When you use a bank card to pay for a purchase in a store, the payment is made using a system called Electronic Fund Transfer at Point-of-Sale (EFTPOS).
This is how it works…
The EFT in EFTPOS is the same Electronic Fund Transfer system discussed here.
1...
Customer gives the bank card to the cashier
2...
The cashier runs the card through a card reader (the customer may have to enter a PIN). The cashier enters the value of the purchase
3...
The store’s system then connects to the bank computer and sends a message
4...
The bank computer uses the account number to access the customer’s record and checks the balance
5...
The bank computer sends back a confirmation or rejection message to the store’s system
6...
The cashier now confirms the purchase and an EFT message is sent to the bank
7...
The bank computer subtracts $100 from the customer’s account and adds $100 to the store’s account
8...
The cashier gives the card back to the customer along with a receipt
https://www.youtube.com/watch?v=37FWagrADEU
https://www.youtube.com/watch?v=OHflRmUKqmc
