FAQs
- What is the MasterCard Payment Gateway?
- Who owns the MasterCard Payment Gateway?
- What is Straight-Through Payment Processing?
- Are my merchant bank and acquiring bank the same?
- What is an ODFI?
- What are some Buyer Functions?
- How does the MasterCard Payment Gateway benefit my business if I’m a buyer?
- How can I find out more? When can I get it?
- What are some Supplier Functions?
- How does the MasterCard Payment Gateway benefit your Business as a Supplier?
- How can I find out more if I’m a Supplier? When can I get it?
- How long does enrollment take?
- Once I enroll, what will be my relationship to my Bank?
- As a supplier, are there fees for me to enroll?
- What is a MID?
- How do I, the supplier, validate my Merchant ID?
- Why may suppliers need to adjust credit limits or authorization rules?
- What is MasterCard e-P3?
- What ERP/e-procurement systems does MasterCard Payment Gateway integrate with?
- Describe your solutions ability to integrate and upload transactions into Oracle Payables and Ariba Buyer.
- Describe the Gateway’s ability to integrate and upload transactions into Oracle Payables and Ariba Buyer.
- Do you support SAP integration?
- What are the Buyers’ responsibilities?
- What is the MasterCard Smart Merchant Acceptance Reporting Tool (MCSmart)?
- What is an MVF?
- What is a Transaction Instruction File (TIF)?
- What is Level I line item detail?
- What is Level II line item detail?
- What is Level III line item detail?
- What is a Purchasing Card?
- What are the benefits of accepting the MasterCard Corporate Purchasing Card?
- How many MasterCard Corporate Purchasing Card acceptance locations are there, worldwide?
- What is an Issuer?
- Can I use MasterCard Payment Gateway if I don’t have a purchase order system?
- What is an invoice?
- What is a purchase order?
- Can a purchase order be created in the MasterCard Payment Gateway?
- What is Remittance Information?
- What is RPPS?
- What is a receipt?
- What is EDI?
- What is ERP?
- I'm a supplier, how do I sign up to accept the MasterCard Corporate Purchasing Card?
- What is an Acquirer?
- What does Authorization mean?
- What does Data Capture refer to?
- What is a Decline?
- What is Key Entered?
- What is the Merchant Category Code (MCC)?
- What is a SIC code?
- What is the NAICS Code?
- What is the Merchant Type Code?
- What is a POI Terminal or POS Terminal?
- What is ACH?
- What is CHIPS?
- What is EPN?
- What is FEDI?
- What is Fedwire?
- Will I be able to pay my international suppliers?
- Will I be able to use this service to pay my suppliers who do not accept P-Card or ACH payments?
- What does my supplier have to do to be signed up to receive Electronic Funds Transfer (EFT) payments?
- If I am a supplier, do I have to have a POS device to accept P-Card payments through the Gateway?
- If I am a supplier, what information am I going to get on the credit card transaction?
- The buyer said that they have paid me using a P-Card several days ago, but the funds are not in my account. What is the problem?
- What is MasterCard Payables Account?
- How do I find out if I my acquirer (merchant bank) participates in the MasterCard Payment Gateway program?
- If my merchant bank does not participate in the Gateway, can I still be enrolled as a supplier to accept P-Card payments?
- Are there other terms and conditions that will govern my participation in the MasterCard Payment Gateway?
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What is the MasterCard Payment Gateway?
The MasterCard Payment Gateway is MasterCard’s next generation business-to-business payment processing platform, supporting multiple payment types including EFT and card payments today, and international cross-border payments in the coming months. Instead of multiple systems and work flows to support each payment type, the Gateway has been designed so that companies can have one streamlined total payables solution to help them increase productivity, enhance security and increase profits.
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Who owns the MasterCard Payment Gateway?
The MasterCard Payment Gateway is MasterCard-owned, hosted and PCI compliant
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What is Straight-Through Payment Processing?
Straight-Through Payment Processing transactions flow directly from buyer to acquirer electronically, reducing processing time and reducing chargebacks due to erroneous manual entry of payment.
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Are my merchant bank and acquiring bank the same?
Yes.
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What is an ODFI?
ODFI stands for originating depository financial institution. The ODFI is a bank that initiates transaction instructions on behalf of its client to the ACH network. ODFI can initiate a credit or debit instruction but in the typical gateway scenario, the instructions are for a credit transaction.
