Product Fulfillment and Payment Processing

What exactly is payment processing?

In the simplest of definitions, payment processing is the processing of any type of payment for goods or services. This service is provided to merchants and retailers by an online payment processing company for the purposes of accepting transactions for any of the following types of payments:

bank transfers
credit cards
debit cards
direct debit transactions
real-time bank transfers

The payment processor is the company (that the merchant engages to handle these transactions listed above. You typically see two classifications of payment processors – back-end and front-end.

Back-end processors – accept payments from front-end processors through the Federal Reserve Bank by moving the funds from the bank that issues them to the merchant’s bank.
Front-end processors – this entity has connections with various card associations for "MOTO" (Mail Order / Telephone Order) today known as "Card Not Present" transactions, settlement services, and supply authorization relative to the merchant’s bank. Some of the more recognizable payment processing providers are Authorize.net, FirstData, Google Checkout, and PayPal.

How payment processing works:

The payment processing operation only takes a few seconds at most. During those few seconds, the processor will check all the details that they receive by forwarding them onto the card association or the cards issuing bank in order to be verified. Additionally, they will perform a series of measures that prevent fraudulent activities during the process. Other elements are taken into consideration as well such as:

credit card country of issue
AVS - Address Verification System - Comparing the address provided to the address of record for the card holder
previous payment history - within credit limit
CVV code - Card Verification Value - designed to provide additional security to further validate the a credit card number provided.

These are normally utilized in order to gauge the probability of a transaction’s approval. Once the verification details have been confirmed by the payment processing company, the information is then relayed back to the payment portal and then on to the merchant. At that point, the transaction is completed by the merchant. If the bank or card association denies the verification, the information is sent to the merchant via the payment processor and the transaction will be declined by that merchant.

In addition to the many services that Global Response has been providing for over three decades now, they can set up payment processing systems that can be customized to meet your specific business needs. Outsourcing all of your product fulfillment needs is a wise decision on your behalf because your product identity is maintained using excellent customer service techniques.

Our specialty is the implementation of product fulfillment applications that are extremely cost-effective yet simple and include services such as:

Customer Service
Order Processing
Payment Processing
Pick and Pack
Shipping
Warehousing

Although you can hand pick the individual service you are interested in, implementing a total package is the best course of action. The reasoning is simple. Global Response has been providing integrated solutions from the Call Centers to Fulfillment services since 1974!

If you are interested in learning more about payment processing or the other fulfillment services that we provide, please contact us today at 800.967.0030.