How does the payment process work?
Here is an overview of what happens behind the scenes and other players involved
What is a repurchaser?
Also known as a merchant bank, an acquiring bank is a financial institution licensed by Mastercard to help merchants fulfill their obligation to accept Mastercard.
What is the issuer?
An issuer is a bank, credit union, savings and loan association, government organization (such as a postal organization), or retailer that provides a credit or debit card consumer or business.
What role does Mastercard play?
Mastercard is neither an issuer nor an acquirer. Our role is to provide the technology and networks that power transactions.
Step 1: Customers pay with Mastercard
The customer buys goods/services from a merchant.
Step 2: Payment is verified
The point of sale system captures the customer’s account information and sends it securely to the buyer.
Step 3: Transaction sent
The merchant asks Mastercard to receive authorization from the customer’s bank.
Step 4: Request authorization
Mastercard submits the transaction to the bank for authorization.
Step 5: Delegate Feedback
the Bank authorizes the transaction and sends the response back to the merchant.
Step 6: Payment
to the seller The bank transfers the payment to the seller’s buyer, who sends the payment to the seller’s account.