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Merchant Account Glossary: Capture and Clearing

Capture

The action upon which an electronic credit card sale transaction is submitted for financial settlement. Authorized credit card sales must be captured and then settled in order for a merchant to receive their funds.

Clearing

This is the process of exchanging financial transaction details between an acquirer and an issuer to facilitate posting of a cardholder's account and reconciliation of a customer's settlement position.

Clearing and settlement occur simultaneously.

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