Reporting and Operations
Credit Card Transactions
Many people will opt to charge a contribution or a fee for a service or publication given the option. The convenience associated with the transaction helps to facilitate the interaction with the organization. Further, with increasing online registration and purchasing, making credit card transactions available may be a necessity.
There are different options available. Regardless of the option chosen, fees will be charged by the transaction. The percentage charged varies by credit card vendor.
The credit card receipt is received by the organization. These transactions can be received through the mail or through emails generated by online submissions. Generally the organization will submit the transaction online to the credit card vendor. Once processed by the vendor, a deposit will be wired into the bank account of the organization. A summary report of the transactions processed will be sent periodically. These summary reports will need to be compared to the organizations records for the transactions submitted. The records from both the credit card vendor and the organization will need to be used to reconcile the bank account each month.
As online transactions become more prevalent, many organizations are choosing to have all transactions generated online sent directly to the credit card vendors. In this scenario, the credit card vendor receives the transaction directly, processes the transaction upon receipt and transmits the deposit to the bank immediately thereafter. A report is sent electronically to notify the organization of the activity. A paper summary of the transactions is sent periodically. The information relating to the payment is transmitted directly to the organization for processing.