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ACTIVE 253033864v.8
12. Definitions
As used in this Operating Guide, the following terms have the following meanings:
Address Verification Service (AVS): A service for verifying a Cardholder’s address, primarily for card-not-present Transactions.
American Express: American Express Travel Related Services Company, Inc.
American Express OptBlue
®
Program Service: OptBlue allows Bank of America to set pricing, process transactions, fund, statement and support
American Express transactions for a merchant. Merchants must process less than USD 1 million dollars in American Express volume annually and not
be part of a franchise that has a direct relationship with American Express.
Authorization: Approval by, or on behalf of, the Issuer to validate a Card Transaction; or in the case of EBT Card Transactions, the issuing state or
related EBT service provider to validate an EBT Card Transaction. Authorization, including an Authorization approval code, indicates only the
availability of credit, funds, or EBT Benefits at the time the Authorization is requested; it does not indicate that the person presenting the Card is the
rightful Cardholder and it does not promise, indicate, or suggest that you will not be subject to a Chargeback, an adjustment, or other Fees and Third
Party Based Fees.
card-not-present Transaction: A transaction that occurs when the Card is not present at the point-of-sale, including internet, mail-order, and
telephone-order Card Transactions.
card -present Transaction: A transaction that occurs when the Card is present at the point-of-sale.
Card Verification Codes: A three-digit value printed in the signature panel of most Cards and a four-digit value printed on the front of an American
Express Card. Visa’s Card Verification Code is known as CVV2; Mastercard’s Card Verification Code is known as CVC2; and Discover’s Card Verification
Code is known as a CID (and can also be referred to as a security code).
Chip: An integrated microchip embedded on a Card containing Cardholder account information.
Credit: A refund or price adjustment given for a previous purchase transaction, including for the return of merchandise by a Cardholder.
Discover: DFS Services LLC, its subsidiaries and affiliates, and each of its and their respective successors or assigns.
Documentation: The operational documents, technical integration requirements and documentation, user manuals, help files, and other
implementation overviews, integration guidelines, sandbox guidelines, and other documentation that we provide or make available, in written or
electronic form, in connection with any Software or service, as modified by us from time to time.
Electronic Benefit Transfer (EBT): An electronic benefits transfer system used to deliver certain government provided benefits (such benefits, “EBT
Benefits”) to customers, including cash benefits and benefits offered by the United States Department of Agriculture, Food and Nutrition Service; the
Supplemental Nutrition Assistance Program; and the Special Supplemental Nutrition Program for Women, Infants, and Children.
EMV: The global standard for Chip Card based payments developed by Europay, Mastercard, and Visa.
Magnetic Stripe: A stripe of magnetic information affixed to the back of a plastic Credit Card or Debit Card. The Magnetic Stripe contains essential
Cardholder and account information.
Mastercard: Mastercard International Incorporated, its subsidiaries and affiliates, and each of its and their respective successors or assigns.
Merchant Account: An account we establish for each of your Locations for accounting and billing purposes in connection with the Merchant Services.
Merchant Account Number (MID): A number that numerically identifies each Merchant Account.
OptBlue: American Express program that allows the merchant acquirer (Bank of America, N.A.) to set pricing, process transactions, settle payment
and provide support for American Express transactions
Representment: a transaction to reverse a Chargeback by the re-submission of the original transaction after you have successfully challenged a
Chargeback.
Retro-Charge: a transaction to reverse a Refund that the Cardholder was not entitled to.
Third Party (Third Parties): Any third party individual(s) or entity(ies) other than you or us.
Third Party Based Fees: Fees, fines, assessments, penalties, obligations, liabilities, adjustments, and other charges and amounts a Card Network,
Issuer, or other Third Party imposes, establishes, or sets, and all related costs and expenses. The term “Third Party Based Fees” includes all Data
Compromise Losses and all Chargebacks.
Visa: Visa Inc. its subsidiaries and affiliates, and each of its and their respective successors or assigns.