Engage in the POS industry, you must know these basic business knowledge!

1. What is wind control?

Generally speaking, it refers to risk control. Generally, financial institutions and payment companies have such positions. They mainly adopt various measures and methods to eliminate and reduce various kinds of energy events, or reduce the losses caused by risk events. . The basic methods are: risk avoidance, stop loss control, risk transfer and risk retention.

2. What is the order?

It means that the acquirer or UnionPay or the bank has doubts about the disputed or risky transaction, and needs to retrieve the original transaction voucher to prove the cardholder's real trading scene at the time, confirm the consumption or carry out the responsibility division certificate. It is common for the acquirer to require the POS merchant to submit certain transaction receipts for a certain period of time. Within a certain working day, the transaction is temporarily frozen and re-paid after confirmation.

3. What circumstances will cause the order?

Credit card ordering refers to the cardholder's access to the credit card purchase order. When the cardholder disagrees with his or her own consumption, he can apply to the issuing bank for the purchase of the purchase order saved by the merchant. In our acquiring business scenario, agents, acquirers, issuers, and UnionPay can initiate orders, usually in accordance with their “risk control standards” initiated by “probable risk transactions”, such as during non-business hours. The transaction, the single card transaction is too frequent, the single card transaction amount is too large, there are other trading abnormalities such as the transfer transaction behavior.

4. Why do small tickets need to be signed?

According to the relevant requirements of China UnionPay, in order to ensure the cardholder's card security, the user holding the credit card must sign his or her own name behind the card. According to the relevant regulations, after the cardholder swipes the card, the merchant must carefully check whether the name on the bank card is consistent with the signature of the cardholder. If it is inconsistent, the transaction can be cancelled or the order is not recognized. If the merchant does not operate according to the requirements, it may affect the settlement of the transaction funds of the cardholder.

After the credit card is consumed, the consumer needs to properly keep the transaction ticket as a voucher for the transaction, so that the verification of the transaction will prove the authenticity of the transaction. If the cardholder does not reserve the POS machine to print the small ticket after consumption, or lose the small ticket, or if it is damaged for other reasons, you need to fill in the "Consumer Real Deal Confirmation Form".

5. What is stolen brush?

The stolen brush means that it is a fraudulent use of the non-normal credit card or debit card to obtain the credit card consumption, which is a serious illegal act.

6. What copy card, fake card, black card?

A fake card refers to a card that is not used by the bank card itself, but a card that illegally flashes the card by copying the original card information through its technical means. These fake cards are more common in magnetic stripe cards, and the chip cards are difficult to be copied. Basically, they can't be said.

The chip is used to calculate the processed data, not directly read the information.

There is a part of the memory area in the chip card that can not be read casually. It is unique to each card. Even if the card is copied, the data in this area cannot be read. When the transaction is made, there is a dynamic verification, which requires a terminal. Sending a random number command to the card, the card uses the private key in the card to encrypt the received data plus other data in the card, and generates a dynamic certificate, which is returned to the terminal, and the terminal decrypts the data with the card public key. If the format complies with the requirements of the UnionPay standard, the transaction can be successful.

7. What is the chargeback?

There are many reasons for making a chargeback, including but not limited to the following:

Case 1: Cardholder refuses to pay (the following 5 points are common reasons for rejection)

The cardholder has doubts about the validity of the purchase.

Cardholders are charged repeatedly for the same order

The cardholder is not satisfied with the sale and purchase, and failed to resolve the dispute with the merchant

The purchase item received by the cardholder does not match the description.

The cardholder did not receive the item they purchased

Case 2: The issuing bank / card issuer refuses to pay (the following 5 points are the common reasons for the rejection)

Unauthorized party uses cardholder credit card for purchase

Merchant does not provide valid transaction credentials

Merchants provide valid documents for more than the specified period

The actual consumption of the cardholder does not match the location of the voucher consumption.

Multiple card payment with the same merchant, the same terminal, and the same product

Eight. What consumption is correct?

A credit card transaction was successfully operated on the POS machine. In the subsequent online process, the POS machine and the UnionPay settlement center failed during the data transmission process, and the system host side did not return a successful transaction prompt. The terminal could not determine whether the transaction was successful. Then, the host sends a request to cancel the flow of the transaction. When the host receives the request, it rolls back the transaction. The transaction amount is successfully returned and needs to be re-swipeed. If the transaction is unsuccessful, the transaction will be regarded as a failed transaction. However, the transaction initiator's account has been debited, and the refund needs to be contacted by the POS provider or the acquirer's customer service to manually rectify the transaction money back to the cardholder's account.

9. What do I need to take a photo of my ID card?

Usually, when a merchant applies for a POS business, it is necessary to provide a photo of the hand-held ID card to ensure that it is my application and to compare the photos of the ID card. This is a basic risk control method for the acquirer.

X. What is UnionPay?

China UnionPay Co., Ltd. is headquartered in Shanghai. China UnionPay is a joint organization of China Bank Cards. Through the UnionPay interbank transaction clearing system, it realizes interconnection and resource sharing among commercial banking systems, ensuring the use of bank cards across industries, regions and cross-border. There are 152 shareholders and more than 10 subsidiaries, which are payment institutions and the only clearing organization. They are UnionPay International, UnionPay Business, UnionPay Data Services, UnionPay Electronic Payment, Bank Card Testing Center and CICC Financial Certification Center.

