#27unit 2e commerce payment system
Online credit card transaction
Card-based payment processing over networks.
Unit 2E-Commerce Payment SystemTopic #27Published
Online credit card transaction
Not started
Online credit card transactions are processed much like in-store purchases, except the merchant never sees the card, no impression is taken, and no signature is available — making them Cardholder Not Present (CNP) transactions. Five parties are involved: consumer, merchant, clearinghouse, merchant bank, and card-issuing bank.
- Describe the five parties in an online credit card transaction.
- Explain the step-by-step online credit card purchasing cycle.
- Understand the role of SSL/TLS and the merchant account.
- Identify the limitations of online credit card payment systems.