A virtual POS works by passing card data securely between several parties: the cardholder, the merchant, the payment provider, the card network and the issuing bank.
- The customer enters card details into a secure form; the data is not stored on the merchant’s server.
- The data travels encrypted with a signature (hash) check to the provider and on to the issuing bank.
- 3D Secure verifies the cardholder with a one-time code or banking app approval.
- The bank checks limit and risk and issues an authorisation.
- The result returns to the site, which verifies it and confirms the order.
- After end-of-day reconciliation, the amount minus commission is settled to the merchant after the agreed period.
Cancellations happen before end of day; refunds after it; chargebacks are disputes raised through the cardholder’s bank. Robust integrations also query transaction status to avoid lost orders or double charges. Racoun builds these flows into the stores it develops on its own infrastructure.
Talk to Racoun: we are based in Istanbul and work with brands across Türkiye. Message us on WhatsApp or email ekip@racoun.com.
