Issuing
The Anglicism Issuing ( German "Ausstellen", "Emittieren" ) stands in banking for the issue of payment cards in payment transactions .
General
The issuer or issuer ( English Issuer ) is the company that issues the payment card, so bring on the market . The legal nature of the payment cards means that other contracting parties are involved, namely
- the issuing credit institution that issues the payment card instead of or with the card company ( English issuer ),
- the cardholder who pays for goods or services he has bought with the card issued,
- the contracting company that accepts payments for its goods and services with payment cards ( service provider , dealer , seller ) and
- the acquiring credit institute ( English acquirer ), which settles the card sales of the merchant with the cardholder .
All contracting parties are legally and / or economically related to each other and form the infrastructure for card payments.
Legal issues
The issue of payment instruments includes all services in which a payment service provider concludes a contractual agreement with the payer in order to provide a payer with a payment instrument for initiating and processing the payer's payment transactions . According to Section 1 Paragraph 1 Clause 2 No. 5 ZAG , the issue of payment instruments is part of the function of payment services, so that issuers as financial service providers require a banking license from the BaFin banking supervisory authority in accordance with Section 32 KWG .
Core processes of issuing
The core processes of issuing concentrate predominantly on the product characteristics and the distribution of the payment cards, whereby the processes are characterized by a low degree of specification , i.e. a high degree of standardization .
The product characteristics result from the type of payment card , i.e. its liquidity effect , its area of application and the storage medium used . In doing so, the exhibitors must determine, among other things, whether the cardholders should meet their payment obligations retrospectively by paying in advance or against payment , whether they should choose a magnetic stripe card and / or chip card and which area of application is possible. IT security also plays a major role in protecting payment cards from credit card fraud , computer fraud and forgery . The main product risk of payment cards that duplicates are not recognized by ATMs when skimming is of particular importance. According to the Federal Court of Justice (BGH), credit institutions have to prove that the original card was used; only then can it be assumed that the PIN has not been properly stored or that the cardholder himself has been charged. In this respect, the cardholder does not bear the burden of proof for the use of a duplicate card.
Sales are part of retail banking , whereby the debit card is closely linked to the cardholder's checking account , while charge cards or credit cards are not linked to a checking account. In addition to issuing, the core processes also include co-badging (more than one payment brand is assigned to a single payment card , as is the case with the girocard ), network processing (processing of the transaction in the payment procedure ), clearing or settlement .
economic aspects
The Issuing creates the card infrastructure (without cards there is no card business), the acquiring creates the contract business infrastructure (excluding contractors there is no card business). While acquirers today are mostly specialized companies that are owned by a bank or many banks or have bank-independent owners, cards are usually issued by banks that offer standardized private customer business . Neither dealers nor sellers are significantly involved in issuing, so that most of the income from issuing - the use of cards at the point of sale for authorized transactions and the operation of ATMs - goes to the credit institutions. The product characteristics also include a product risk if the bank product (payment card) for the bank, the relevant financial market or the bank customer contains unexpected financial risks that do not result from market risks . This includes the misuse of check and credit cards , in which the product risk of duplicates has so far mostly been blamed on the cardholder, although it would have to be borne by the issuer.
The following companies act as issuers in the German-speaking area:
Technical ATM network systems (ATM network systems) represent the networking of ATMs, authorization centers, acquirer banks (ATM operators) and issuer banks (card issuers).
Individual evidence
- ↑ Stefan Huch, The Transformation of the European Card Business , 2013, p. 107
- ↑ BGH, judgment of November 29, 2011, Az .: XI ZR 370/10 = NJW 2012, 1277
- ↑ Stefan Huch, The Transformation of the European Card Business , 2013, p. 107
- ↑ Capgemini , World Payment Report , 2010, p. 1 ff.
- ↑ Stefan Huch, The Transformation of the European Card Business , 2013, p. 1 f.
- ↑ Christiane Fotschki, Cooperations at the electronic bank-customer interface , 2013, p. 108
