Ever since the United States federal marshals stepped in at Silk Road there have been all sorts of talk along with activity taking place. An alternative bitcoin has come about that unfortunately did cause security breaches. Many are now starting to wonder what else is due to come about and where it can be anticipated. As for those persons who pay close attention to the Bitcoin (BTC) they are quite aware of the growth that has become. Because of this extraordinary growth, a BTC mining community now has enlarged and enhanced in BTC currency by 51%.
According to Extreme Tech, “Ghash.io passed the 51% mark for more than 12 hrs [sic] this week, after promising to never do so back in January.” Extreme Tech believes this type activity could literally destruct the use of bitcoins in the future if not corrected. This current idea of BTC may be another idea or something higher than Pay Pal can ever match. It is only a matter of time for investors to slowly enter the market and remove the bugs so this type of investment can be used for transactions just as easily. Perhaps BTC will be something that will further open the doors for stock market investor transactions or other investors who are in need of setting up an account yet are not able to pay the high rate of fee being charged.
There are multiple ideas that can be considered when using BTC. There are current improvements being made for security purposes that will assist the consumer. According to Coindesk, user-friendly updates will be taking place in a new version that can show payment information. This is a very advanced improvement and it actually can give further ideas on future development. Yes, currently bitcoin is an infant making much noise across the world and causing much havoc to business owners in transactions but this item may actually have future promise. There must be a combination of time and positive growth to make everything work for the best.
Credit card processing is intricate regardless of what credit card processor a business owner chooses because this process must be secured from beginning to end. The process always begins at the customer and the business. Why is this always the starting point? When the customer pays for his or her service/product to the vendor, that payment is then transferred to the terminal usually through the Internet. After the gateway has done so, the payment is then forwarded onto the merchant bank processor.
While at the processor, the payment is submitted into the credit card network, awaits clearance then once cleared the payment returns to the terminal and goes onto the customer’s credit card issuing bank. Once at the issuing bank an authorization request is made. That request includes usage of the credit card number, expiration date, and all card information including security data for verification of payment. Once complete the issuing bank can either submit or decline. In most cases, it will submit (i.e. validate) through the network to the merchant for customer purchase. The amount of payment does get sent to merchant’s bank account. In essence, this will complete the transaction of sale and between merchant and customer.
It can be difficult to grasp how credit card processing takes place but in essence it is not as difficult once considering how simple the flow of money can move. How credit cards are paid is actually quite simple. Credit card vendors will ascertain their % from the fee that is paid by the merchant in many cases. For example if a merchant purchases $50.00 worth of goods using a credit card at the end of the transaction, the credit card bank will obtain % fee of $50 from the merchant. Most credit cards are 2-3% however there are some credit card vendors that can charge a higher percentage.
Tired of your current processor or interested in working with a company that cares about your needs? Sunlit will always go above and beyond for your company every single time. Contact us and get started today.