Overview

The
Payouts
 service transfers funds from one account to another using a two-step transaction process:
  • An account funding transaction (AFT) withdraws funds from a sender’s account using standard credit card processing.
  • An original credit transaction (OCT) deposits funds into a recipient’s account.
An AFT and OCT are independent transactions, though an AFT often precedes a corresponding OCT.
In typical payment transactions, you initiate debits and credits to receive payments from cardholders for your goods and services. With
Payouts
, you provide a money transfer service by initiating AFT and OCT transactions that move funds between accounts. These are the money transfer types:
  • An account-to-account payment moves funds between accounts owned by the same person.
  • A business-to-person payment moves funds between a merchant and a cardholder.
  • A person-to-person payment moves funds between two cardholders.
For a person-to-person funds transfer, Pull and Push services are executed. When an AFT is authorized for a person-to-person transaction, the funds are available and can be withdrawn from the sender's account. This service is referred to as a Pull service. A subsequent OCT is authorized, and the funds can deposited into the recipient's account. This service is referred to a Push service.
The
Payouts
 system ensures that both Pull and Push services are executed efficiently, providing a seamless experience for users. By leveraging
Payouts
, businesses and individuals can streamline their financial operations, making transactions more efficient and reliable.
No merchant goods are involved in
Payouts
 transactions.
IMPORTANT
You must receive approval from
your processor
before using the AFT service. Contact
your processor
 to register in the AFT program.

AFT Types

The Account Funding Transaction (AFT) is a specific type of transaction that moves funds from a Visa account to another Visa or non-Visa account. It is primarily used for loading or topping up prepaid card accounts, transferring funds into another financial account (like a savings account), acting as a funding source for person-to-person (P2P) money transfers, or loading third-party digital wallets. AFTs cannot be used for purchasing goods or services or transferring funds to a merchant account.
AFTs are the required transactions to load or top-up prepaid cards in all regions. An AFT is the required pull transaction to be used for disbursing payroll funds, P2P or me-to-me transactions, and pre-funding a customer's digital wallet in a card-not-present environment. When used independently to fund another Visa or non-Visa account, AFTs must be used only to fund an account belonging to the same individual or entity holding the Visa account.

Reversal and Adjustment Transactions

You can reverse an AFT within the first 24 hours of the original transaction before the transaction settles.
You can refund an AFT back to the sender's card within 30 days of the original AFT back to the sender's card. You cannot originate a refund if the original transaction is over 30 days old. The system accepts a refund after the original AFT settles.
IMPORTANT
Issuers can manage AFT refunds as credit adjustments instead of posting the transaction directly into the cardholder's account. Therefore, the timeframe for when the cardholder should expect the refund will vary by issuer.

Aggregator Support for
Payouts

A third-party agents can act as an
aggregator
, or
payment facilitator
, for supported types of
Payouts
 transactions. An aggregator is an organization that aggregates
Payouts
 transactions for a group of sub-merchants under a single account, processing card transactions and settling funds directly to sub-merchants' bank accounts. An aggregator can be a merchant, an independent sales organization (ISO), or a member service provider (MSP). When aggregation is enabled,
Cybersource
 can send payment facilitator information about a transaction that involves the facilitator.
To have your account configured for this feature, contact customer support.

Single Message System Credit Card Processing

Payouts that are processed through
Visa Direct
 use Visa’s Single Message System (SMS). In the SMS, a separate authorization and capture are not required. The SMS processes transactions in a single message, which includes both the authorization and the capture of the transaction.
An AFT consists of a single pull funds transfer request. An OCT consists of a single push funds transfer request.