Management of e-commerce Credit Card payments

Transactions over the internet is more risky than face to face transactions that neither the card nor the cardholder is present at the payment information collected by the merchant. The merchant is not able either to physically check card or obtain a signature from the card holder. To protect e-commerce requires merchants from fraudulent transactions, credit card associations that traders follow a specific payment management guidelines and provide tools to minimize the risk. All merchants engaged in e-commerce companies:

Must approve all transactions. The word is for all online transactions are zero, which means that permission is required for all, regardless of the transaction amount. If the medium is available on the account and the card is reported lost or stolen, do not have transaction likely authorized by the card issuer. It is important to Web-based merchants understand that the acceptance of the authorization does not constitute proof that the transaction is legitimate and not fraud.

E-commerce transactions, the delivery date is considered to be the transaction date. Web-based merchants have up to seven days to get a permit before the transaction date.

Subject to credit card associations card-not-present chargeback rules and regulations. Web-based merchants can be liable for fraudulent transactions, even if a permit has been obtained. The reason is that the risk of fraud is greater due to lacking physical card and card holder who cannot provide a signature. E-commerce merchants can minimize their exposure to fraud by adopting appropriate short approval process and implement fraud prevention tools available.

Can participate in verified by Visa and MasterCard SecureCode. Verified by Visa and MasterCard SecureCode was developed by the credit card associations to improve e-commerce transaction security by authenticating card holder and to obtain protection against Chargebacks are fraudulent transactions. In addition, cardholders will benefit from the increased security.

Must input a correct electronic commerce indicator (ECI) for all e-commerce transactions. ECI identifies the transaction as e-commerce and is listed as a part of the authorization request. This makes the card issuer for more informed decision on the permit.

Must be in accordance with Payment Card Industry (PCI) Data Security Standard (DSS). PCI DSS is a result of joint efforts by major credit card companies and associations, and offers a single approach to safeguarding sensitive personal account data used in credit card transactions.

Never must store card security control codes. Card security verification codes (CSVC) is the three-digit codes on the back of Visa, MasterCard, and Diners cards and 4-digit codes are on the front of American Express cards. Visa requires their CSVCs card verification value 2 (CVV2), MasterCard calls its CSVCs card verification codes 2 (CVC2) and Discover and American Express cards identification codes (CID). Merchants should never save CSVCs under any circumstances.