Merchant Account Frequently Asked Questions

Basics/General Questions Q. How long does the approval process take? A. CyberSource has set new standards in the industry in terms of new account approval times. After you have completed and returned your Merchant Application, in most cases, your account can be approved and online for processing in two to three business days. In certain cases, our New Accounts Department can have a response to your application the same day it is received.

Q. How will I receive money for the credit cards I process? A. A deposit will be made into your business checking account within 2­6 business days after the batch is transmitted. NOTE: Mondays through Fridays, excluding holidays, are considered business days.

Q. Do I have to change my bank account to receive my deposits? A. CyberSource has the ability to process deposits to all banking institutions. Merchants must have a checking account in the name of the business or the business owner to receive deposits.

Account Setup/Updates Q. How do I add American Express and Discover to my merchant account? A. If you already have an AMEX SE number from American Express or account number from Discover, provide the number to CyberSource Merchant Account Support and the information will be added to your account profile. If you need a new AMEX or Discover account, simply contact CyberSource Merchant Account Support and we can apply on your behalf. Once we submit your application, it takes approximately five business days to receive an approval. Please note that with American Express, you also have the option to sign up with them directly. If you do so, you will need to provide us with your new SE number in order to enable AMEX processing.

Q. How do I update the checking account number where I receive my deposits? A. There are two steps. First, fax a pre­printed, voided check to Merchant Account Support 650­964­ 4394. Second, contact Merchant Account Support via the appropriate method below. This change takes effect within one to two business days once we have the necessary information.

If your gateway provider is CyberSource, submit an online request to Merchant Account Support to have this change made. Non­CyberSource gateway merchants should call 866­203­0975 to submit a request. Q. How do I update the name and phone number that appear on my customers’ credit card statements? A. Please contact CyberSource Merchant Account Support with your request to update your default descriptor for your customers’ statements. If you use our API, you may also pass a descriptor with each transaction.

Please keep in mind that if you are changing your DBA (the name by which you do business), CyberSource will need a copy of your business license or fictitious name statement reflecting the new name. Once the request is made, the change will be made within 48 hours. If there are any changes in the type of services provided, products sold, or processing method (i.e. keyed vs. swipe) that are associated with the business name change, you must note the change(s) in the letter as well. If there is a substantial difference from what is in the original Merchant Application, you may need to complete a new application to satisfy MasterCard and Visa regulations and bank requirements.

Settlement Q. Why is my money not in my account? A. There are several possibilities. Funding generally occurs no later than 6 business days from the date that the order was captured, but could be delayed by a bank holiday. If it has been more than 6 business days and no bank holidays, check these things: did you confirm that the authorization was successfully captured? Have you received an email that the transaction experienced an error in settlement? Does your merchant agreement require a reserve? If so, has it been fully met? Have you been contacted by CyberSource that your funds are being held longer than normal due to higher risk transactions? If you have a question about whether funds are being held for a reserve or high­risk transactions, contact CyberSource Merchant Account Support to confirm.

Statement Q. How can I get a copy of my merchant statement? A. Your statement will be mailed to you once a month after the end of the month. You may also access your statements directly via the optional GAA online reporting system. Ask CyberSource Merchant Account Support about setting up direct access. They can also look up your statement and fax it to you. Sensitive information is blocked out to ensure safe data transmission.

Fees Q. What is the breakdown of my fees? A. The fees on your merchant statement reflect the agreed upon fee schedule for your account. Your discount/interchange rate and non qualified surcharge are charged daily in most cases. All other fees for authorizations, online reporting and chargeback fees are deducted on the last business day of the month. You can see a breakdown of your fees on your monthly merchant statement.

Reserves Q. How does a reserve work? A. CyberSource may require a reserve as an approval condition for a new merchant account, or to balance our financial exposure for an existing merchant account. If a reserve is needed, CyberSource will require a cash reserve which will be held by our acquirer bank in a non interest­bearing account. Reserves may be paid as an initial lump sum, or withheld from processed settlements.

A reserve will only be used if a merchant does not have funds in their checking account to cover monthly fees and/or chargebacks. Typically, once we are notified of a rejection from a merchant’s checking account, we will make another attempt to withdraw the fees from the checking account. If unsuccessful, we will begin holding funds from processed settlements to make up the amount and, if all else fails, will use the reserve to clear the collection item.

Reporting/Reconciliation Q. Why is the deposit to my checking account less than the amount on my daily Detail Report? A. CyberSource only deposits your Visa/MasterCard sales. AMEX or Discover will pay you directly within three to four business days. The daily deposits from CyberSource reflect your net sales (gross sales minus any credits issued) for Visa and MasterCard minus your daily discount rate.

Q. Can you take out my discount fees at the end of the month? It is too difficult to reconcile when they are taken out of every deposit. A. Visa/MasterCard deduct the daily discount rate from CyberSource on a daily basis, therefore we need to debit your account daily to offset all charges from the Associations. If CyberSource were to float your daily discount fees, there would be interest fees associated with the float.

Q. Why does my discount rate seem to change every day? A. The discount fees reflect not only your basic ‘qualified’ rate, but also sales that were charged the 0.5% surcharge for ‘mid­qualified’ sales on rewards cards, and the 1% surcharge for ‘non­qualified’ sales. These surcharges typically occur for business and international cards, or for sales that don’t meet Visa/MasterCard conditions for reduced risk. For example, on $1000 in sales, if 95% of that amount is charged a qualified discount rate of 2.39%, that is $22.71 in discount fees. If the other 5% has a non­ qualified discount rate of 3.39% so the discount fees are $1.69, the overall discount rate for that day would reflect this mix, resulting in total discount fees of $24.40 (22.71+1.69) or 2.40% of total sales.

Disputes/Chargebacks Q. What is a chargeback? A. A chargeback is a procedure whereby the credit card issuer reverses all or part of the amount of a credit card sale back to the originating merchant in accordance with Visa and MasterCard regulations. A chargeback is initiated when a cardholder or a cardholder's bank disputes a charge against the cardholder's credit card account. The debit to your account takes place as soon as the chargeback is received from the Issuing Bank. On the same day, a Chargeback Advice Notice is faxed and mailed to the merchant location. Q. I received a chargeback Debit Advice. What transaction is this for? A. To locate the correct transaction in your gateway provider’s interface, search by the Card number and the Transaction Date shown on the Chargeback Adjust Notice.

If your gateway provider is CyberSource, use the Business Center General Search page to search by a field and a value. Enter the Card number as the value for the Account Number/Credit Card Number field for the appropriate Transaction Date.

Q. How do I check status of a chargeback? Did you receive the paperwork I faxed in? A. If you have any questions on the status of your chargeback please call 866­247­9755.