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Payment infrastructure, explained

Clear definitions for the terms behind payments, identity verification, financial data, reconciliation, and APIs.

Browse 71 definitions across 3 topics.

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01

Payment Systems

Terms used to describe how businesses collect, move, and reconcile money.

Bank Transfer+
Bank transfer is a method of sending funds from one business bank account to another. Example: A manufacturing company transferring payment to a raw material supplier.
Business Bank Account+
Business bank account is a special account for business entities offering features like cash management and credit facilities. Important for separating business and personal finances.
Administrative Fees+
Administrative fees are charges imposed by banks for business transaction services. These fees can vary based on transaction volume and types of services used by the company.
Bank Code+
Bank code is a unique bank identification used to route local and international inter-bank transfers to the intended destination.
Mobile Banking+
Mobile banking is an application allowing business finance management from mobile devices. It is useful for quick payment authorization and real-time cash flow monitoring.
Internet Banking+
Internet banking is an online platform for large-scale company financial management. It provides features like multi-user access and batch payments.
E-Wallet (Digital Wallet)+
E-wallet is a digital payment solution storing electronic payment information and funds as digital balance. Example: E-wallets are used for managing employee business travel expenses or small vendor payments.
E-Money (Electronic Money)+
E-money is a prepaid payment instrument for business transactions, where money value is stored in specific electronic media.
  • Unlike e-wallets, e-money is typically not directly linked to a bank account.
  • It is often used for employee expense management or recurring vendor payments.
Transfer Limit+
Transfer limit is the transaction limit or maximum amount that can be transferred in one transaction or one day, set by the bank or regulator. It can be adjusted based on company operational needs.
RTGS (Real-Time Gross Settlement)+
RTGS is a system for large fund transfers between companies or banks in real time. It is used for high-value transactions that require prompt settlement.
BI-FAST+
BI-FAST is a fast transfer service allowing businesses to make instant payments to suppliers or partners. With BI-FAST, money transfers can be done 24/7, and funds will reach the recipient's account within seconds.
Virtual Account+
Virtual account is a virtual account number to facilitate payment tracking from business clients or customers.
  • It aids in reconciliation process and financial reporting.
  • Virtual accounts are often used for bill payments or donations, where one organization can have multiple virtual accounts linked to one main account.
Interbank Network+
Interbank network is a network connecting various banks, allowing customers of one bank to transact with customers of other banks. Examples in Indonesia include ATM Bersama and Prima.
Payment Reconciliation+
Payment reconciliation is the process of matching financial transaction records to ensure data accuracy and completeness.
  • It is important in the context of money transfers to verify that all transactions have been processed correctly.
  • Example: An e-commerce company using an automated reconciliation system to match payments from thousands of resellers with their orders daily.
Fintech (Financial Technology)+
Fintech refers to technology and innovation aiming to compete with traditional financial methods in delivering financial services.
  • Examples include mobile payment applications and peer-to-peer lending platforms.
API (Application Programming Interface)+
API is a set of protocols and tools for building software applications. In the context of money transfers, APIs allow integration of money transfer services into other applications or platforms.
Payment API+
A Payment API lets a business application create, receive, or check payments without requiring an operator to enter each transaction by hand.
Disbursement API+
Disbursement API is a specialized API allowing businesses or platforms to send mass payments automatically to multiple recipients.
  • It is ideal for businesses needing to make routine payments to many recipients, such as commission payments, payroll, or refunds.
Disbursement Page+
Disbursement Page is Brick's dashboard-based workflow for sending mass payments without an API integration.
  • It supports uploading batch files such as CSV or Excel to prepare payouts.
  • It is suitable for operations teams that prefer a file-based workflow.
  • Example: A manufacturing company uploads an Excel file containing its monthly payroll recipients to the dashboard.
Payment Acceptance API+
Payment acceptance API is a method of using API to integrate payment systems with company internal systems or third-party platforms.
  • It allows automation and customization of payment processes.
  • Example: A marketplace integrating payment acceptance through an API so sellers and buyers can transact directly on the platform.
Bulk Payment System+
Bulk payment system is a system for managing large volume payments to multiple recipients. It is suitable for companies with high transaction volumes such as insurance companies or e-commerce.
Real-time Payment+
Real-time payment is a system allowing instant fund transfers between business entities. It improves liquidity management and accelerates payment cycles. BI-FAST is an example of a real-time payment system in Indonesia.
Payment Gateway+
Payment gateway is a service that processes online payments for inter-business transactions. It connects merchants, banks, and customers to facilitate secure online transactions.
Payment Aggregator+
Payment aggregator is a third-party service that consolidates various payment methods for businesses. It allows companies to process payments through various channels without dealing with each payment provider separately.
Merchant Account+
Merchant account is a type of bank account allowing businesses to accept payments from various electronic payment methods. It is important for e-commerce and businesses accepting payments from various methods.
Merchant Discount Rate (MDR)+
Merchant Discount Rate (MDR) is the percentage of each transaction paid by the merchant to the acquiring bank.
  • MDR includes interchange fee, network fees, and acquirer margin.
  • Example: An e-commerce company may factor the applicable MDR for e-wallet transactions into its product pricing structure.
Recurring Billing+
Recurring billing is a system allowing businesses to bill customers automatically and periodically.
  • It is very useful for subscription-based business models or long-term contracts.
  • Example: SaaS company using recurring billing to charge their corporate clients monthly for platform usage.
Subscription Management+
Subscription management is a platform or system managing subscription aspects such as billing, package upgrades/downgrades, and churn prevention.
  • It is important for businesses with subscription-based revenue models.
  • Example: Cloud service provider using a subscription management system to manage various service levels and billing for their business clients.
Digital Invoicing+
Digital invoicing is an electronic billing system automating creation, sending, and tracking of invoices.
  • It can reduce manual work and errors in business billing.
  • Example: A consulting company using digital invoicing to send and track bills to corporate clients.
Accounts Receivable Automation+
Accounts Receivable Automation is the use of technology to automate accounts receivable management processes, including billing, collection, and payment reconciliation.
  • Example: Large distributor implementing AR automation system to manage thousands of transactions from retailers each month, improving cash flow and reducing DSO (Days Sales Outstanding).
Dynamic QR Code Payment+
Dynamic QR Code Payment is a payment system using QR codes generated dynamically for each transaction.
  • It enables transaction-specific payment amounts and contactless payments.
  • It can be used for on-site or event-based payments.
  • Example: An event company using dynamic QR codes to accept payments from sponsors and vendors at trade show locations.
Static QR Code Payment+
Static QR Code Payment uses a QR code that remains constant and can be used repeatedly to receive payments. Unlike dynamic QR, static QR doesn't change for each transaction.
  • Static QR can be used at recurring collection points or for donations.
  • Example: A business displaying the same static QR code wherever customers need to make a payment.
Checkout Page+
A hosted Checkout Page lets customers select an available payment method without requiring a business to build the payment interface itself.
  • The business creates a checkout session through the API.
  • Brick hosts the interface for supported QRIS, virtual account, and e-wallet payments.
  • The resulting checkout URL can be shared through a website, chat, invoice, or support channel.
02

