Using a terminal to process card transactions General rules Read this section if you have an electronic terminal and the cardholder and card are present at the time of the transaction. If you use paper vouchers and an imprinter, please go to Section 4 Using paper vouchers to process card transactions. You may have an Agreement to take transactions by telephone, fax or Internet. These are known as Cardholder Not Present (CNP) transactions. For this type of transaction, go to the Cardholder Not Present or e-commerce section for further information. These instructions cover the card processing side of using a terminal. For more detailed tasks (such as replacing paper tally rolls) please refer to the Terminal User Guide which was supplied with your terminal. Remember you can only accept card types detailed in your Agreement. If you process any others, the transaction may be returned unpaid. To remind your staff of the cards that you can take, we suggest you display the till and shelf stickers provided in the start-up pack close to the tills. See Section 13 Further Information for details on how you can order till stickers from Ulster Bank Merchant Services. You can split transactions between a card and cash, but never split a transaction between two different cards. How to take a Chip & PIN card transaction You will increasingly handle chip cards using Personal Identification Number (PIN) as the Cardholder Verification Method (CVM). PIN now effectively replaces signature at point-of-sale to assist in the fight against plastic card fraud. You will find instructions on how to process a card payment using a PIN number later in this section: however should you have any diffi c ulties relating to the input of the PIN refer to Trouble shooting later in this section where further guidance can be found. ULST812RI Using a terminal to process card transactions Section 3 Page 1
Before you start However, if the card has been successfully read by the terminal and a PIN has been entered correctly, no further security checks are required. Make sure the card is undamaged and shows no signs of having been cut or written over. You should also check the specific security features for the card you are accepting. Refer to Section 2 Fraud Free Sales Card Recognition Guide for further information. If you are suspicious about the card or the cardholder, call the authorisation centre on 1800 700 100# and say this is a Code 10 call. Refer to Section 2 Fraud Free Sales for further information. Once you have checked the card and identified the cardholder you are ready to use the terminal to take a card transaction. The card should now be inserted into the chip card reader slot on your terminal. If the terminal has a separate PIN entry device attached, use the chip reader slot on that device. A chip card will have a contact plate like this embedded in the card. It is acceptable practice, but not essential, to allow the cardholder to insert the chip card into the reader. Following the terminal prompts, key in the full amount of the transaction (if you have a Purchase With CashBack facility refer to section 10 Purchase With CashBack for further information). At this point you will be able to identify if the card requires PIN verification. If a PIN is not requested refer to page 7 How to take a card transaction when a PIN is not yet available and follow the instructions. Following the terminal prompts, the cardholder should be asked to check that the amount of the transaction is correct and then enter their PIN. Most terminals will now automatically authorise the transaction. If the terminal prompts you to call the authorisation centre, call them immediately on 1800 700 100# and follow the instructions. Refer to section 5 Authorisations for further information. #Telephone calls may be monitored and recorded to improve our service Page 2 Section 3 Using a terminal to process card transactions ULST812RI
Do not give the cardholder the goods they are purchasing until you have received an authorisation and have completed the card transaction. If authorisation is not given or you receive a decline response to your authorisation request on the terminal, DO NOT proceed with the transaction. You will need to request payment by an alternative means: for example, with another card, by cheque or in cash. Remember to verify any new cards before you proceed with a new transaction. Refer to section 2 Fraud Free Sales for further information Wait for the terminal to print out a terminal receipt Confi r m the transaction on the terminal, give the cardholder the goods they have purchased and their card along with their copy of the terminal receipt Keep your copy of the terminal receipt for your records. Do not alter it in any way. If there is a dispute the cardholder s copy will normally be treated as correct. Copies of your terminal receipts must be kept for a minimum of 18 months as these can be requested if a query is raised at a later stage. If it is not possible to produce a terminal receipt on request then a chargeback may follow. Refer to section 8 Chargebacks for further information. Trouble shooting It is important that you are sure that the card belongs to the person presenting it. If necessary you may decide to ask the cardholder for additional identification such as a driving licence or a passport. If you are in any doubt call the authorisation centre using the code 10 procedure. Refer to section 2 Fraud Free Sales for further information. The cardholder enters their PIN incorrectly The cardholder will have the opportunity to enter their PIN 3 times. Should all these attempts fail the PIN will become locked. After 17th March 2007 a locked PIN will mean that an alternative means of payment will be required. Any attempt to complete the transaction using signature verification may result in a declined response from the card issuer. ULST812RI Using a terminal to process card transactions Section 3 Page 3
