Credit and Debit Card Processing

Below is information on how we process Credit and Debit cards via our website and call center. These policies and steps are not unique to us and are controlled by the credit card companies such as Visa, MasterCard, American Express and Discover as well your bank that issues the card. It is important that you understand these processes as a consumer, not just for your shopping with us, but with all purchases you make online or over the phone with anyone.

A credit or debit card transaction typically goes through 3 steps. First it is Authorized, Captured and finally Settled. In the case of cancelled orders it also goes through a voided process. In the case of a credit or refund it goes through a credit process as well.

Authorization

Authorization is the process by which card issuers approve or deny requests to accept transactions. Approval is based on a validation of the account number, expiration date, and card code number to verify that a cardholder’s account is open, and that the transaction will not place the account above any credit limit. Since most authorization requests are approved, the term "authorized transaction" refers to an approved authorization request. An authorized transaction does not imply that we have charged your credit card. An authorization puts a hold on those funds for 30 days or until we finalize that transaction. Since the issuing bank and not Visa, MasterCard, American Express or Discover processes debit cards, also referred to as check cards, the process can vary slightly due to their own policies. Banks typically process an authorization in one of two ways; either they place a hold on the funds and leave the money in your account or they collect the funds and put it into an escrow account. Once the transaction has been settled (which, with us, occurs when your order with us is shipped) the bank or credit card issuer transfers the money from the either your account or their escrow account to our merchant account.

Capture

Once your order is complete and ready to be shipped we capture the funds. This process flags either your credit card company or in the case of debit cards, your bank, that these funds are ready to be settled. At this point the funds still remain in your credit card account with a hold on them or in your banks escrow account in the case of some debit cards. Capturing a transaction simply flags a transaction as approved and ready for settlement.

Settlement

Credit card settlement is the process by which captured transactions are submitted to card issuers for payment. This process occurs at the end of the business day and at this point the funds are transferred to our merchant. Your funds are never transferred to our merchant account until after settlement occurs which is done on the day your package ships.

Voided Transactions

A void transaction is used to entirely back out a purchase transaction on a current batch, which has not been submitted for settlement. You should be aware of the effect voids will have on a your credit card limit or available funds in you checking account. Your available funds or credit is calculated by taking your credit card limit or available funds in your checking account minus the credit used (not applicable to debit cards) and the amount of authorized transactions. Since authorizations are valid for thirty days (this time frame is controlled by credit card issuers and the banks), the cardholder's available funds will be lowered by the amount of the voided transaction for that thirty day period because the voided transaction does not reverse the authorization request. In most cases, the credit card issuers and your bank process this within 2-3 days, but other don’t, and it could take up to 30 days. This is not controlled by us, but is a shortfall with credit and debit cards in general. This can be a problem for some people as it does tie up part of your available balance on your credit card or in the case of debit cards, in your checking account. Some banks will speed the process up if you contact them and obtain a fax number that we can send proof that the authorization was voided. We cannot guarantee that your bank will do this, but it is our experience that many will. Once you have obtained that fax number and contact information for whom we need to send proof of void to, please provide our accounting department with that information at 903.581.1855 or accounting@bmpdesign.com. Please make sure to include your name, address, and order number so that we can expedite your request.

Credit / Refund

A credit or refund is issued on transactions that have already been settled, but parts were returned for any reason. All returns are subject to our return policy. When a credit or refund is issued to a credit or debit card, those funds are marked to be transferred back to the cardholder on that day’s settlement. It is at the settlement point that the funds are transferred out of our merchant account to either your credit card issuer or bank. The funds may take up to 10 business days to show up in your account depending on your credit card issuer or bank. When we issue a credit or refund, we are starting the process that same day to return the funds to you, but the time frame can vary greatly due to delays that are controlled by the individual credit card issuers and banks.