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A merchant took down the information printed on the card and submitted the sale for payment as part of a batch of physical charge slips, often at the end of the day. Some merchants still handle their card transactions this way.Most modern merchants will only do it when they're forced to, such as when the processing terminals aren't working.
He has contributed to USA Today, The Des Moines Register and Better Homes and Gardens"publications.Perhaps surprisingly to those accustomed to swipe-and-go sales, not all debit and credit card transactions are subject to on-the-spot validation and authorization.When credit cards started to come in the mass use in the 1960s, there was no instant authorization.The little machine you swipe your debit card through at the store has a name: a processing terminal.There's some high-tech hocus-pocus involved, but essentially, when you swipe your card, the terminal contacts whatever institution issued the card. For information about filtering tools, check this site.
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In these situations, merchants are not supposed to accept "Electronic Use Only" cards, and the card issuer may deny payment.
In general, "Electronic Use Only" cards can be used to make online, phone and mail-order purchases, in addition to on-the-spot transactions.
Merchants making "remote" sales are usually able to obtain instant authorization, same as if you were going through a terminal, so these transactions qualify as electronic.
Specific card issuers, however, may restrict such purchases. Run your finger over the face of a typical credit or debit card. Your name, account number, card expiration date and other information are embossed -- that is, raised -- because, in the days before instant online transactions, merchants collected card information by taking a physical imprint.
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