How Wireless Credit Card Processing Works

The model below describes how wireless credit card processing works and how merchants can use a wireless credit card machine to complete sales at any mobile venue.

1. 
   The merchant slides the customer's card through the wireless credit card machine and enters the sale amount. Using a technology similar to a cell phone, the terminal connects to a radio tower and sends the credit card information and amount of the purchase.
2. The transaction information is routed to Charge USAs processor.
3. The processor passes that information onto the bank that issued the credit card (issuing bank). The issuing bank checks to see if the card is valid and if the amount requested is available on the card and sets aside the amount of the purchase for the merchant.
4. The issuing bank sends back an approval number or a decline message to the processor.
5. The information is then passed back to the mobile credit card machine. It takes approximately 8-12 seconds to complete the transaction depending on the coverage available and network traffic.
6. At the end of the day the merchant may manually "settle" their terminal which will begin the final process of the transaction. Once the settlement process is initiated the funds are transferred from the card issuing bank and deposited into the merchant's checking account within two business days from the time of the original transaction.

For more information on how retail credit card processing works call us at the number above or request a merchant account online.