Account and Identity Verification

Terms used when checking identities, accounts, and customer risk.

KYC (Know Your Customer)+
KYC is the process of verifying customer/user identity and assessing potential risks in business relationships. It's crucial for regulatory compliance and fraud prevention in financial and other business sectors.
AML (Anti-Money Laundering)+
AML refers to procedures, laws, and regulations designed to prevent the practice of generating income through illegal activities. It's critical for financial institutions and businesses to comply with AML regulations.
Biometric Verification+
Biometric verification is an identity authentication method using unique physical characteristics such as fingerprints, face, or voice.
  • It enhances security in identity verification processes for access to systems or services.
OCR (Optical Character Recognition)+
OCR is technology that converts text images or documents into editable and searchable data. It's used in identity verification processes to extract information from identity documents.
Liveness Detection+
Liveness detection is technology ensuring that biometric samples (like facial photos) come from a living, present person, not a photo or recorded video. It verifies user presence through selfies and compares them with civil registration data.
Facial Recognition+
Facial recognition is technology that identifies or verifies a person's identity using their facial features. It's used in various security and identity verification applications.
Document Verification+
Document verification is the process of checking the authenticity and validity of identity documents such as ID cards, passports, or driver's licenses. It's important in customer onboarding processes and KYC compliance.
Identity Proofing+
Identity proofing is the process of verifying that a person is who they claim to be. It involves various methods including document verification and data checking.
Multi-Factor Authentication (MFA)+
MFA is a security method requiring users to provide two or more proofs of identity to gain access. It enhances security for access to systems and sensitive data.
Digital Identity+
Digital identity is information about individuals, organizations, or devices that exists online. It includes attributes and credentials used for digital interactions.
Identity Fraud Detection+
Identity fraud detection is the process of identifying and preventing the use of fake or stolen identities. It's critical in protecting businesses and customers from financial and reputational losses.
eKYC (Electronic Know Your Customer)+
eKYC is the process of digitally verifying customer identity. It enables faster and more efficient customer onboarding compared to traditional KYC methods.
ID Card OCR+
ID Card OCR is the process of extracting information from identity cards using OCR technology. It automates data extraction from identity documents, improving KYC process efficiency.
Phone Number Verification+
Phone number verification is the process of verifying ownership and validity of phone numbers associated with ID cards. It improves customer data accuracy.
Zero OTP+
Zero OTP is a verification method without using One-Time Passwords. It verifies phone numbers through telco IP address sessions, enhancing user experience by eliminating OTP input needs.
ID Verification API+
ID Verification API is a programming interface enabling integration of identity verification services into applications or systems. It allows identity verification against civil registration data.
Address Verification+
Address verification is the process of verifying the authenticity and validity of addresses provided by customers. It's important for KYC compliance and fraud prevention.
Risk Scoring+
Risk scoring is the process of assessing the level of risk associated with individuals or transactions based on various factors. It helps businesses in decision-making related to customer acceptance or transactions.
Watchlist Screening+
Watchlist screening is the process of checking individuals or entities against sanctions lists, PEP lists, and other watch lists. It's important for AML compliance and risk management.
PEP (Politically Exposed Person) Screening+
PEP screening is the process of identifying and monitoring individuals who hold prominent public positions. It's crucial for risk management and compliance in the financial industry.
Sanctions Screening+
Sanctions screening is the process of checking individuals or entities against international and local sanctions lists. It's important for regulatory compliance and risk management in international transactions.
Transaction Monitoring+
Transaction monitoring is the process of monitoring financial transactions to identify suspicious or unusual activities. It's a key component of AML programs and fraud prevention.
Compliance Management+
Compliance management refers to systems and processes ensuring that organizations comply with all applicable regulations and standards. It's important in managing regulatory and reputational risks.
03

