|
<<<HOME
Initial card validation saves time, money, and frustration for both cardholder and merchant in case when transaction gets declined but the amount still gets authorized. For instance, address verification (AVS) may return negative result. But since card number and other information were entered correctly payment gateway will authorize the whole transaction amount on the card making it unavailable for cardholder until released by the issuing bank (can take up to 14 days!). Imagine what happens when cardholder hits 5 times on BUY button for $200 ticket! As a result cardholder has 5x$200= $1,000 frozen on his card and is still unable to place the order! To make things worse, most of the cardholders can see all those authorizations in their online bank accounts immediately after submitting order, which results in angry calls to the merchant.
To avoid such situation PayVerify runs initial $1 card validation transaction, which is instantly voided regardless of obtained results. On this stage we gather critical data related to submitted payment information. If results are deemed valid, we initiate standard complex of verification steps, including full amount authorization. If card is recognized as invalid for further processing, cardholder will see only $1 pre-authorization charge. Therefore $1,000 in frozen funds transforms in only $5!
Although such operation in some cases slightly increases per-transaction payment gateway cost, the benefits are obvious and worth such expense.
|
