An Original Credit Transaction (OCT) is a financial transaction that delivers funds directly to a recipient’s eligible account. Unlike a purchase transaction, which debits a cardholder’s account, an OCT credits the cardholder’s account.
The funds flow in a different direction than in typical card transaction. A full financial BIN is required and the liability to pay lies with the acquirer. Once the issuer accepts the transaction the transaction is completed and funds are pulled from the acquirer in the next settlement window. There are no reversals or chargebacks that can be originated by the acquirer.
Original Credit Transactions can be used for a variety of services:
- Money Transfers
- Funds Disbursem*nts
- Prepaid Loads
- Merchant Settlements
- Credit Card Bill Payments
- Loyalty and Offers
- Wallet Transfers
For instructions on creating report subscriptions and generating these reports, see Chapter2, "Creating and Accessing Downloadable Reports.".
Table 1. Acquirer Original Credit Transaction Reports| Report Name | Description |
|---|
| Acquirer Detail Report | Provides a detailed listing of allOCT transactions. |
| Acquirer Exception DetailReport | Provides exception transactions forone processing day. |
| Acquirer Chargeback DetailReport | Provides chargebacks and chargebackreversal transactions received by the acquirer during the processingday. |
| Acquirer Reconciliation SummaryReport | Provides a summary of total OCTtransactions and total amount processed. |
FAQs
Original Credit Transaction (OCT) is a method of real-time payment available from the Visa network that sends payments via a 'push' mechanism specifically over the VisaNet electronic payments network to specific card-based account holders into who's accounts the payments are credited.
What is an original credit transaction example? ›
An Original Credit Transaction (OCT) is a Visa transaction type which allows the transfer of funds to an eligible Visa account. One of the most common examples of these transfer types is passing gambling winnings back to a card used to place a bet or buy poker chips.
How do I send an original credit transaction? ›
Unraveling the OCT Process
The payment sender initiates a fund transfer, providing the necessary payment details, including the recipient's card number and the transaction amount. The funds are then directly credited to the recipient's Visa or Mastercard account, making the payment process efficient and streamlined.
What are the use cases of original credit transaction? ›
Examples of Use Cases:
- Refunds: A retail company can use OCT to issue refunds directly to a customer's card. This is quicker than sending a check or processing a bank transfer.
- Insurance Payouts: An insurance company can disburse claims directly to a policyholder's card.
Respond promptly: Respond to the dispute notification as soon as possible. Provide accurate information: Make sure to provide accurate and complete information to support your side of the dispute. Keep records: Keep records of all transactions made using your Chime account, including receipts and invoices.
How does Chime show up on credit report? ›
Chime reports the payment activity and current balance of your Chime Credit Builder Secured Visa® Credit Card at the beginning of each month. We also report any amount past due, payment status, and account age. This helps build your credit history.
What are the three types of credit transactions? ›
The three main types of credit are revolving credit, installment, and open credit. Credit enables people to purchase goods or services using borrowed money. The lender expects to receive the payment back with extra money (called interest) after a certain amount of time.
What are the three types of transactions? ›
Types of Accounting Transactions based on the Exchange of Cash. Based on the exchange of cash, there are three types of accounting transactions, namely cash transactions, non-cash transactions, and credit transactions.
What is credit transaction in simple words? ›
credit, transaction between two parties in which one (the creditor or lender) supplies money, goods, services, or securities in return for a promised future payment by the other (the debtor or borrower). Such transactions normally include the payment of interest to the lender.
What is original credit? ›
An Original Credit Transaction (OCT) is a specific type of payment method used in the financial industry. A payment service provider, such as a bank or a financial institution, directly credits a payment to the recipient's card or account.
An account funding transaction (AFT) withdraws funds from a sender's account using standard credit card processing. An original credit transaction (OCT) deposits funds into a recipient's account.
Can you dispute a credit transaction? ›
Whether there's an error, fraudulent charge or dissatisfaction with the goods or services provided, you have the right as a consumer to dispute a credit card charge.
What are the four most common types of transactions? ›
There are four main types of financial transactions that occur in a business. These four types of financial transactions are sales, purchases, receipts, and payments.
What is used as an evidence of payment? ›
A receipt or bank statement is the most common way to provide proof of payment. Receipt copies can be obtained from the seller either online or in person.
What is the AFT transaction on a Visa? ›
The AFT is used to pull funds from Visa accounts for the purposes of funding other non-merchant accounts, such as loading or topping up prepaid card accounts, moving funds into another financial account such as a Certificate of Deposit or Individual Retirement Account, acting as the funding source of person-to-person ...
How does Chime credit payments work? ›
Each month, pay your balance with the money in your secured account (manually or automatically through the Safer Credit Building feature). Chime will then report on-time payments to the three major credit bureaus. If you keep up with on-time payments, you'll see a boost in your credit score.
Can I use my Chime credit card with no money? ›
No, you cannot use your Secured Chime® Credit Builder Visa® Credit Card with no money in your secured account. To use your card, you need to have available credit to cover your purchases.
Does Chime refund disputed transactions? ›
Chime may apply a temporary dollar amount to your account while we investigate the transaction(s) you disputed. If we can't resolve your dispute within ten business days (20 business days for new accounts), we may add a temporary credit to your account balance to cover the disputed amount.
How much can you overdraft with Chime? ›
How much can I overdraft with SpotMe? Your Chime SpotMe limit starts at $20 and may go up to $200 depending on your account activity, history, and other risk factors. Receiving bonuses and Boosts from friends on Chime can temporarily increase your SpotMe limit.
