BUENOS AIRES – Visa Inc. said it has begun using its global transaction processing network to handle Visa payments made at merchant locations in Argentina.
The launch of VisaNet in that South American country provides benefits for issuers, acquirers, financial/technology companies (fintechs), merchants and Visa cardholders and is aimed at bolstering that market’s competitiveness, sources from that American financial services giant told EFE.
VisaNet allows the more than 3.3 billion Visa cards worldwide to be used at more than 53 million merchant outlets and 2.7 million ATMs in more than 200 countries and territories.
That global transaction processing network is able to process more than 65,000 transaction messages per second, making it one of the world’s largest electronic payment networks.
Starting now, the different components of Argentina’s payments system will have access to unique and advanced technological solutions and physical and digital payment infrastructure.
VisaNet offers multi-acquiring functionality, or the possibility for businesses to interact with several different acquiring banks (acquirers) for approval of credit-card transactions.
Multi-acquiring also allows new actors to enter the market and further expand access to electronic and digital payment channels nationwide.
The system is akin to businesses having multiple Internet connections, so that if one is down they can switch to another network and continue accessing the Web.
“Argentina’s evolution to a multi-acquiring environment and the launch of local network processing via VisaNet is a milestone for Visa and for the country’s electronic payment ecosystem,” said Leonardo Collado, Visa’s head of global network processing for the Latin American and Caribbean region.
“We work very closely and as a team with issuers, acquirers, businesses, ‘fintechs,’ the government and business and industry organizations, and we support the acceleration of digitalization, card acceptance and the use of electronic payments, as well as the development of new technologies and innovations that will allow more people to access the formal and digital economy in Argentina,” Collado added.
He said Visa’s global transaction processing network serves “as a catalyst for business innovation and represents the beginning of a new era in which digital payments are not restricted by wired infrastructure and any connected device can be transformed into a Visa digital payment element.”
“VisaNet allows transaction data to be transformed into actionable information and business intelligence. It helps businesses make informed decisions about purchases, optimize their revenues and business processes and enrich the card users’ experience,” Collado said.
Besides creating a more competitive environment, the deployment of VisaNet for domestic transaction processing in Argentina allows in-person or online Visa card payments to be authorized, cleared and settled, the company said in a statement on Tuesday.
For example, Visa users and merchants in Argentina soon will be able to access more sophisticated services such as digital wallets, real-time peer-to-peer (P2P) and contactless solutions made simpler and secure by the Visa Token Service.
That latter service is a new security technology that uses a digital identifier, known as a token, to replace sensitive account information.
Tokenization makes secure payments possible on Internet-connected devices such as smart appliances, smart watches and connected cars and also secures card information in storage, among other advantages.