3. Transaction Processing

Authorization:

• Authorization Engine: Utilizes an advanced authorization engine to process real-time transaction requests, applying rules based on cardholder data and risk parameters.
• Fraud Scoring: Implements fraud scoring algorithms to assess the risk of each transaction in real-time.

Clearing:

• Interchange Systems: Integrates with major interchange systems like VisaNet, MasterCard’s Banknet, and other card networks for transaction clearing.
• Reconciliation Engine: Uses a reconciliation engine to ensure consistency between transaction records and financial institution statements.

Settlement:

• Net Settlement: Facilitates net settlement processes, where funds are transferred after calculating the net position of the issuing and acquiring banks.
• Fee Management: Automates the calculation and deduction of interchange fees and other processing fees.