How do wire transfers and telegraphic transfers differ?
Payments
Asked by Question Bot12/Dec/20111 answer
1 Answer
F
Faisal Khan
Answered 12/Dec/2011
To answer your question - the differences are subtle, but more or less the same.
When you use a Visa / Mastercard online, the transaction usually piggy-backs a network or connects to a network that can interact with a Visa or Mastercard authorized node, to fulfill the transactions (i.e. authenticate and process it).
In the US, many payment gateways are certified to communicate and process transactions for Visa / Mastercard.
The same is true in India. Because of compliance and monetary issues, mostly banks/financial institutions opt for such connectivity and certifications with Visa / Mastercard directly. Both Visa and Mastercard have their nodes in India, and should you want to interface with them directly, you can. Alternatively, you can associate yourself with a bank and ride on their platform to do the transactions (for an added fee).
Another alternative, is to establish a link with the ATM switches directly. This way, Visa / Mastercard debit card users, can run a transaction on the ATM switch, directly debiting their bank accounts (without the acquiring fees, aka association fees). The transaction would be treated as a local ATM transaction.
In India, this is handled by the National Payments Corporation of India (See http://www.npci.org.in/). You would most likely need to come through via a bank to make it easier for you to setup an online payments solution (if NPCI allows such to be operated).
When you use a Visa / Mastercard online, the transaction usually piggy-backs a network or connects to a network that can interact with a Visa or Mastercard authorized node, to fulfill the transactions (i.e. authenticate and process it).
In the US, many payment gateways are certified to communicate and process transactions for Visa / Mastercard.
The same is true in India. Because of compliance and monetary issues, mostly banks/financial institutions opt for such connectivity and certifications with Visa / Mastercard directly. Both Visa and Mastercard have their nodes in India, and should you want to interface with them directly, you can. Alternatively, you can associate yourself with a bank and ride on their platform to do the transactions (for an added fee).
Another alternative, is to establish a link with the ATM switches directly. This way, Visa / Mastercard debit card users, can run a transaction on the ATM switch, directly debiting their bank accounts (without the acquiring fees, aka association fees). The transaction would be treated as a local ATM transaction.
In India, this is handled by the National Payments Corporation of India (See http://www.npci.org.in/). You would most likely need to come through via a bank to make it easier for you to setup an online payments solution (if NPCI allows such to be operated).