The cardholder has forgotten their PIN After 17th March 2007 if the cardholder does not know their PIN you will need to request an alternative means of payment. In these circumstances please advise the cardholder to contact their card issuer for re-advice of their PIN. When a PIN card is inserted into the chip card reader the terminal will always prompt you to ask the cardholder to enter their PIN. You receive a message that the PIN is locked If the terminal advises or the cardholder tells you that their PIN is locked you will need to ask them for an alternative means of payment and advise them to contact their card issuer for a re-advice of PIN. It is important that you do not try to bypass the chip reader and manually enter the card number as this will mean you may have to bear the loss should the transaction turn out to be fraudulent. Page 4 Section 3 Using a terminal to process card transactions ULST812RI
How to take Chip & PIN transactions Not all chip and signature cards will be replaced with chip and PIN cards. If the terminal does not prompt for PIN then signature can be accepted. Following the terminal prompt, key in the full amount of the transaction (if you have a Purchase With CashBack facility refer to section 10 Purchase With CashBack for further information). Most terminals will now automatically authorise the transaction. If the terminal prompts you to call the authorisation centre, call them immediately on: 1800 700 100 # and follow the instructions. Refer to Section 5 Authorisations for further information. Do not give the cardholder the goods they are purchasing until you have received an authorisation and have completed the card transaction. If the authorisation is not given or you receive a decline response to your authorisation request on the terminal, DO NOT proceed with the transaction. You will need to request payment by an alternative means for example, with another card, by cheque or in cash. Remember to verify any new cards provided before you proceed with the new transaction. Refer to Section 2 Fraud Free Sales for further information. Wait for the terminal to print out the terminal receipt. Check that the card number, expiry date and card type on the terminal receipt are the same as on the card. If any of the details are different then you should hold onto the card while you cancel the transaction immediately and make a code 10 call. Refer Section 2 Fraud Free Sales for further information. Check the transaction and amount are correct N.B. it is important that you are sure that the card belongs to the person presenting it. If necessary, you may decide to ask the cardholder for additional identification such as a driving licence or a passport. If you are still in doubt call the authorisation centre using the Code 10 procedure. Refer to Section 2 Fraud Free Sales for further information. #Telephone calls may be monitored and recorded to improve our service ULST812RI Using a terminal to process card transactions Section 3 Page 5
Provided you are happy with the transaction, confirm the transaction on the terminal, give the cardholder the goods they have purchased and their card along with their copy of the terminal receipt. Keep your copy of the terminal receipt for your records. Do not alter it in any way. If there is a dispute the cardholder s copy will normally be treated as correct. Copies of your terminal receipts must be kept for a minimum of 18 months as they can be requested if a query is raised at a later stage. If it is not possible to produce a terminal receipt on request then a chargeback may follow. Refer to Section 8 Chargebacks for further information. How to take magnetic stripe transactions You should only follow this process if the card does not have a PIN or a chip is not available. If your terminal has prompted you for a PIN you must follow the instructions earlier in this section called How to take a chip & PIN card transaction. Insert the card into the chip reader. Your terminal will prompt you to swipe through the magnetic stripe reader if the card being used is not a chip card, however before you use the magnetic stripe try inserting the card again the other way round as it may have been inserted incorrectly and the terminal cannot read it. Following the terminal prompt, key in the full amount of the transaction (if you have a Purchase With CashBack facility refer to Section 10 Purchase With CashBack for further information). Most terminals will now automatically authorise the transaction. If the terminal prompts you to call the authorisation centre, call them immediately on: 1800 700 100# and follow the instructions. Refer to Section 5 Authorisations for further information. Do not give the cardholder the goods they are purchasing until you have received the authorisation and have completed the card transaction. #Telephone calls may be monitored and recorded to improve our service Page 6 Section 3 Using a terminal to process card transactions ULST812RI