Web Terms Glossary

E-Commerce words Glossary

# A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
There are 10 names in this directory beginning with the letter A.
Acquiring Bank/Merchant Bank

The bank that does business with merchants who accept credit cards. A merchant has an account with this bank and each day deposits the value of the day’s credit card sales. Acquirers buy (acquire) the merchant’s sales slips and credit the tickets’ value to the merchant’s account.

Acquiring Processor/Payment Processor

The processor provides credit card processing, billing, reporting and settlement and operational services to acquiring and issuing banks. Many financial institutions don’t do their own bankcard processing because it’s more cost-effective to let someone like First Data Corporation (FDC) invest in the equipment and people and do it for them.

American Express

An organization that issues cards and acquires transactions, unlike Visa and MasterCard, which are bank associations.


An acceptance of a payment. Usually in the form of an authorization code provided by the Issuing bank

Authentication Verifying

that a person is who he/she claims to be, or that an email message is actually from the person or organization that claims to have sent the message.


The act of insuring that the cardholder has adequate funds available against their line of credit. A positive authorization results in an authorization code being generated, and those funds being set aside. The cardholder’s available credit limit is reduced by the authorized amount.

Authorization Capture

A payment capture method that is used by merchants who ship orders on the same day that they receive orders. The payment is captured when the merchant authorizes the credit card used by the customer.

Authorization Code

a numerical or alphanumeric code sent by the card issuer verifying that the sale has been authorized. The authorization may be obtained by voice, software, or terminal transmission. The merchant should include the authorization number on the sales draft to facilitate the authorization process.

Authorization Request

An electronic message sent from the Merchant’s business to the customers credit card issuing bank to request an authorization code for a sale transaction.

Authorization Response

An issuing bank’s electronic message reply to an authorization request.