General Question

victord66's avatar

Credit Card Charges

Asked by victord66 (201points) March 4th, 2008

As a merchant, can the credit card provider tell if you’ve swipped the card or just keyed in the credit card number manually?

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5 Answers

cwilbur's avatar

Yes. The credit-card swiping machines indicate to the credit card processor whether the card was swiped or had the number typed in.

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drive_by_dev's avatar

They can also charge different rates for the way it is taken. Normally the less mechanisms used to prevent fraud the higher the rate, so no card, bigger cut for the processor/bank.

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shirleylopez's avatar

Yes, this is also a way of protecting credit cards and avoid credit card fraud.

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