F

Facsimile Draft: Also known as a fax draft, this is a paper record provided in absence of a sales draft.

Factoring/Laundering: A typically fraudulent process in which a merchant is coerced or bribed to process the transactions of another merchant.

Fiber Optic Cable: A high-speed transmission medium that uses thin cables of glass. Data is carried as light waves. Fiber optic cables are capable of extremely fast data transfer.

File Transfer: Transfer of a file from one computer to another, usually through the Internet or another network.

File Transfer Protocol (FTP): A file transfer method that uses the Internet to transfer files. FTP is usually password protected for enhanced security.

Financial EDI: The electronic transfer of financial data in standardized formats. Financial data may include various documents as well as payments.

Financial Institution: Banks, credit unions, savings and loan associations, thrifts and other organizations which deal with financial transactions, including the lending of money and various other financial services.

Firewall: A program on a computer which prevents certain types of messages from getting through to the computer through the Internet. A firewall may also refer to a computer or a system of computers that fulfills this purpose.

Floor Limit: Merchants must receive an authorization for each transaction over a floor limit, which is a set by an acquirer. A floor limit is also affected by the rules and regulations of credit card companies like Visa and MasterCard.

Folio: All of the transaction info for a cardholder is kept in a file known as a folio by a lodging merchant. Folios include various types of information on lodgers, including charges, reservation info and more.

Force / Offline Transaction: A transaction that can be entered into a network after downtime or any other interruption of service that prevents an online transaction. A force transaction requires an approval code to be inserted into an EDC batch.

Frame Relay: A network access protocol which is faster than older protocols, with a low delay and a very efficient use of bandwidth. Frame relay allows for better connectivity and a lower chance of downtime when using various types of data applications.

Franchise: A business organization that allows merchants to market goods and services for the organization in certain territories, distinct from a chain in that management and services might be handled by local franchise owners. Franchises typically use the same bankcard processing tools for all of their members.

Fulfillment: A confirmation of an acquirer’s response to a request for a sales draft from an issuer. As part of this confirmation, the acquirer will supply the issuer with a reproduction of a draft or the original draft of the issuer’s retrieval request.

Full Service Processing (FSP): A relationship in which CreditCardProcessing.com performs various services for a banking institution. CreditCardProcessing.com doesn’t assume the liability for losses in offering full service processing.

Funding: Payment for deposits to a merchant’s account.

Funding Account: Any account in the context of a transaction request in which the account holder hasn’t specified a specific account for processing. A funding account is a general term used to refer to a transaction in which no account has been specified by the cardholder or account member.

Funding Correction: A funding correction is a payment made to correct an error. CreditCardProcessing.com will submit a funding correction after an error causes a loss of funds, including situations in which fees or charges are assessed inappropriately.

Funds Settlement Account: Maintained by a STAR member or a processor, a funds settlement account is a deposit account which is used to settle STAR transactions.

Funds Settlement Day: Weekdays in which funds are settled, excepting holidays observed by the following banks for their related STAR switches:

  • Federal Reserve Bank of San Francisco (STAR West Switch)
  • Federal Reserve Bank of Atlanta (STAR Central and Southeast Switches)
  • Federal Reserve Bank of Philadelphia (STAR Northeast Switch)

Funds Transfer System: A communication system, including ACH and wire transfer networks of which CreditCardProcessing.com is a member. Orders for payments can be transmitted through funds transfer systems. Examples of funds transfer systems including MasterCard and Visa.