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What are some Buyer Functions?
Single interface (“one stop shop”) for all your payment processing needs; Payment Warehouse - for all payment types; User Interface/Web Portal for analytics/reporting; End-User Integration (with current ERP/AP Systems); Payment Rules; Supplier Directory.
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How does the MasterCard Payment Gateway benefit my business if I’m a buyer?
The MasterCard Payment Gateway is an evolutionary product that is intended to streamline your payment options;integrate with existing accounts payable processes and saves money by enabling one connection. Additionally, the Gateway is designed to:
- Improves bottom line by
- Saving money associated with paper processing
- Optimizing your technology investment
- Optimizing your working capital
- Simplifies Processing by
- Reducing multiple bank interfaces
- Automation
- Provide control and security by leveraging existing controls in your A/P process, i.e., 3-way match
- Payment is always buyer-approved and buyer-initiated
- o All transactions are compliant with PCI data Security Standard
- Improves bottom line by
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How can I find out more? When can I get it?
Contact your Issuer if you are Corporate (Buyer).
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What are some Supplier Functions?
Key supplier functions include:
- Supplier Directory
- Straight-Through Payment Processing
- Remittance Information regardless of Payment Type
- Web Portal for Enrollment and Maintenance of Key Data
- Enablement and “normalization” of data to help Buyers find you with great ease
- Information Management and Reporting
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How does the MasterCard Payment Gateway benefit your Business as a Supplier?
The MasterCard Payment Gateway is an evolutionary product that is intended to:
- Reduces Days Sales Outstanding with straight-through payment processing
- Establishes you as a preferred supplier among customers paying electronically
- Reduces paper processing and exception reporting
- Provides greater remittance information to simplify reconciliation
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How can I find out more if I’m a Supplier? When can I get it?
If you would like to obtain additional information:
- Contact your Relationship Manager at your Merchant Bank/Acquirer.
- Participating Merchant Banks/Acquirers, include:
- Fifth Third Merchant Services (FTMS)
- FDMS North, South and Omaha (This includes but is not limited to: Banc One POS Services, Chase Manhattan Bank USA, Bank of Hawaii, Fleet Bank National Bank, Harris Trust and Savings Bank, Commerce Bank, First Financial Bank, Wells Fargo, First USA Bank, Huntington National Bank, JP Morgan Chase, Northern Trust Company, PNC Bank, Redding Bank of Commerce, Sovereign Bank FSB, SunTrust BankCard, Wachovia Bank National Association, Bankcorp South Bank, Bangor Savings Bank, Bank of Oklahoma, The Bankers? Bank, BankNorth, BankFirst, Fulton Bank, Innovative Bank, KeyBank, Manufacturers & Traders Trust Company, Shazam Inc, New England BankCard Association, Pacific Capital Bank, The Independent Bankers Bank, WoodForest National Bank, Wilmington Trust Company)
- Coming Soon: Paymentech and Nova (US Bank)
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How long does enrollment take?
Enrollment is automated through the Gateway web-site and should take no more than 5 minutes; including validating current contact and bank information on a secure site. Although Buyers and Suppliers will register on the Gateway web-site, your banking relationship will continue to be through your bank.
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Once I enroll, what will be my relationship to my Bank?
The MasterCard Payment Gateway is a centralized gateway for routing and settling commercial electronic payments between buyers and suppliers and a web-based portal for buyers and suppliers to enroll and access payment and remittance information. Your specific relationship will be with the Issuing Bank or Merchant Bank and will be subject to the specific such terms and conditions as in effect between you and the Issuing Bank or Merchant Bank from time-to-time relating to such matters as fees, creditworthiness, credit limitations, privacy, etc.
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As a supplier, are there fees for me to enroll?
There are no fees payable to MasterCard to enroll in the Gateway. Please check with your bank to confirm whether it imposes any fees for these transactions.
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What is a MID?
Merchant ID provided to a supplier by their merchant bank.
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How do I, the supplier, validate my Merchant ID?
Check your merchant bank statement or contact your bank Relationship Manager to obtain or confirm it.
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Why may suppliers need to adjust credit limits or authorization rules?
