How Merchant Accounts Work

How Merchant Accounts Work

Merchant accounts are reliable, flexible, secure and almost always help a merchant to attract a number of new customers who prefer using their credit card to any make purchase. But have you ever bothered to find out how a merchant account actually functions. You may believe its simple task of money from their accounts to yours. However the procedure involved is slightly lengthier. This is how it really works:

Once the customer has presented you with his credit card number you have to use your merchant credit card number and place an electronic request with the merchant processing network. It is they who authorize the transfer of funds from the cardholder's credit card account. Your electronic request is instantaneously received by the processing network, which is then channeled to the relevant credit card company. The credit card company contacts the bank that issued the card, which then authorizes or rejects the transaction depending on funds in his account. 

If everything is in order the processing network gets an approval code from issuing bank through the credit card company. It is then that your computer or terminal receives an authorization code from the processing network. The six digit authorization code allows you to capture the specified funds. This requires you to give your customer a receipt or some sort of payment confirmation. The customer’s side of the transaction is complete. But you still have to wait to get your money. Once you have submitted the request to settle the payment through the terminal or payment gate away, the processing network receives the request and authorizes the capture of funds for each item. It is only then that the funds are transferred to your account within 48 or 72 hours. 

Now by logging onto to Advanced Merchant Services (www.merchantaccounts.co) and applying for a merchant account you can not only save your precious time for credit card processing but also get the cheapest rates in the market. With AMS you will get your qualified merchant account within 24 hours. AMS also offers a very dependable processing machine absolutely free of cost to all merchants.  Moreover AMS offers unbeatable price advantage and offers a $200 dollar rebate to all merchants processing $10,000 or more in any of their first three months. So visit us at www.merchant-account.com and discover the various other advantages being offer by AMS.

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