Processing Payments Using Credentials

This section provides the information you need in order to process payments using credentials.
Processing Payments Using Credentials

Customer-Initiated Transactions with Credentials on File

A customer-initiated transaction (CIT) is a transaction initiated by the customer. There are two types of CITs:
  • Customer transactions during which the credentials are stored for future
    customer
    -initiated transactions.
  • Customer transactions during which the credentials are stored for future
    merchant
    -initiated transactions.
Customers can initiate a CIT at a merchant payment terminal, through an online purchase transaction, or by making a purchase using a previously stored credential.

Business Center

You can create a new customer-initiated transaction in the
Business Center
by going to the One-Time Payments section and requesting a new authorization. When you have entered the customer's information, you can store the customer's credentials with the customer's permission in the Payment Information section. By doing so, you can perform merchant-initiated transactions for payments that the customer has pre-approved.
For more information on how to perform a MIT in the
Business Center
, see Merchant-Initiated No-Show Transactions with PAN.
Processing Payments Using Credentials

Delayed Transaction

Delayed charge transaction is performed to process a supplemental account charge after original services have been rendered and respective payment has been processed.
This section describes how to process a merchant-initiated delayed transaction, also known as a delayed charge, using these payment types:
Processing Payments Using Credentials

Incremental Transaction

An incremental authorization is used to increase the total amount authorized for a payment if the initial authorization does not cover the total cost of goods and services. An incremental transaction is an additional amount to the original authorization. The final authorized total includes amounts for both the initial and the incremental authorizations. Incremental transactions are limited to certain merchant categories, such as rental, lodging, transit, amusement parks, restaurants, and bars.
This section describes how to process an incremental transaction using these payment types:
Processing Payments Using Credentials

No-Show Transactions

A no-show authorization occurs when a merchant charges a customer after the customer makes a reservation, and does not show up to claim the reservation. In this situation, the customer is charged an agreed upon fee for not showing up as expected.
This section describes how to process a merchant-initiated no-show transaction using these payment types:
Processing Payments Using Credentials

Reauthorization Transaction

A reauthorization occurs when the completion or fulfillment of the original order or service extends beyond the authorized amount time limit. There are two common reauthorization scenarios:
  • Split or delayed shipments by a retailer
  • Extended car rentals, hotel stays, or cruise line bookings
This section describes how to process a reauthorization transaction using these payment methods:
Processing Payments Using Credentials

Resubmission Transaction

A resubmission transaction is used when a merchant resubmits an authorization to recover an outstanding debt from the customer. A common scenario is when a card was initially declined due to insufficient funds, but the goods or services were already delivered to the customer.
This section describes how to process a resubmission transaction using these payment types:
Processing Payments Using Credentials

Installment Payments

An installment payment is a single purchase of goods or services billed to a customer in multiple transactions over a period of time agreed to by you and the customer. The agreement enables you to charge a specific amount at specified intervals.

Installments Service for Installment Payments

Do not use this document if you are using the Installments service. When using the Installments service,
Cybersource
saves and stores payment credentials for installment transactions, ensuring compliance with COF best practices.
Processing Payments Using Credentials

Recurring Payments

A recurring payment is a credentials-on-file (COF) transaction in a series of payments that you bill to a customer for a fixed amount at regular intervals that do not exceed one year between transactions. The series of recurring payments is the result of an agreement between you and the customer for the purchase of goods or services that are provided at regular intervals. Recurring payments are also known as
subscriptions
.
Mastercard uses standing order and subscription payments instead of recurring payments. See Mastercard Standing Order Payments and Mastercard Subscription Payments.

Recurring Billing Service for Recurring Payments

Do not use this document for the Recurring Billing service.
Use the
Recurring Billing Developer Guide
. When you use the Recurring Billing service,
Cybersource
saves and stores payment credentials for recurring transactions, ensuring compliance with COF best practices.
Processing Payments Using Credentials

Mastercard Standing Order Payments

A standing order payment is a recurring COF transaction that is a variable amount at a regular interval, such as a utility bill, not to exceed one year between transactions. The series of recurring payments is the result of an agreement between you and the customer for the purchase of goods or services that are provided at regular intervals.
Processing Payments Using Credentials

Mastercard Subscription Payments

A subscription payment is a recurring COF transaction that is processed at a fixed amount at regular intervals not to exceed one year between transactions. The series of recurring payments is the result of an agreement between you and the customer for the purchase of goods or services that are provided at regular intervals.
Processing Payments Using Credentials

Unscheduled COF Payments

An unscheduled credentials-on-file (COF) transaction uses stored payment information for a fixed or variable amount that does not occur regularly. An account top-up is one kind of unscheduled COF.
Processing Payments Using Credentials