Because many MasterCard Payment Gateway transactions will be of a high dollar value than a typical purchasing card transaction, suppliers should ensure that they have the appropriate limits and rules in place so Gateway transactions will not be declined. Contact your merchant bank Relationship Manager to evaluate the need for any credit limit adjustments.
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What is MasterCard e-P3?
The MasterCard Payment Gateway includes the MasterCard e-P3 module so that participating Issuers can provide their customers with buyer-initiated P-Card straight through processing.
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What ERP/e-procurement systems does MasterCard Payment Gateway integrate with?
MasterCard Payment Gateway integrates with all of the major ERP systems, such as Oracle, SAP, and PeopleSoft, e-procurement systems, such as Ariba, as well as legacy systems.
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Describe your solutions ability to integrate and upload transactions into Oracle Payables and Ariba Buyer.
The MasterCard Payment Gateway is a B2B payments engine, capable of supporting all payment types, including transactions settled by purchasing cards. Purchasing cards can be deployed within an organization, specifically within purchasing or accounts payable in multiple ways, namely physical cards, one time use cards or ghost cards. Corporations using ghost cards can assign card numbers to one or multiple suppliers within the ERP system, such as Oracle, as well as within the MasterCard Payment Gateway. Provided key data elements are passed to the MasterCard Payment Gateway within the payment instruction file, specifically ghost card number or pseudo name for the card, the transaction will be processed accordingly, regardless which type of AP or ERP system the customer uses, not limited to, but including Oracle Payables or Ariba Buyer.
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Describe the Gateway’s ability to integrate and upload transactions into Oracle Payables and Ariba Buyer.
The MasterCard Payment Gateway is intended to integrate into any buyer's AP or ERP system to settle B2B payments, provided certain data elements are present within the payment instruction file when passed to the solution, not limited to, but including Oracle Payables or Ariba Buyer. Reconciliation data for each payment instruction file received is passed back to the buyer's system once complete, which can then be uploaded.
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Do you support SAP integration?
Yes.
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What are the Buyers’ responsibilities?
Provide all relevant suppler data via the Master Vendor File (MVF), embedding the TIF layout in ERP, and configuring the ERP or Accounts Payable system to process payment batches to the Payment Gateway.
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What is the MasterCard Smart Merchant Acceptance Reporting Tool (MCSmart)?
The MasterCard Smart Merchant Acceptance Reporting Tool (MCSmart) is a business location matching engine that allows MasterCard to match a generic list of business locations to the MasterCard accepting merchant location database.
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What is an MVF?
A MVF is a Master Vendor File generated by a buyer’s current Accounts Payable system and forwarded to MasterCard through a sales representative. MasterCard provides a 48-hour turnaround from the time a “cleansed” file is submitted to MCSmart when using the following guidelines.
- Available Format Options – Master Vendor File (MVF) format options include Microsoft®Excel (.xls), comma separated values (.csv), and text (.txt).
- File Size Considerations – File size considerations for MVF are as follows:
- If the file size is 50,000 rows or less, present the file in either an .xls or .csv format
- If the file size is >50,000 rows, present the file as a text file. MasterCard will divide the file into multiple files for submission and consolidate at the end of the match process.
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What is a Transaction Instruction File (TIF)?
The inbound file, referred to as the Transaction Instruction File (TIF) is built on the EDI 820 STP Format. The TIF file has been modified to support the requirements of business-to-business payment processing within the Payment Gateway.
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What is Level I line item detail?
Level I provides basic information such as cardholder name, amount, date of purchase, and merchant category.
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What is Level II line item detail?
Level II includes Level I data plus information on sales tax and customer or accounting codes.
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What is Level III line item detail?
Level III includes Level I and Level II data plus invoice-quality, line-item details such as product codes, delivery zip codes, freight charges, duty amounts, taxpayer identification numbers, minority status, sole proprietor, name and more.
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What is a Purchasing Card?
A Purchasing Card is designed to help companies maintain control of purchases while reducing the administrative cost associated with authorizing, tracking, paying, and reconciling those purchases.
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What are the benefits of accepting the MasterCard Corporate Purchasing Card?
The MasterCard Corporate Purchasing Card offers competitive benefits to suppliers. It can help enhance your customer relationships and win new business; improve your cash flow and reduce your carrying costs; reduce complex collection procedures; avoid credit risks and ensure compliance with purchasing rules.
