{"id":10659,"date":"2022-04-14T11:37:00","date_gmt":"2022-04-14T06:07:00","guid":{"rendered":"https:\/\/payu.in\/blog\/?p=10659"},"modified":"2022-04-27T15:57:09","modified_gmt":"2022-04-27T10:27:09","slug":"payment-glossary-of-terms-related-to-payment-systems-payu","status":"publish","type":"post","link":"https:\/\/payu.in\/blog\/payment-glossary-of-terms-related-to-payment-systems-payu\/","title":{"rendered":"Payment Glossary of Terms Related to Payment Systems | PayU"},"content":{"rendered":"\n

PayU\u2019s<\/a> terms and conditions often include a set of terminologies often used in the payments ecosystem that may confuse you. Find below a quick <\/strong>payments<\/a> glossary, a carefully researched set of terminology and descriptions often used in the payments ecosystem, also including acronyms. The payment glossary should help you decipher the world of payments.<\/p>\n\n\n\n

Account Takeover<\/strong><\/h2>\n\n\n\n

A type of internet fraud wherein someone obtains the login to an online account by stealing it and then takes control of the account and its access from the legitimate owner.<\/p>\n\n\n\n

Acquirer or Acquiring Bank<\/strong><\/h2>\n\n\n\n

A payments network\u2019s bank that takes payments. Frequently, the financial institutions that offer a merchant account and handle card transactions on behalf of a merchant use POS equipment. The acquirer data is fed into the interchange system by the acquirer. It\u2019s also known as the acquiring bank.<\/p>\n\n\n\n

Acquirer Reference Number (ARN)<\/strong><\/h2>\n\n\n\n

When a card transaction is sent from the merchant\u2019s bank to the cardholder\u2019s bank, it is given a unique number. The figures are used to keep track of transactions and how far they\u2019ve progressed. They\u2019re also known as trace IDs because they\u2019re frequently used to track out where a transaction\u2019s funds are at any given time.<\/p>\n\n\n\n

Application Programming Interface (API)<\/strong><\/h2>\n\n\n\n

A set of documentation, software, definitions, and tools enables software developers to access a software service or application without interruption. APIs are typically given by any entity involved in the money flow (e.g., Service providers, processors, and payment gateways) to make the money transfer process more straightforward. PayU has the most dependable and secure API, enabling merchants to interface with PayU services<\/a>.<\/p>\n\n\n\n

Authorisation<\/strong><\/h2>\n\n\n\n

Authorisation<\/a> is implemented as an API request to the payment gateway in Point of sale payments, in-app, and eCommerce. After performing the necessary validation and risk checks, the gateway and payment processor asks the associated card network to authorise the payment from an issuer to an acquirer. A positive check indicated creating an authorisation code and setting aside funds for the planned transactions.<\/p>\n\n\n\n

Bank Identification Number (BIN)<\/strong><\/h2>\n\n\n\n

The Bank Identification Number (BIN) or issuer Identification Number (IIN) is the first six to eight digits of the card number. They can be used to identify the card\u2019s network and banking institution rapidly.<\/p>\n\n\n\n

Capture<\/strong><\/h2>\n\n\n\n

Following the authorization of a card, the second piece of data is passed for the transaction itself, which is referred to as capture. It indicates that a transaction has occurred, and the data has been transferred to the acquiring bank for settlement.<\/p>\n\n\n\n

Cardholder<\/strong><\/h2>\n\n\n\n

The person to whom a debit or credit card has been issued, as well as anyone else who has been permitted to use the card.<\/p>\n\n\n\n

Card Issuer<\/strong><\/h2>\n\n\n\n

The financial institution approves the issuance of a card to a person or a business. The card issuer retains control over the end user\u2019s card usage and is responsible for that use.<\/p>\n\n\n\n

Card Not Present (CNP)<\/strong><\/h2>\n\n\n\n

When a consumer cannot physically provide their card to the merchant at the moment of the transaction, it is referred to as a transaction. Online payments, in-app payments, and MOTO transactions are examples of CNP transactions.<\/p>\n\n\n\n

Cards<\/strong><\/h2>\n\n\n\n

Banks give plastic cards to customers to facilitate cashless payments at the Point of sale, on an e-commerce website, or via a mobile app. Cards are usually administered by card networks and might be debit, credit, or prepaid. A card number, which is unique to each card, is found on a typical card. It also includes a security code used in conjunction with other data (such as the card\u2019s expiration date and the cardholder\u2019s name) to verify card-not-present transactions.<\/p>\n\n\n\n

Card Security Code – (CVV, CVC, CID)<\/strong><\/h2>\n\n\n\n

In addition to the card number, a 3- or-4 digit numeric code is printed on a card.<\/p>\n\n\n\n

This code may go by different names, such as: <\/p>\n\n\n\n