Dynamic Currency Conversion at the POS

Foreign card detection, rate quote, disclosure and consent, then authorization with a DCC indicator

Dynamic Currency Conversion at the POS Foreign card detection, rate quote, disclosure and consent, then authorization with a DCC indicator insert card request rate rate + margin offer + rate choose home auth + DCC approved print receipt clear + settle Detect + quote Disclosure + consent Authorize + settle Cardholder · foreign card · Sequence participant Cardholder foreign card Terminal · POS device · Sequence participant Terminal POS device DCC Provider · rate service · Sequence participant DCC Provider rate service Acquirer · auth + clearing · Sequence participant Acquirer auth + clearing Legend request return security async trace

Choice and disclosure

  • • A foreign BIN detected at the terminal triggers the DCC offer
  • • The cardholder must see the rate and the margin before consenting
  • • The local-currency option is always available and never pre-selected

Rate and margin

  • • The DCC provider quotes a wholesale FX rate plus a markup
  • • The margin is split across acquirer, merchant, and provider
  • • The quoted rate is locked for the life of the authorization

Auth and settlement

  • • A DCC indicator and the transaction currency ride the auth message
  • • Clearing must carry the same currency and rate as the disclosure
  • • The card network settles the merchant in the transaction currency

Sequence diagram • Built with Archify • Create yours ↗ • Hover to trace • R route • Click to focus • +/− zoom • M radar • [/] views • P play story • T theme • E export