E-Commerce Development Payment Processing 4

Question 1

Which 3DS2 (3D Secure 2) feature reduces checkout friction compared to 3DS1?

Accepted Answer

It uses risk-based authentication that may silently approve low-risk transactions

Answer

3DS2 supports frictionless flow where the issuer can approve low-risk transactions based on data signals without redirecting the customer to enter a code.

Question 2

What does the term 'interchange fee' refer to in card payment processing?

Accepted Answer

The fee paid by the acquiring bank to the card-issuing bank per transaction

Answer

Interchange is the fee that flows from the merchant's acquiring bank to the customer's issuing bank, making up the largest portion of processing costs.

Question 3

What is the correct approach to handling a failed webhook delivery from a payment processor?

Accepted Answer

Implement exponential backoff retry logic and verify events using the processor's API

Answer

Webhooks can fail due to temporary network issues, so implementing retries with exponential backoff and verifying event authenticity via the processor's API is best practice.

Question 4

Which payment flow should you use when collecting payment details upfront but charging the customer later (e.g., after service delivery)?

Accepted Answer

Authorization-only with a delayed capture

Answer

Authorization-only captures card holder funds availability now but delays the actual charge until the service is delivered, after which you manually capture.

Question 5

What is a 'retrieval request' in the context of chargeback management?

Accepted Answer

An issuing bank's request for transaction evidence before initiating a chargeback

Answer

A retrieval request is the issuer asking the merchant for documentation about a transaction, often a precursor to a formal chargeback if not responded to.

E-Commerce Development Practice Test

E-Commerce Development Practice Test

E-Commerce Development Payment Processing 4