American Credit Card Processing Quick Payment Service

Quick Payment Service (QPS) is an American credit card processing program offered by MasterCard for facilitating card acceptance in industries that were traditionally cash-based and speed is critical to the sale. Merchant banks take advantage from QPS by offering retailers faster checkout while still supporting card acceptance. QPS transactions are facilitated in a face-to-face setting in which account data are read electronically from the card.

Eligible American credit card processing account users vary by region, but include the following industries:

• Transportation - Commuter, Passenger, including Ferries and Bus Lines.
• Veterinary Services.
• Agricultural Cooperatives.
• Horticultural and Landscaping Services.
• General Contractors.
• Air Conditioning, Heating, and Plumbing Contractors.

Chargeback Protection

The chargeback protection amounts have been set out individually for each industry segment in the QPS program. Those equal to or lower than these amounts can be accepted as QPS transactions through the exceptions provided by the program. Payments above these amounts are facilitated like all other card transactions (in other words, the cardholder signature must be provided and a sales receipt must be printed out).

An adequately identified QPS payment equal to or lower than the applicable chargeback protection amount is insulated against chargebacks under these reason codes:

• 4801 - Requested Transaction Data Not Received.
• 4802 - Requested / Required Item Illegible or Missing.
• 4837 - No Cardholder Authorization.

The chargeback protection amounts for the QPS service are set in the local currency for most countries.

American Credit Card Processing QPS Requirements

• Authorization approval is required of all card-read payments.
• Merchant account users may elect not to get the customer's signature for adequately identified QPS payments. The personal identification number (PIN) requirements still apply.
• Providing a sales receipt to the customer is optional for QPS transactions, however retailers must provide one upon the customer's request.
• All POS systems must support electronic data capture.
• All American credit card processing providers that elect to participate in the QPS program must operate compliant terminals. The minimal QPS program terminal requirements are as listed below:
  • Mag-stripe-read capabilities.
  • Mod 10 check digit, validating the account number, and expiration date.
  • Automatic online routing for payments.
  • Display of authorization code.
  • Printing of receipts.
• QPS registration is not needed.
• The QPS service does not affect interchange fees and rates.

There is no downside in signing up for the QPS service and if you operate in one of the supported industries, you should contact your processor for details.

(Learn more here.)