Glossary

1 Piece - a terminal with a PIN pad and printer built in.

2 Piece - a terminal where the PIN pad for card holders to enter their details is separate.

3DES – triple DES (data encryption standard), a security standard in the payments industry. All EFTPOS New Zealand terminals have 3DES data encryption.

Acquiring Bank – the bank a merchant has their merchant account with. The acquiring bank processes debit card, Visa, and MasterCard payments; and on settlement of an eftpos terminal deposits these funds into the merchants bank account.

Bluetooth – is a technology that allows short-range wireless interconnection of mobile phones, computers, and other electronic devices.

Cancellation Fee – fee charged on termination of contract.

Card scheme – any organisation or payment scheme established to manage, determine, and enforce standards and procedures for the issuance and acceptance of cards and the settlement of transactions. Mostly refers to MasterCard and Visa.

Credit Card - a payment card issued to users as a system of payment. It allows the cardholder to pay for goods and services based on the holder's promise to pay for them. The issuer of the card creates a revolving account and grants a line of credit to the consumer (or the user) from which the user can borrow money for payment to a merchant. Merchants are charged a Merchant Service Fee for accepting credit cards.

Cheque Auth - allows merchants to key cheque details into an eftpos terminal and receive back electronic authorisation of the cheques validity. (I.e. not stolen or cancelled).

Chip Card – a card containing a microchip. The chip provides a higher level of security and more information can be stored on the card than on a mag stripe. Commonly referred to as EMV.

CHQ – Cheque, as it appears on eftpos PIN pads.

Consumables - stationery items for eftpos terminals. e.g. paper rolls. Available to buy via our website here.

Contactless – eftpos functionality we refer to as 'Tap and Go', also commonly known as Visa Paywave, or MasterCard PayPass. Refers to a payment method utilising a terminal with NFC technology and a card with an RFID chip, which allows the terminal to process a transaction without swiping or inserting a card or entering a PIN.

COO - stands for change of owner, relates to when a business is sold and the EFTPOS New Zealand contract is transferred to the new owner.

CR/CRD - Credit, as it appears on eftpos PIN pads.

Credit Card tipping – a type of tipping where the customer signs and specifies the tip amount on their receipt.

Cross Border Acquiring – where an acquirer processes transactions accepted in another country.

Customer Preferred Currency
– a value added solution that allows merchants to give overseas customers the option to pay in their home currency rather than in New Zealand dollars.

DD - stands for direct debit, a payment method controlled by EFTPOS New Zealand.

Debit Card - more commonly known in New Zealand as an eftpos card, provides electronic access to funds stored with a financial institution.

EFTPOS – stands for Electronic Funds Transfer at Point Of Sale.

EFTPOS New Zealand Network – the transaction network managed by EFTPOS New Zealand.

Electronic Offline Vouchers (EOV) – allow the processing of transactions offline if a terminal is unable to go online to authorise/complete the transactions. The terminal stores transaction information until it can go online. Can replace Manual Offline Vouchers produced by a Zip Zap machine.

EMV – stands for Europay MasterCard Visa, the global standard for inter-operation of chip cards and chip card capable point of sale (POS) terminals and automated teller machines (ATMs), for authenticating credit card and debit card transactions. This is also a security requirement and eftpos machines must be compliant.

Encryption - the process of converting information in order to render it unintelligible to all except holders of a specific cryptographic key. Use of encryption protects information between the encryption process and the decryption process (the inverse of encryption), against unauthorized disclosure.

ENZ -  abbreviation of EFTPOS New Zealand..

EPAY  – providers of prepaid products including mobile phone top-up and retailer gift cards, which are retailed via an eftpos terminal earning a merchant commission.

ESA- stands for Eftpos Services Agreement.

Eftpos Services Agreement (ESA) - The terms and conditions for EFTPOS New Zealand payment services. This will be provided to the merchant with their Letter of Offer and Acceptance and is sent by mail.

FSR – stands for Field Service Representative, members of the EFTPOS team stationed all around New Zealand for when a merchant needs support on-site.

GPRS - stands for General Packet Radio Service, refers to mobile data service on the 2G and 3G cellular communication system. Selected VeriFone eftpos terminals can connect to the 3G network to create a portable payment solution.