In addition to the aforementioned departments and regional companies, UnionPay also has an important component: including Guangzhou UnionPay Network Payment, Shanghai UnionPay Electronic Payment, Shenzhen UnionPay Financial Network, Beijing UnionPay Business, Shanghai UnionPay Business, Ningbo UnionPay Business, Guangdong UnionPay Business, Beijing Digital Wangfujing Technology and other 8 subsidiaries. In addition, there are no subsidiaries under the Union of China.

11. What company is UnionPay Business?

UnionPay Business Co., Ltd. is a subsidiary of China UnionPay Co., Ltd., which is mainly engaged in bank card receipt and professional services. “At this time, UnionPay is both a clearing house and a payment institution.” He once served as a member of the UnionPay, and now a person familiar with the tripartite payment company said. UnionPay Business is mainly responsible for offline business, and online payment of UnionPay is also involved. The subsidiary UnionPay Electronic Payment is mainly responsible for this piece.

In addition, the subsidiaries of UnionPay Business also involve online payment and electronic payment, which actually covers the entire payment chain. At present, UnionPay is the third-party payment institution with the largest market share of domestic offline bank card receipts.

Twelve. What is the reserve?

As far as our POS industry is concerned, all the amount of money that passes through the POS transaction is called a reserve fund before it arrives. It literally means the cash to be paid. The customer reserve fund of the third-party payment institution refers to the advance receipt of the pending monetary funds actually received by the payment institution for the payment business entrusted by the customer.

No unit or individual may misappropriate, occupy or borrow customer's reserve funds, and may not provide guarantees for others by default. The payment institution needs to open a device payment account in a qualified professional bank. The account system has a deposit account, a payment account, and a remittance account.

XIII. What is recovery?

In the composition of the payment industry chain, in order to connect banks, merchants, and consumers, a mode of acquiring-transfer-clearing has emerged. And UnionPay has a cross-bank clearing system. If the acquiring institution wants to connect with each bank, the technical and material costs are quite high. In view of the advantages of UnionPay in the bank, the market basically accepts a UnionPay transfer agency.

As the overlord, UnionPay does not allow the third-party payment company's offline acquiring business to bypass the UnionPay direct bank, which is partially bypassed, or the illegal code set hopping code to earn the difference profit will be recovered. For all transactions that cannot verify the authenticity of the merchant, the difference is filled in according to the general handling fee.

However, China UnionPay Co., Ltd., as a commercial company, is eligible to impose penalties on other commercial companies. There is no legal basis for this kind of recovery in law, but it is only the overlord clause of the market monopoly.

14. What is liquidation?

Bank card clearing refers to the process of settlement and transfer of funds between banks and banks, banks and merchants accepting cards after the bank cardholders use the card to consume or pay for the transaction. The liquidation includes the Bank's visit to the Bank, including the Bank's other actions, including bank-to-business, merchant-to-bank, etc.

In general, we refer to the clearing department of a third-party payment institution, whose work includes: clearing, reconciliation, settlement, billing, etc.

The settlement of third-party payments is roughly divided into several aspects:

A. Third-party payment clearing system clearing and reconciliation (information flow)

The third-party payment platform completes the clearing and reconciliation of the account history of upstream institutions (banks, UnionPay and other financial institutions or channels) and merchants/users.

B. Settlement (funds flow): pay the actual funds

Because the settlement bank of the settlement object is various, it involves different banks; at the same time, the amount of funds for settlement is also different, there are less than 50,000, there are millions. It is impossible to do it through a single channel. Generally, the payment channels for third-party payment are as follows:

Super online banking: cross-line, less than 50,000, real-time arrival, low cost or free;

Banks and enterprises directly connected: peers, the amount is not limited;

Local settlement of CITIC generation payment channels: essentially call the size of the central bank, the same city settlement system, cross-line, but with a larger regional;

Corporate online banking: Financial personnel are done manually or semi-automatically.

It should be emphasized that the central bank's size system and super online banking are not directly open to third-party payment, and third-party payment can only be obtained through cooperation with financial institutions such as banks.

The third-party payment is the core idea when the settlement funds are withdrawn:

A. Considering the channel resources that can be obtained (such as free use of super online banking), channel cost, deposit interest and other factors, choose a bank as a depository.

B. Set up and pay in different banks, and transfer the inter-bank transfer as much as possible to peer transfer. For example, if user A transfers money from CMB through third-party payment to user B at ICBC's account for 300 yuan, then:

User A completes the payment operation of 300 yuan through online payment;

The third-party payment platform receives the successful notice of the CMB payment;

The third-party payment platform transfers 300 yuan from the ICBC's own fund account/preparation account to the user B by calling the ICBC interface (for example, direct banking and banking).

C. Routing between different channels

When the third-party payment is settled, the above channels are generally combined to pay, according to the amount, cost, arrival time, success rate, receiving bank and other factors, so the bank channel routing system is the core of all third-party payment. One of the systems.

China UnionPay has always been the hegemon of China's liquidation market. In June 2015, the State Council issued (the State Council's decision on the implementation of bank card clearing institution access management), this decision means that UnionPay has broken its monopoly position.