MasterCard Automatic Billing Updater

The MasterCard Automatic Billing Updater prevents disruptions due to account changes by automatically maintaining the accuracy of customer data. It creates a communication link between everyone involved in a credit card transaction process - including the cardholder, the card issuer, the merchants who provide automatic bill payment services, and the merchants' acquiring banks. MasterCard Automatic Billing Updater informs everyone of the cardholder's new account number, seamlessly and efficiently. The service benefits primarily merchants participating in recurring transactions and works in six simple steps:

1. Participating card issuers submit MasterCard account changes to the Automatic Billing Updater database.
2. Merchants who have registered for the program submit account number queries to their acquiring banks.
3. Acquiring banks submit these account queries to the MasterCard Automatic Billing Updater database.
4. MasterCard matches account queries to card issuer submissions, then returns matches to acquiring banks.
5. Acquiring banks return matched account query records to the specific merchants.
6. Merchants can then update their billing files with the changed account information.

The MasterCard Automatic Billing Updater supports the following range of account changes:

1. Portfolio sales.
2. Portfolio flips.
3. Expiration date changes.
4. Card upgrades.
5. Re-issued cards.
6. Lost and stolen cards.

The MasterCard Automatic Billing Updater helps reduce transaction denial rates, which can average 25% to 30%, compared to the 5% average for the face-to-face transaction. At the same time it ensures uninterrupted service for cardholders and uninterrupted payment for merchants in recurring transactions. It seamlessly updates account information merchants have on file, without impacting cardholders. It helps maintain and build customer satisfaction, making them more loyal and less likely to switch to another merchant.