Hospitality/Hospo Software – refers to software packages on Verifone terminals. The software has special features tailored to the Food & Beverage and Accommodation industries.

ICC (Integrated Circuit Card) – refers to smart cards with embedded integrated circuits which can process data, for example chip cards.

Interfaced POS – refers to a terminal connecting with a POS.

Integrated POS – refers to an eftpos PIN pad directly incorporated with a POS PC.

Letter of Offer and Acceptance – sets out Terms and Conditions specific to a merchant prior to the commencement of services. The Letter of Offer and Acceptance does not need to be signed in order for the contract to be enforced.

Line Cord – a cord that allows a terminal to be connected to a phone line.

Mag Stripe – black magnetic area located on the back of a credit card / debit card where account / customer information is kept.

Mag Swipe – area of terminal / PIN pad that reads the information off the mag stripe, can either be horizontal or vertical depending on the terminal type.

MAN PAN – refers to Manual PAN Entry, which allows manual entry of credit card details when the card is not present e.g. in mail / telephone order transactions.

Manual Offline Vouchers – produced by a zip zap machine, manual offline vouchers authorise the acquiring bank to collect funds in the event of loss of eftpos connectivity.

MCC (Merchant Category Code) - a four digit number assigned to merchants by credit card companies, used to classify the business according to the goods and services it provides.

Merchant - a business with card processing facilities.

Merchant Account - refers to the account a merchant has with their acquiring bank. This account includes card processing as a service and allows merchants to accept card payments.

Merchant Leased - a term used to refer to an eftpos terminal that is provided to the merchant by EFTPOS New Zealand.

Merchant Number - each merchant that is set up to process transactions requires a merchant number, provided by the acquiring bank. This number enables the network to know which bank account to deposit the funds into.

Merchant Owned - a term used to refer to an eftpos terminal that has been purchased by a merchant.

Merchant Service Fee – monthly fee charged by the acquiring bank for authorising and processing credit card transactions and crediting the funds to the nominated bank account. If no credit cards are processed during a month, a minimum monthly fee will normally apply.

mPOS – stands for mobile point of sale, it allows business owners to conduct transactions on-the-go without using a traditional cash register or POS.

Multi Merchant - terminal functionality that allows up to eight merchants to be loaded onto a single terminal. Each has their own Retailer ID, so that on settlement their transactions are deposited into their own bank account.

Network – also known as the ‘switch’, the network is the infrastructure that allows funds to be transferred from the customer’s bank account to the merchant’s bank account when an eftpos transaction takes place. There are two networks in New Zealand: the EFTPOS New Zealand network and the Paymark network.

NFC (Near Field Communication) – uses RFID technology to allow a two-way communication between a mobile device (e.g. a smartphone) and another electronic device (e.g. an eftpos terminal). This technology is used to make contactless card transactions.

One-way interface - allows a terminal to be linked to a POS system. Transaction information is passed one-way from POS to terminal, which saves time by eliminating the process of keying the purchase information into the terminal.

Open Transaction - functionality included in hospitality software packages. An open transaction is similar to a pre-authorisation, however the transaction amount is not specified when the pre-authorisation is made.

PA DSS (Payment Application Data Security Standard) – a set of regulations set forth by the PCI Security Standards Council that offer best practices / guidelines for the development / integration of applications / software used to process credit card transactions.

PAN - stands for Primary Account Numbers.

Pay at Table – an integrated software solution used in conjunction with a mobile eftpos terminal which enables businesses in the food and beverage industry to take payment at the customer’s table. Please see Slice to learn more about Pay at Table software.

Paymark Network - is the network founded by the ASB, BNZ, Westpac and ANZ banks. Also known as ETSL.

PayWave – a Visa card with RFID technology installed to make contactless payments when used with a terminal with NFC capability.

PayPass - a MasterCard card with RFID technology installed to make contactless payments when used with a terminal with NFC capability.

PC EFTPOS – an integrated solution which connects a VX 820 PIN pad or a VX 690 directly to a POS PC. The transaction is driven from the software loaded on the POS PC instead of on the PIN pad, allowing full integration of the transaction process with your POS.

PCI DSS – stands for Payment Card Industry Data Security Standard. A set of regulations set forth by the PCI Security Standards Council (SSC) that govern the security of data.

PIN - stands for Personal Identification Number, used at ATMs and at the Point of Sale for debit and credit cards.

