Credit and debit cards

Debit and credit card verification numbers:

AVS (Address Verification System): It is an internal anti-fraud system used by issuing banks to identify the cardholder's address, country of residence, province and zip code. Each credit card has a holder, a natural or legal person, and an internally registered physical address. When a purchase is made online, the holder must enter the country and the postal code. If the card owner does not enter it correctly, the payment gateway notifies the issuing bank and the transaction will be rejected.

IIN (Issuer Identification number)

The expiration dateof a card can be defined as the deadline for a credit or debit card operation period. Once the card date has expired, the cardholder cannot withdraw money at an ATM, make reservations or online and offline purchases.

Cardholders have to be very aware of the expiration date of their credit cards in case of traveling. If the customer wants to travel on the dates the card expires, he will not be able to make any purchases and it will be impossible for his bank to restore the service again unless new card is issued and sent to the client. Therefore, we advise customer

Issuing Bank or Bank Issuer is the bank that issues the debit, credit or prepaid card. The card issuing bank is required to be regulated by a central bank and must be a member of the card organization. It has an essential function in the entire payment process of a payment gateway, since it is the holder of the funds from where during the payment or refund money get transferred to merchant bank account.

The function of the issuing bank is to notify the acquiring bank if the card has enough credit or not to proceed with the purchase. Also it verifies if the card holder has foreign exchange restrictions or restrictions in operational countries. The card brands that card issuing banks usually work with are Visa, MasterCard, Cirrus, Maestro, Amex, Discover JCB, Union Pay and Diners Club.

Bank Identification Number or BIN number is the first 4 to 6 digits of a credit card. The first number identifies the brand of the card: Visa (number 4), MasterCard (number 5), Amex (number 3), the other 3 or 5 numbers identify the bank issuer that has issued the credit, debit or prepaid card.

EMV credit card chip was developed by Euro-pay, MasterCard and Visa, the 3 companies that decided to unite their knowledge and experience in order to fight credit card fraud. As a result of this collaboration they introduce a technology of EMV Chip that saves the cardholder's information and avoids using the magnetic stripe on the back of the card for cloning.

During these last years of technological revolution in the sector of payment methods, credit and debit cards have always been an easy target for fraudulent activities. Therefore, the magnetic line that was previously used to make a payment via PIN Pads and, as a result, many times ended up been cloned, was removed by an EMV Chip, a little device tucked inside a credit card, where the

3D security PIN is the best anti-fraud security system for all parties involved in the card purchase process: commerce, acquiring bank, card issuing bank and the customer (card holder). The system requires validation of the transaction that has been made using the credit card and identification of the client. Security PINs are usually provided by the bank when a new card is issued and are free of charge.

In the process of an online purchase where a payment gateway with 3D Secure protocol is used for processing, the client goes through one of the steps where he is asked to introduce a PIN number. In this case, in order to pass the identification control of

Dynamic Currency Conversion is a process when the amount that has to be charged on the card of a client at the moment of paying at offline or virtual POS terminal is converted by a merchant or ATM machine to a currency of the card's issuing country. Every merchant has an option whether to activate or not the DDC control. When the DDC of a terminal is activated the customer will see the amount to be paid in its currency and the merchant will receive the money in the currency he has chosen for his merchant account. For example, imagine that a customer has a card issued by an American bank in US $ and wants to buy shoes at an online store in Europe for 100 euros. When the customer completes the check out p

Paying with a credit or debit card at a Virtual POS terminal or PIN Pad might seem as the same type of transaction, but in reality each card has its different aspects and advantages when it comes to making a purchase with it.

• Credit card allow its holder to postpone the date when a payment is due. That is, if you make 10 purchases per month, you will be able to pay them the next month. The advantage of this characteristic is that you can make purchases even though the credit card balance is 0.
• Credit card spending limits are usually much higher than those of debit card. Debit cards are limited daily to a certain withdrawal amount of cash and purchases at PIN Pad or

Credit card is a financial instrument, thin rectangular slab usually made of plastic, used to pay for goods or services with a possibility to borrow the amount of money necessary for the purchase from the bank with a condition to pay it back within a certain period of time.

Credit cards are widely used to make "installment purchases with commissions". The client can choose whether he wants to pay the debt within 2 or more months and then the bank will charge him quite high commissions, or to authorize his financial entity to withdraw the necessary amount from his bank account in the end of the month and this way avoid the commissions.

Contactless payment technology is an anti-fraud measure invented by Visa, MasterCard and Amex with the aim of avoiding the use of the magnetic strip on the back of the credit card and speeding up the card payment process.

When contactless payment did not exist yet, PIN Pads charged customers using the magnetic stripe. The problem of using this system was that it was very easy to clone and sold card holder information on the black market increasing the possibility of fraud. Therefore the usage of contactless payment technology and EMV chip is so far the best measure used by credit card companies to fight fraudulent transactions.

How does Contactless payment work?

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