Tuesday, October 20, 2020

What is CARDVER or Card Verification on credit card transaction

Hey all Liftuper, welcome back to the news or knowledge on credit card transaction, which is mostly used on hotel industry.


Perhaps some of you have ever heard the term on "CARDVER" or Card verification. In some bank is called card authorization. The question, what kind of transaction is that? and how safe it is for the merchant and for the card holder. Well let us discus one by one.

CardVer, or card verification, or card authorization, is a transaction which has function to hold of freeze some money which is inputted on the EDC machine. It is not the final transaction which will be received by the merchant, but this transaction has function to hold only, as a deposit to cover the expenses of the guest. It is because we don't know yet how much will be the total expenses of the guest, and by this way we let the guest consume whatever they want, as long as the total expenses is still covered by the total amount on the cardver transaction. 

Where does the money go after the Cardver transaction?

After doing the cardver, the total amount on the transaction will be hold from the cardholder. But the money will not come through the the merchant. But, the money will be hold by the merchant;s bank. Let see for example the local bank that is used by the merchant is BCA. then whatever the bank of the client which we cardver the card, will be hold by BCA, and on the bank statement of the guest there will be stated HOLD transaction. Without the other transaction which is called Offline transaction, the money will not go to the merchant. In the other session we will talk deeply about Offline transaction.

How long will the money be hold by the bank?

The money will be safety hold by the bank for 15 working days to 30 working days, depend on the bank issuer, or bank of the client. But mostly will be around 15 working days. After this period of holding, the money will be released automatically by the system of the bank, and will be back to the client's card. 

What kind of card that we can do for Cardver transaction?

Not all of the card can be used for cardver transaction. The card must be CREDIT CARD. Don't ever do cardver to debit card because it will cause the money to be hold forever on the bank, which will create a complain to the client, as well as not good to the merchant as the money will not go through to the merchant. Sometimes it is confusing to identify which one is credit card and which one is debit card. Sometimes the guest also confuse about their card, so the merchant should really understand the different. Let us discuss about types of card in the other session.

What should we do if a debit card is cardvered by the merchant?

It sometimes a big problem if it is happen as money of the people is very critical issue. What you have to do when you realize it are as below:

1. Fill the form from your bank about cancelling the hold amount of the guest. Every guests they usually have their form. Fill the detail of the credit card that we want to release the holding amount.

2. Send the form through email to the bank and mark as urgent in order to be prioritized by the bank.

3. Communicate well with guest in order to keep a good relation, and show yourself that you are full responsible for the process.

4. Control the progress from your bank, and make sure it is followed up until totally finished.

5. Notify your guest once you have the information from your bank that the process is finished.


Well, that's it about card ver, and will show you later some important information to lift up your knowledge.


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