the transaction. To reduce risks, companies are advised to perform a special operation, which consists in carrying out special checks of transactions. To carry out the above-described inspections, specialized filters were developed, the principle of which allows to assess the probability of fraud on the part of the payer. But in this case, additional checks will need to be paid in advance.
An organization of this type is a certain number of servers that are its property. Payments in this case are carried out through the above servers. To provide services of this kind, a company must obtain a special license. A key feature of payments through a processing company is the need for authorization in the largest payment services in the world. Financial transactions that conduct the above transactions are required to strictly perform their direct duties. The activities of processing companies are tightly controlled by special regulatory bodies. If at the time of the inspection the slightest violations were found – there is a possibility of suspension of payments by certain banking institutions. In some cases, transactions are stopped between regions. For this reason, the implementation of financial transfers to the territory of certain states and their regions becomes impossible. This factor should be taken into account when opening a merchant account.
The status of the acquirer is assigned to the company in which the merchant account was opened. The status of the issuer is assigned to the bank, which transfers funds to the acquirer account. The right to register merchant account is available to organizations that have received the appropriate license.
The procedure for transferring funds from the issuer to acquiring is called “clearing”. It includes a full range of inspection activities that are carried out at all stages of the transaction (from the departure stage to the time of receipt of payment).
Professionals of our agency will provide you with qualified help in registering merchant accounts in companies located anywhere in the world.