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E-commerce vocabulary · Payments and Fraud Prevention

Merchant-initiated transaction

Meaning in e-commerce, with examples

nounAdvanced term

In e-commerce, merchant-initiated transaction means: A payment started by a merchant without the customer's active participation, under an earlier agreement permitting that use.

In Turkish: satıcı tarafından başlatılan ödeme işlemi

How it is used

Often abbreviated MIT; use for the initiation type, not simply for any payment made using a saved card.

Example sentences

  1. The monthly refill charge was processed as a merchant-initiated transaction.

    The merchant starts the agreed recurring payment without a new checkout action.

  2. A merchant-initiated transaction needs a prior agreement covering the intended charge.

    Possessing stored payment details alone does not establish permission for every use.

Common collocations

  • merchant-initiated transaction agreement
  • recurring merchant-initiated transaction
  • MIT classification
  • payment methodA way a customer can pay for an order, such as a credit or debit card, bank transfer, digital wallet or cash on delivery.
  • payment gatewayA service that securely sends a customer's card or other payment details from the online store to the banks and returns whether the payment is approved.

More terms: Payments and Fraud Prevention

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