Financial Data Aggregation

Terms used to collect, organize, and interpret financial data from more than one source.

Open Banking+
Open banking is a banking practice that allows sharing of consumer or business financial data through APIs.
  • It can support connected financial services and analysis.
  • Example: A financial platform using Open Banking APIs to access authorized transaction data for cash-flow analysis.
Open Finance+
Open finance extends the Open Banking concept to cover financial products and services beyond traditional banking, such as insurance, investments, and pensions.
  • It can connect different categories of authorized financial data.
  • Example: A financial management platform combining data from bank accounts, business insurance, and company investments.
Data Enrichment+
Data enrichment is the process of enhancing raw data with additional information from other sources. In financial contexts, this can mean adding expense categories, clearer merchant names, or location information to transaction data. It's important for deeper analysis and more accurate insights.
Account Aggregation+
Account aggregation is the process of collecting and unifying financial information from various accounts and sources into a single, integrated view.
  • It allows businesses and individuals to view their financial position holistically.
Transaction Categorization+
Transaction categorization is the process of classifying financial transactions into meaningful categories (like 'Food & Beverage', 'Transportation', etc.). It aids in expense analysis, budget planning, and understanding financial patterns.
Financial Data Analysis+
Financial data analysis is the use of data analysis techniques to extract insights from financial data. It covers various methods from descriptive to predictive analysis, helping businesses in data-driven decision-making.
Real-time Data Synchronization+
Real-time data synchronization is the process of updating data instantly or near-instantly when changes occur at the original source. It's crucial for providing an accurate and up-to-date picture of financial status, especially for time-sensitive decisions.
Multi-source Data Integration+
Multi-source data integration combines information from banks, e-wallets, investments, and other sources in one system. It gives users a broader view of their financial position.
Data Privacy and Protection+
Data privacy and protection refers to practices and regulations related to handling personal data to protect financial data from unauthorized access, leaks, or misuse.
Consent Management+
Consent management is the process of managing user consent for the collection and use of their personal data. It's crucial for compliance with data privacy regulations.
Legal Compliance+
Legal compliance refers to adherence to applicable laws, regulations, and guidelines in the financial industry. It covers various aspects such as data privacy, information security, and fair business practices.
Data Governance+
Data governance is a system for managing the availability, usability, integrity, and security of data in an enterprise. It involves policies, procedures, and standards governing how data is managed and used. It's important for ensuring consistency and quality of financial data.
Transaction Data API+
Transaction Data API is a service that collects and presents transaction history from bank accounts and e-wallets. It enables analysis of spending patterns, anomaly detection, and understanding of customer financial behavior.
Investment Data API+
An Investment Data API aggregates portfolio data and buy-sell transaction history. It can support performance tracking, asset allocation analysis, and financial reporting.
Income and Employment Data API+
Income and Employment Data API is a service that collects income and employment history data from sources such as health insurance and personal taxes. It's useful for income verification, credit worthiness assessment, and financial stability analysis.