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How many MasterCard Corporate Purchasing Card acceptance locations are there, worldwide?
Over 32 million.
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What is an Issuer?
An Issuer is the financial institution (or its agent) that holds contractual agreements with and issues cards to cardholders.
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Can I use MasterCard Payment Gateway if I don't have a purchase order system?
Yes you can. You can receive invoices back from your suppliers even if the purchasing process did not begin with a PO. And, you can still pay those non-PO invoices with the MasterCard Corporate Purchasing Card.
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What is an invoice?
An itemized list of goods shipped, including price and terms of sale, sent by the seller to the buyer; a standard business document used to request payment.
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What is a purchase order?
An itemized list of goods sent by the buyer to the seller; a standard business document that is used to initiate a purchase.
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Can a purchase order be created in the MasterCard Payment Gateway?
No. The PO is uploaded/picked up from the existing ERP or e-procurement system.
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What is Remittance Information?
Itemized, detailed information that accompanies a payment and explains what the payment is for and what changes have been made, if any, that cause the remittance to differ from the invoice.
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What is RPPS?
Remote Payment and Presentment Services. MasterCard RPPS delivers the industry's most comprehensive collection of EBPP services, providing one-stop access to round-trip bill payment and presentment for approximately 95 percent of industry service providers. Supporting an open-standards environment, RPPS offers typical 24-hour electronic routing, posting and settlement to effectively displace paper.
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What is a receipt?
A hard copy document recording a transaction that took place at the point of sale, with a description that usually includes: date, merchant name/location, primary account number, amount, and reference number.
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What is EDI?
EDI is Electronic Data Interchange. During the 1980's, EDI emerged as a tool for businesses to exchange documents like purchase orders and invoices electronically. Although effective, the high cost of implementing EDI and its requirement that users exchange data through a third-party network restricted its use to large corporations and specific industries.
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What is ERP?
ERP is Enterprise Resource Planning. Generally, ERPs are solutions that organizations could use to integrate their departments and functions into a single software program for better communication and information-sharing. ERP is a system that integrates a company's systems with the ultimate goal of streamlining the flow of information across the entire organization by linking disparate systems and processes within a company. An ERP system improves the exchange of information between divisions and reduces cycle time.
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I’m a supplier, how do I sign up to accept the MasterCard Corporate Purchasing Card?
Click on www.mastercardmerchant.com to find out more.
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What is an Acquirer?
An Acquirer is a card processing company that maintains a relationship with suppliers/merchants and has an agreement to process the data relating to a card transaction. An acquirer is often referred to as a “merchant bank”.
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What does Authorization mean?
Authorization is a procedure by which card issuers either approve or decline transaction requests from merchants at the time of sale. Authorization is based on the cardholder account status and available spending.
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What does Data Capture refer to?
Data Capture refers to the collection, formatting, and storage of information in computer memory. Most point-of-interaction devices perform data capture functions.
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What is a Decline?
A Decline is a response to an authorization request which means that the card issuer will not authorize a specific transaction.
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What is Key Entered?
When the card number, expiration date, and transaction information is entered into the terminal or computer instead of swiping the magnetic strip.
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What is the Merchant Category Code (MCC)?
Merchant classification code that identifies the merchant’s type of business (similar to SIC).
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What is a SIC code?
Standard Industry Classification Code. A system used to categorize businesses by industry group. This system is being replaced by the NAICS Coding System.
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What is the NAICS Code?
North American Industry Classification System. Common industry definitions for Canada, Mexico and the United States. This system is replacing the SIC Code system.
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What is the Merchant Type Code?
A four-position code used to identify unique business ownership characteristics (socioeconomic data helps corporate and government agency customers to accurately track their spending with small, minority, disadvantaged and/or women-owned business). Suppliers self-certify their unique business characteristics using a numerical indicator from each of the four field positions.
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What is a POI Terminal or POS Terminal?
A terminal, at the point-of-interaction or point-of-sale, which is connected via telecommunication lines to a central computer. Authorization, recording, and transmittal of transactions are performed through the POI terminal.
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What is ACH?
ACH is Automated Clearing House. ACH is the network for domestic electronic funds transfer that works using a network of regional operators and batched payment files. ACH transactions can be a debit or credit. In a credit, transfer the ODFI and originator are sending funds and in a debit transfer the ODFI and originator are receiving funds.
