Internet acquiring
I want to continue the topic of circulation of money, raised by maniaque here and here
Questions were raised about the nature of money, accounts, documents accompanying the circulation of money and all sorts of little things about banks were told.
I want to briefly tell you about one interesting and relevant service of banks, as acquiring. But not just acquiring, but Internet acquiring, as the most interesting for everyone who is engaged in or intends to do Internet commerce.
So, acquiring, in general, is a method of paying for payment cards as a means of paying for goods, works, and services. It is carried out by an authorized acquirer by installing a payment terminal (POS-terminal) in trade enterprises (services) for carrying out transactions performed using bank cards.
By itself, acquiring works as follows:
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There is a bank that has agreements with the Visa and MasterCard payment systems that it can process bank card payments. Such a bank is just an authorized acquiring bank (from the word acquire - “acquire”). A store that wants to accept card payments is contacted by an acquiring bank. The bank charges a fee to the store when paying for the purchase through the terminal set by the bank, for which, in turn, immediately credits the account to the store. This is the basic and most common type of acquiring.
With Internet acquiring is more complicated. The trick is that there are a huge number of ordinary acquiring banks in Russia, and those who can offer internet acquiring are less than five. This is due to the high riskiness of bank card transactions via the Internet; there is a possibility of withdrawing money from a stolen card. Then the acquiring bank will have to return the money to the cardholder, the store is also not very interested in giving away their equipment just like that.
In order to somehow reduce the risk of transactions through the Internet, there are providers of Internet acquiring services. This is an interlayer between the acquirer and the store, which provides additional protection against fraud. There are 3 main providers in Russia: Assist, ChronoPay and CyberPlat. As I understand it, protection against fraud lies in the fact that these systems punch cards through databases of stolen cards, IP addresses through databases of fraudsters, etc. That is, they may say at the payment stage whether the card is stolen or not. More information about the fight against fraud can be found, for example, here .
It is worth noting that all the risks of fraudulent transactions, according to the rules, bears the store. This is the most dangerous and unpleasant moment for any online store. Agree, if you work in the same city, you always have the opportunity to verify the compliance details of the card, passport and buyer. If you are a federal-scale store, where delivery is carried out by third-party freight forwarders, the likelihood of facing fraud increases in proportion to the scope.
Thus, any online store has 2 ways: you can contact the acquirer bank directly or contact the provider. Work through the provider is safer, but it also costs more. For example, the provider commission for processing a transaction is 4-5% of the amount; the bank takes an average of 3.5%.
Thus, if you want to earn more from the sale, or lay a minimum mark-up on your product, you should assess the likelihood of facing fraud. The simplest fraud is payment by stolen card. Factors to help any store reduce risk:
- The courier can check the passport with the buyer and compare it with the card data. Thus, the rule appears: when paying by card, only the cardholder can receive the purchase. But this is good only if you have your own couriers
- when delivering in Russia by a third-party freight forwarding company, checking a passport is an order of magnitude more difficult to implement. But if you include this clause in the contract, and also consider the option of filing a recourse claim to freight forwarders who have failed you, you can work quite easily.
Questions were raised about the nature of money, accounts, documents accompanying the circulation of money and all sorts of little things about banks were told.
I want to briefly tell you about one interesting and relevant service of banks, as acquiring. But not just acquiring, but Internet acquiring, as the most interesting for everyone who is engaged in or intends to do Internet commerce.
So, acquiring, in general, is a method of paying for payment cards as a means of paying for goods, works, and services. It is carried out by an authorized acquirer by installing a payment terminal (POS-terminal) in trade enterprises (services) for carrying out transactions performed using bank cards.
By itself, acquiring works as follows:
')
There is a bank that has agreements with the Visa and MasterCard payment systems that it can process bank card payments. Such a bank is just an authorized acquiring bank (from the word acquire - “acquire”). A store that wants to accept card payments is contacted by an acquiring bank. The bank charges a fee to the store when paying for the purchase through the terminal set by the bank, for which, in turn, immediately credits the account to the store. This is the basic and most common type of acquiring.
With Internet acquiring is more complicated. The trick is that there are a huge number of ordinary acquiring banks in Russia, and those who can offer internet acquiring are less than five. This is due to the high riskiness of bank card transactions via the Internet; there is a possibility of withdrawing money from a stolen card. Then the acquiring bank will have to return the money to the cardholder, the store is also not very interested in giving away their equipment just like that.
In order to somehow reduce the risk of transactions through the Internet, there are providers of Internet acquiring services. This is an interlayer between the acquirer and the store, which provides additional protection against fraud. There are 3 main providers in Russia: Assist, ChronoPay and CyberPlat. As I understand it, protection against fraud lies in the fact that these systems punch cards through databases of stolen cards, IP addresses through databases of fraudsters, etc. That is, they may say at the payment stage whether the card is stolen or not. More information about the fight against fraud can be found, for example, here .
It is worth noting that all the risks of fraudulent transactions, according to the rules, bears the store. This is the most dangerous and unpleasant moment for any online store. Agree, if you work in the same city, you always have the opportunity to verify the compliance details of the card, passport and buyer. If you are a federal-scale store, where delivery is carried out by third-party freight forwarders, the likelihood of facing fraud increases in proportion to the scope.
Thus, any online store has 2 ways: you can contact the acquirer bank directly or contact the provider. Work through the provider is safer, but it also costs more. For example, the provider commission for processing a transaction is 4-5% of the amount; the bank takes an average of 3.5%.
Thus, if you want to earn more from the sale, or lay a minimum mark-up on your product, you should assess the likelihood of facing fraud. The simplest fraud is payment by stolen card. Factors to help any store reduce risk:
- The courier can check the passport with the buyer and compare it with the card data. Thus, the rule appears: when paying by card, only the cardholder can receive the purchase. But this is good only if you have your own couriers
- when delivering in Russia by a third-party freight forwarding company, checking a passport is an order of magnitude more difficult to implement. But if you include this clause in the contract, and also consider the option of filing a recourse claim to freight forwarders who have failed you, you can work quite easily.
Source: https://habr.com/ru/post/30321/
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