Glossary
This page provides a list of glossary terms used in this guide.
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3D Secure (3-domain structure), also known as a payer authentication, is a security protocol that helps to prevent fraud in online credit and debit card transactions. This security feature is supported by Visa and Mastercard.
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Banking organisation and licensed scheme member that enables merchants to take card payments and send payment authorisation requests to the issuer using the card scheme’s network.
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Stage where a merchant requests approval for a card payment by sending a request to the card issuer to check that the card is valid, and that the requested authorisation amount is available on the card. At this stage the funds are not deducted from the card.
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The Business Identification Number (BID) is an ID number assigned by Visa that identifies an issuing bank. A BID can have multiple BINs associated with it.
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The Bank Identification Number (BIN) is the first four or six numbers on a payment card, which identifies the institution that issues the card.
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An issuer that allocates a BIN or a BIN range to their program manager customer, to enable the program manager to launch a card programme.
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Buy now, pay later (BNPL) is a financing option that allows customers to purchase goods or services and pay for them in installments over a period of time, typically a few weeks or months, instead of paying the full amount upfront.
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Company that prints newly issued physical cards and sends to cardholders.
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Card network, such as MasterCard or Visa, responsible for managing transactions over the network and for arbitration of any disputes.
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A chargeback is a type of transaction reversal initiated by the Issuer or Programme Manager in order to recover funds from the acquirer of the transaction, in a case of a cardholder dispute; or merchant error resulting in a financial loss to the issuer. The reversal is typically passed on to the merchant by their acquirer.
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The process of exchanging financial transaction details between an acquirer and an issuer to facilitate posting of a cardholder's account and reconciliation of a customer's settlement position.
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A digital currency in which transactions are verified and records maintained by a decentralised system using cryptography, rather than by a centralised authority.
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License provided by the scheme or issuer which enables a program manager to offer card services and other financial products to their customers, without the need for a full banking licence.
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The External Host Interface (EHI) is a Thredd system that enables Thredd customers to receive and respond to real-time transaction data as well as financial messages.
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EMV is a payment standard for smart payment cards, payment terminals and automated teller machines (ATMs). EMV is an acronym for "Europay, Mastercard, and Visa", the three companies which created the standard.
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Innovative Financial Technology Companies.
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The Interbank Card Association (ICA) number is a four-digit number assigned by MasterCard that identifies an issuing bank. An ICA can have multiple BINs associated with it.
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Third party agent certified by the card scheme to accept and process card network transactions on behalf of the issuer.
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Financial organisation and scheme member, licensed by the scheme to issue cards and process transactions using the scheme’s network.
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Coins or banknotes that must be accepted if offered in payment of a debt.
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System from Mastercard for raising disputes and sharing messages during the dispute management process.
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The MasterCard Digital Enablement Service (MDES) is a platform for generating and managing digital payment tokens.
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The shop or store providing a product or service that the cardholder is purchasing. A merchant must have a merchant account, provided by their acquirer, in order to trade. Physical stores use a terminal or card reader to request authorisation for transactions. Online sites provide an online shopping basket and use a payment service provider to process their payments.
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A short-range wireless connection that uses magnetic field induction to enable communication between devices within a few centimetres of each other.
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An authorisation transaction which relies on the card reader terminal scanning the card chip and authorising, without going through the online card payment network to request authorisation from the issuer.
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An authorisation message that requires real-time and immediate processing via the card payment network and an immediate response from the issuer.
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Original credits are fund transfer transactions from one entity to another and are not linked to a previous transaction. Visa Fast Funds/OCT and Mastercard Money Send are examples. Unlike refunds, most of the Fund Transfer transactions should be funded to the target card within 30 minutes of authorisation.
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Enables merchants to take cardholder payments online or via a card reader terminal without needing to build their own payment infrastructure and payment systems.
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The Payment Card Industry Data Security Standard (PCI DSS) is an information security standard for organisations that handle credit cards from the major Card Schemes. All customers who handle customer card data must be compliant with this standard. See: https://www.pcisecuritystandards.org/pci_security
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The card identifier found on payment cards, such as credit cards and debit cards, as well as stored-value cards, gift cards and other similar cards. The card’s 16-digit PAN is typically embossed on a physical card.
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A card which features the program manager’s card brand only (without the Visa or Mastercard logo).
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A Thredd customer who manages a card program. The program manager can create branded cards, load funds and provide other card or banking services to their end customers.
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Process where the issuer provides funds to the scheme (Mastercard or Visa) equivalent to the sum of all transactions. It is the physical movement of funds between issuer and acquirer.
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Secure File Transfer Protocol. File Transfer Protocol FTP) is a popular unencrypted method of transferring files between two remote systems. SFTP (SSH File Transfer Protocol, or Secure File Transfer Protocol) is a separate protocol packaged with SSH that works in a similar way but over a secure connection.
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Smart Client is Thredd's legacy desktop application for managing your cards and transactions on the Thredd Platform.
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An SSL certificate displays important information for verifying the owner of a website and encrypting web traffic with SSL/TLS, including the public key, the issuer of the certificate, and the associated subdomains.
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The card network (Visa and Mastercard) may perform approve or decline a transaction authorisation request on behalf of the card issuer. Depending on your Thredd mode, Thredd may also provide STIP on your behalf, where your systems are unavailable.
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Authentication which is a combination of two factors of identification at checkout. Examples include something they know (such as a password or PIN), something they get (such as an OTP in a mobile phone or other device) or something they are (such as their fingerprint).
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Thredd Portal is Thredd's new web application for managing your cards and transactions on the Thredd Platform.
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Tokenisation is a security technology which replaces the sensitive 16-digit permanent account number (PAN) that is typically embossed on a physical card with a unique payment token (a digital PAN or DPAN) that can be used in payments and prevents the need to expose or store actual card details.
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Cardholder authentication which combines two separate authentication channels during the authentication process (e.g., PIN entry + One-Time Password sent to a mobile phone).
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Visa Digital Enablement Program. Also called the Visa Tokenisation Service (VTS).
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System from Visa for raising disputes and sharing messages during the dispute management process.
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Card solution where you provide the physical or virtual card, but enable other companies to offer a card with their brand image included.