Exam 11: Payment Systems for Electronic Commerce

A _____ handles chargebacks and any other reconciliation items.

_____ allows for contactless data transmission over short distances and can also be used if a smartphone is equipped with a chip similar to  those that have been used on payment cards for a number of years.

When a bank buys accounts from another bank, it performs a series of procedures called _____, which include checking the new customers' credit histories and banking records.

Charge cards involve lines of credit and accumulate interest charges.

Credit card issuers charge interest on any unpaid balance.

_____ are cards that hold value that can be recharged by inserting them into the appropriate machines, inserting currency into the machine, and withdrawing the card; the card's strip stores the increased cash value.

_____ are responsible for evaluating their customers' credit standings and establishing appropriate individual credit limits.

To process payment cards for Internet transactions, an online merchant must set up a(n) _____ with an acquiring bank.

A _____ obtains authorization for a payment card transaction by sending the transaction's details to the interchange network and storing a record of the approval or denial.

For merchants, payment cards provide fraud protection.

In the context of fees deducted by acquiring banks, _____ are charged at rates which depend on the merchant's industry.

The Check Clearing for the 21st Century Act permits banks to eliminate the movement of physical checks entirely.

_____ can be accomplished by purchasing goods or services with ill-gotten electronic cash and selling them for physical cash on the open market.

In an online storage system, the merchant must contact the consumer's bank to receive payment for a purchase.

A _____ is a stored-value card with an embedded microchip that can store information.

The use of mobile telephone carriers as a micropayment system has been held back by the mobile carriers' substantial charges for providing the service.

In phishing, the collection of information is done by _____.

Internet payments for items costing from a few cents to approximately a dollar are called _____.

A two-part lock provides anonymous security but signals when someone is attempting to double spend cash.

When a cardholder successfully contests a charge, the acquiring bank must retrieve the money it placed in the merchant account in a process called a _____.