Pre-Authorisation - functionality included in hospitality software packages. A pre-authorisation is when an authorisation is obtained on a credit card for a set amount, without intending to process the transaction immediately. The authorisation serves two purposes, it validates the credit card and also ensures that the cardholder has sufficient available credit to pay for the service.

POS
 - stands for Point of Sale and can refer to where the transaction / purchase occurs and to software that helps a merchant process the sale of their goods or services.

POSLink - the POSLink interfaced solution connects your POS to your eftpos terminal/s via a simple one-way or two-way messaging protocol using a serial cable connection or WiFi connectivity.

PSU - stands for Power Supply Unit, every terminal requires a PSU to operate.

RFID – stands for Radio Frequency Identification, the wireless non-contact use of radio frequency electromagnetic fields to transfer data. The technology used to make contactless payments.

RSA - an encryption and authentication system that uses an algorithm developed in 1977 by Ron Rivest, Adi Shamir, and Leonard Adleman. The RSA algorithm is the most commonly used encryption and authentication algorithm and is included as part of the Web browser from Netscape and Microsoft, and many other products.

Service Contract - covers servicing for a merchant owned terminal.

Settlement – settling an eftpos terminal in order to advise the acquiring bank of funds to be deposited in a Merchant’s nominated bank account.

Short Term (Rental) – a service provided by EFTPOS New Zealand which allows a merchant to rent a terminal for a short amount of time.

Skimming - this is when card details are copied from the mag stripe on existing cards, using a skimming device. These details can then be transferred to a blank card and used to purchase goods without the cardholder’s knowledge. This is one reason why chip cards are more secure than mag stripe cards.

Slice - an EFTPOS New Zealand product offering that provides flexibility to take payment at the customer’s table, split multiple eftpos payments, take cash / vouchers and add tips; all while automatically sending transactions wirelessly to your POS to  reconcile. See our Hospitality Software Packages for more information.

Snapper - a pre-pay, contactless payment solution for small, fast purchases and public transport. Customers simply tap their Snapper device on the contactless Snapper card reader and the purchase amount is deducted from their Snapper account. Merchants can choose to accept Snapper cards and offer Snapper top-ups as a service to customers.

Splash Protector - a stationery item from EFTPOS New Zealand. It is a thin rubber membrane that covers keys on a terminal or PIN pad, (depending on the terminal type) to reduce damage due to liquid spills.

Stationery – consumable items for use with eftpos terminals, for example paper rolls. Available to buy via our website here.

Subscription - the term used for rental of an eftpos terminal or processing facility.

swapBOX - an EFTPOS New Zealand service which provides a spare terminal that is kept on site and can be plugged in and used with just a couple of quick and simple steps, should one of your EFTPOS New Zealand terminals fault.

Tap and Go - a payment solution that allows Visa payWave or MasterCard paypass cardholders to simply tap their card on a contactless terminal to make a payment. Also referred to in the payments industry as ‘contactless’. The EFTPOS New Zealand Evolution range of terminals are Tap and Go ready with in-built contactless readers.

Terminal Number - an extension of the Merchant Number, a terminal number is 12 digits long and each terminal has a unique terminal ID.

Thermal Paper/printer - heat sensitive, single copy paper used in a thermal printer. A thermal printer uses heat transfer to print receipt details, similar to a fax machine.

Tipping – functionality included in hospitality software packages. The tipping function allows customers to add a tip on top of their original transaction amount.

TMS - stands for Terminal Management System, allows software to be remotely downloaded into a terminal.

TRSM – stands for Tamper Resistance Security Module, involved with protection of the encryption process.

Two-Way Interface - allows a terminal to be linked to a POS system. Transaction information is passed from POS to terminal, and then back from terminal to
POS so the outcome of the eftpos transaction is displayed on the POS PC.

Vault - an integrated solution for Verifone terminals connected to the Paymark network that links the POS to the eftpos terminal (the Vault solution uses the VX 820 PIN pad).

Verifone – the parent company of EFTPOS New Zealand. Verifone is the global leader in secure electronic payment solutions.

Zip Zap – a means of creating a physical copy of card details in the event of loss of eftpos connectivity. Allows a merchant to create a manual offline voucher which authorises the acquiring bank to extract funds from a customer’s bank account.