Processing a payment includes these transactions:
- the card is authorized to make the transaction by the issuing bank, and a hold is placed on the card for the amount of the purchase.
- the purchase is reconciled, and the payment is transferred to the merchant bank.
- the authorization is cancelled, and the hold on funds is removed from the card.
- Void:the transaction is voided, and all transaction actions are reversed.
- the cardholder is issued a refund, and the payment amount is credited back the issuing bank.
- Sale:a sale combines the actions of an authorization and capture in a single transaction.