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What is CHIPS?
The Clearing House Inter-Bank Payment System. A bank-owned (the New York Clearing House), privately operated, real-time net payment system for B2B transactions; an alternative to the FedWire (both are wire transfer systems).
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What is EPN?
Electronics Payment Network. The largest private ACH operator (owned by the New York Clearing House).
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What is FEDI?
Financial Electronic Data Interchange. A vehicle for settling invoices by initiating payments, processing remittance data, and automating reconciliation, via the exchange of electronic messages.
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What is Fedwire?
A real-time gross payment system for large value B2B transactions run by the Federal Reserve; an alternative to CHIPS.
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Will I be able to pay my international suppliers?
Yes. It is expected that beginning in 2008, Buyers will be able to pay international suppliers. in US dollars (USD) through the Gateway. The MasterCard Payment Gateway does not perform currency conversion.
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Will I be able to use this service to pay my suppliers who do not accept P-Card or ACH payments?
Yes. It is expected that beginning in 2008, the Gateway can be used to pay suppliers by check.
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What does my supplier have to do to be signed up to receive Electronic Funds Transfer (EFT) payments?
A supplier will have to provided specific bank routing information in order to be enrolled to receive domestic and international EFT payments. The required information includes beneficiary account number, bank routing information, bank name, bank branch name, bank address, and bank account type. For international payments, suppliers must also provide correspondent bank account routing information.
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If I am a supplier, do I have to have a POS device to accept P-Card payments through the Gateway?
No. You need to work with your merchant bank to be set-up as a credit card acceptor and to get a Merchant ID. That Merchant ID is enrolled in the MasterCard Payment Gateway and all P-Card transactions are routed to it. Once the transaction is processed and settled the funds will appear in your account.
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If I am a supplier, what information am I going to get on the credit card transaction?
The information that comes on the transaction will include the list of invoices that are being paid.
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The buyer said that they have paid me using a P-Card several days ago, but the funds are not in my account. What is the problem?
On occasion your merchant bank may hold the funds before they post it to your account for security and risk management purposes. If a transaction has triggered a specific threshold flag – it may need to be analyzed by your bank. Please contact your acquirer representative to obtain additional information.
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What is MasterCard Payables Account?
The Payables Account is a physical or virtual credit account, issued by a MasterCard financial institution under the commercial product umbrella (Purchasing Card, Business Card, etc.) The account can be a single credit card account, a “one time use” account, or “ghost” accounts that are associated to individual suppliers.
Some of the product features include:
- Buyer Initiated Payments: Payables Account transactions are ’buyer initiated’ whereby the corporate buyer (payer) initiates the transaction via an ERP (Enterprise Resource Planning) or Accounts Payable System (as opposed to a traditional transaction that is initiated from a supplier (payee) point of sale.
- Straight Through Processing: Payables Account transactions are processed ’straight through’ to the acquirer processor (see section 2.1). This model mimics the way EFT payments are processed and is more aligned with BtoB payments.
- ERP / AP Integration: Payments are generated directly from the buyer’s existing ERP or A/P system; providing full integration into existing infrastructure and preserving the purchase order / invoice processes.
- Buyer Initiated Payments: Payables Account transactions are ’buyer initiated’ whereby the corporate buyer (payer) initiates the transaction via an ERP (Enterprise Resource Planning) or Accounts Payable System (as opposed to a traditional transaction that is initiated from a supplier (payee) point of sale.
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How do I find out if I my acquirer (merchant bank) participates in the MasterCard Payment Gateway program?
Please refer to the list of supported Merchant Banks on the MasterCard Payment Gateway web-site.
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If my merchant bank does not participate in the Gateway, can I still be enrolled as a supplier to accept P-Card payments?
Yes. You will have to set-up a merchant account with one of the participating acquirers. The merchant account can be set-up exclusively for MasterCard Payment Gateway purposes.
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Are there other terms and conditions that will govern my participation in the MasterCard Payment Gateway?
Yes. Please refer to the Terms and Conditions set out in this web-site. Buyers and Suppliers will also be subject to the specific terms and conditions in effect between them and their respective Issuing Bank and Merchant Bank.
