[ic] New Credit card rules

Steve Graham icdev at mrlock.com
Sun Apr 11 00:09:27 UTC 2010

Anyone see this yet:

New MasterCard and Discover Processing Requirements
  Dear Authorize.Net Merchant:

MasterCard and Discover are modifying their rules concerning the processing 
of debit, prepaid and gift cards. This e-mail includes important information 
about the new requirements and the timelines regarding Authorize.Net's 
support of the requirements, so please read it thoroughly.

MasterCard's rule changes go into effect May 1, 2010, and Discover's rule 
changes go into effect April 16, 2010. However, Authorize.Net, MasterCard 
and Discover have worked together to extend these dates for all merchants 
using Authorize.Net solutions. Our merchants will now have until June 30, 
2011, to implement support for the requirements within their systems.

What are the requirements?
MasterCard and Discover are requiring that all merchants support the 
following: + Balance response transactions - For prepaid and gift cards, 
once the card has been used, the remaining account balance will be 
transmitted along with the authorization response. The remaining balance 
must be printed on the customer receipt, displayed on the Web page or 
point-of-sale terminal, or both.
+ Partial authorization transactions - When a customer's transaction amount 
exceeds the balance available on their debit, prepaid or gift card, instead 
of declining the transaction, a partial authorization for the amount 
available to the customer will be returned. This will allow the customer to 
pay for the remaining amount with another form of payment. This is called a 
split-tender transaction.
+ Authorization reversals - An authorization reversal is a real-time 
transaction initiated when the customer decides that they do not want to 
proceed with the transaction, or if the merchant cannot complete the 
transaction for any reason. Authorization reversals free up the customer's 
available balance on their debit, prepaid or gift card.

What steps is Authorize.Net taking to support these requirements?
Authorize.Net will be updating our systems over the coming months to support 
the requirements, but will be dependent on each processor's readiness. For a 
table of when we anticipate we will support the requirements with each 
processor, please visit http://www.authorize.net/support/pafaqs/#when.

What do I need to do to support the requirements?
The steps that you will need to take to support the requirements depend on 
how you connect to the payment gateway. For example, if you connect using a 
shopping cart, point-of-sale device, or other solution, you will need to 
contact your solution provider to confirm that they will be supporting the 
requirements. If you connect using a direct integration, you should contact 
your Web developer for assistance. Please direct your Web developer to 
http://www.authorize.net/support/pafaqs/#do for information on the changes 
they will need to make.

Do I have to support the requirements?
MasterCard and Discover are requiring all merchants to support the 
requirements with the exception of merchants that exclusively process 
transactions via batch uploads, mail order/telephone order (MOTO), or 
recurring payment transactions. Your Merchant Service Provider (MSP) is 
ultimately responsible for determining if the requirements apply to your 
business, so please contact them for assistance in determining if your 
company is exempt.

Once again, these requirements will not be enforced for Authorize.Net 
merchants until June 30, 2011. However, we wanted to bring them to your 
attention now so that you have plenty of time to plan for their 

For more information on the requirements, including how they affect our 
value-adding services, please visit our FAQ page at 

Thank you for your attention to these important changes and for being an 
Authorize.Net merchant.


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