Stored-value card

A transaction card, such as a gift card or prepaid card, containing a computer chip that can store electronic “money.” Unlike a credit card, a stored-value card can only spend out the dollar amount its owner has already put into the card account. It is similar in function to a prepaid calling card but is available for all purchases.

Smart card

A payment transaction card that contains an embedded computer chip (either a memory chip or a microprocessor) that stores and transmits data. This data is usually associated with either value, information, or both and is stored and processed within the card’s chip.

Setup fees

Fees charged for establishing a merchant account, including application fees, software licensing fees, and equipment purchases.


The process by which merchant and cardholder banks exchange financial data and value resulting from sales transactions, cash disbursements, and merchandise credits.


Secure Socket Layer – A system for encrypting data sent over the Internet, including e-commerce transactions and passwords. With SSL, client and server computers exchange public keys, allowing them to encode and decode their communication.


Software Development Kit – A collection of software used for developing applications for a specific device or operating system. SDKs typically include a compiler, which is used to create applications from source code files, and an integrated development environment (IDE) enabling a developer to write source code, fix program errors, and edit a program’s graphical user interface (GUI). See for more information.

Routing number

A 9-digit number established by the American Bankers Association (ABA) used to identify a bank or financial institution when clearing funds or processing checks. Also referred to as a routing transit number.

Retrieval request

A retrieval request occurs when a cardholder cannot remember a credit card transaction, or when the bank wants order information. The card issuer initiates the retrieval request, and the merchant has 10 days to respond with the order information or the retrieval request will turn into a chargeback. Retrieval requests usually include a fee issued against the merchant.


Money returned to a customer in exchange for the return of purchased goods or services, or when the purchased goods or services were unsatisfactory or unfulfilled.