The given flow chart describe how a credit card transaction is carried out at a retail outlet between a merchant and a customer.
The first step, the card is swiped at an electronic machine at the vendor. The information about the swipe then goes directly to the credit cared company and form that, it is forwarded electronically to the issuing bank of verification. Once the verification is over, a conformation is sent from the bank to the credit card company, which passes on the same to the merchant’s outlet where the swipe machine is located and the transaction is complete.
Secondly, the issuing bank then transfers the money from the customers account to the merchants bank account. However, the issuing bank deducts the transaction charges from the amount and also transfers the same to the credit card company as par their internal business agreement. After that the merchants bank credits the same amount in the merchants bank account.
The
given
flow chart
describe
how a
credit
card
transaction
is carried
out at a retail outlet between a
merchant
and a customer.
The
first
step, the
card
is swiped
at an electronic machine at the vendor.
The
information about the swipe then goes
directly
to the
credit
cared
company
and form that, it
is forwarded
electronically
to the issuing
bank
of verification. Once the verification is over, a conformation is
sent
from the
bank
to the
credit
card
company
, which passes on the same to the
merchant’s
outlet where the swipe machine
is located
and the transaction is complete.
Secondly
, the issuing
bank
then transfers the money from the customers account to the
merchants
bank
account.
However
, the issuing
bank
deducts the transaction charges from the amount and
also
transfers the same to the
credit
card
company
as par their internal business agreement.
After
that the
merchants
bank
credits
the same amount in the
merchants
bank
account.