Download operating guide for merchant card processing

1. OPERATING PROCEDURES
a. Introduction.
This Operating Guide describes the procedures and methods for submitting Card Transactions for payment, obtaining
Authorizations, responding to Chargebacks and media Retrieval Requests, and other aspects of the operations of our services.
Processor is a full-service financial transaction processor, dedicated, among other processing services, to facilitating the passage
of Merchant's Transaction Receipts back to the thousands of institutions that issue the MasterCard, Visa and Discover Cards
carried by Merchant's customers. Capitalized terms used in this Operating Guide shall have the meanings given in either the
Merchant Agreement or Section 2 of this Operating Guide.
The terms of this Operating Guide form a part of and are incorporated into the Merchant Agreement. Merchant Bank and Processor
reserve the right to amend the terms of the Merchant Agreement and this Operating Guide as provided in the Merchant Agreement.
This Operating Guide focuses primarily on the MasterCard, Visa and Discover operating rules and regulations. If Bank provides
Authorization, processing or Settlement of Transactions involving Cards other than MasterCard, Visa and Discover, Merchant
should also consult those independent Card Issuers’ proprietary rules and regulations.
If Merchant selects to accept Cards issued by any one or more of American Express, JCB or Diners Club as payment options,
Merchant understands and acknowledges that the Card Program services for such payment options are provided by the Card
Issuer involved, and not Bank, and Merchant understands that Merchant’s acceptance of any of those payment options may require
execution of a separate merchant card acceptance agreement with those individual Card Issuers, as applicable, and that
agreement will govern the completion, processing, settlement and other procedures relating to Transactions with those Card
Issuers. If Merchant experiences problems with transmission or delivery of those Card Issuers’ Transactions, Merchant will be
obligated to contact the appropriate service provider(s) for service. Bank has no obligations with respect to the completion,
processing, settlement and other procedures relating to Transactions with those Card Issuers.
b. General Card Acceptance Guidelines.
(1) The following Card acceptance guidelines are general in nature, and the detailed requirements set forth for certain
types of Visa, MasterCard and Discover Transaction as detailed in Sections 3, 4 and 5 of this Operating Guide, will control over
these general guidelines.
(2) Visa has released the Visa International Operating Regulations which may be accessed at the www.visa.com web
site. The provisions of the Visa International Operating Regulations are incorporated into this Operating Guide by reference.
(3) MasterCard has published a March 2008 Merchant Rules Manual, which is available at the MasterCard web site at
the following URL: http://www.mastercard.com/us/wce/PDF/MasterCard_Rules_5_08.pdf. The MasterCard Merchant Rules Manual
provides Merchants with MasterCard Standards applicable to Merchant acceptance of MasterCard Cards and Maestro Cards. A
Merchant must at all times comply with MasterCard Standards. Bank may require a Merchant to adhere to additional and/or more
stringent standards than MasterCard Standards require. The provisions of the MasterCard Merchant Rules Manual are
incorporated into this Operating Guide by reference. Note, however, that the MasterCard Merchant Rules Manual does not reflect
changes to the MasterCard Standards implemented since the date of publication of the manual. In the event the provisions of the
MasterCard Merchant Rules Manual conflict with the provisions of the MasterCard Standards or the Merchant Agreement (including
this Operating Guide), the provisions of the MasterCard Standards and/or the Merchant Agreement, in that order, shall control.
(4) Verification of Validity of Card. The first step in safely accepting a Card is to verify that the Card is valid. Merchant
should examine every Card presented to verify that it has valid MasterCard, Visa or Discover card features.
(a) Visa.
ƒ Card Account Number – The Account Number starts with the number 4. The first four digits match the BIN.
Embossing extends into the hologram.
ƒ Bank Identification Number (BIN) is printed under the embossed Account Number. Matches the first four digits of the
account number.
ƒ Signature Panel – “Visa” is repeated on the back of the Card. Account Number and the Card Verification Value
(CVV2) are indent-printed on panel in reverse italic type.
ƒ Hologram – Depicts a dove in flight. Should reflect light and change as Merchant rotates the Card.
ƒ Visa Logo – Features taller letters and brighter gold and blue colors. Microprinting borders the logo.
ƒ Security Character – Is embossed to the right of the valid dates. Product Symbol (“B” “C” or “P”) is embossed to the
left of security character on some Cards.
(b) MasterCard.
ƒ Card Account Number – The Account Number starts with the number 5. Embossing extends into the hologram.
ƒ Signature Panel – “MasterCard” is repeated on the back of the Card. Account Number and Card Validation Code 2
(CVC2) are indent-printed on panel in reverse italic type.
ƒ Hologram – Depicts three-dimensional globes. “MasterCard” is printed repeatedly in background. Should reflect light
and change as Merchant rotates the Card.
ƒ MasterCard Logo – Features larger letters, black outlines behind white letters, and fewer lines joining circles.
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