Introduction to collecting online payments
Who is the person whose card is charged in an online transaction?
The cardholder
What do you call the predictable, repeatable payments a business charges customers at regular intervals?
Recurring revenue (or recurring billing).
What is the main difference between an on-session payment and an off-session payment, and why are recurring subscription charges typically considered off-session?What does it mean when a payment is "on-session" or "off session"?
The main difference is that an on-session payment occurs while the customer is actively using a browser or app and can respond to prompts (for example, authenticate or update payment details), whereas an off-session payment happens when the customer is not present and cannot interact. Recurring subscription charges are typically off-session because subsequent billed payments occur automatically at scheduled times without the customer actively using the service.
What is the blended sticker price for Stripe in the US?
2.9% + 30 cents
What two fees together make up the network costs in a card transaction?
Interchange fees and scheme fees.
What term describes charging a customer a proportional amount when they change plans mid-billing cycle?
Proration.
What does PII stands for?
Personally Identifiable Information (PII) is any data that can expose the identity of an individual including birthdate, social security number, and more.
What step is necessary for Stripe to send emails from a custom domain?
Verify ownership of the domain in the Stripe Dashboard
Name two pieces of checkout data you should collect to improve network acceptance and reduce unnecessary declines.
CVC and billing address/ZIP code (or richer transaction metadata).
What does Strong Customer Authentic (SCA) means?
It means that business are required to use two-factor authentication, like 3D Secure, to verify many online purchases (mostly in Europe)
What does GDPR rule stands?
General Data Protection Regulation (GDPR) is an EU-wide privacy and data protection law. It requires consent for collecting personal data, storage regulations, and transparency into how data will be used. If a business has customers in the EU, they will need to ensure GDPR compliance or risk hefty fines.
Mention one payout type?
Automatic, manual and instant
What is the regulatory process that platforms use to verify sellers’ identities (collecting info like full name, DOB, and tax ID) to prevent money laundering and comply with financial rules?
Know Your Customer (KYC) and sanctions screening
On the recurring billing workflow, what does it mean to "set a flexible billing logic"?
"Set a flexible billing logic" means designing your billing rules and system so it can support many different pricing, timing, and lifecycle scenarios — and change those rules without heavy engineering work
What is a chargeback?
If the card issuer has chosen not to create an inquiry or retrieval, or is unsatisfied with the evidence, they create a chargeback. Unlike with inquiries or retrievals, during a chargeback the issuer debits the disputed amount from the business and holds the funds while processing the dispute.
City Ceramics is refunding a customer in Spain a higher amount of money than the initial purchase. Why might this be?
The exchange rate is higher than when the item was purchased
Which global payment methods Stripe accepts? (mention 3)
Credit cards
Digital wallets
Bank debits and transfers
Buy now, pay later
Cash based payment methods (oxxo or boleto)
What Stripe product support recurring revenue?
Stripe Billing
Name 2 dispute categories
Fraudulent
Subscription canceled
Product not received
Product unacceptable
How many bank accounts can be linked to each Stripe account?
One for each supported settlement currency