Example: Electronic check payment with multiple releases
A customer places an order for three items that total 300 USD: item A costs 45 USD, item B costs 120 USD, and item C costs 135 USD. The 45 USD item is available in stock, the 120 USD item is available in two days, and the 135 USD item is available in four days. The customer uses electronic checks to pay for the order.
The merchant uses the Early Deposit payment rule (Deposited, Deposited, Deposited).
At primePayment (order capture): The Payment Rules order amount is 300 USD and the initial amount is 45 USD because only one item is available. The payment instruction is to use the payment method of ACH (BankServACH) and amount of 300 USD. The validation, reservation, and finalization amounts are as shown:
Validation amount Reservation amount Finalization amount 45 0 0 Back-end system: At the payment back-end system, there is no amount approved but 45 USD is deposited for this payment.
Amount approved Amount deposited - 45
For the 45 USD item in stock in release A
At ReservePayment (release to fulfillment): A release has been created (release A). The total amount of this part of the order is 45 USD. The payment instruction is to use the payment method of ACH and amount of 300 USD. The validation, reservation, and finalization amounts are as shown.
For release A:
Validation amount Reservation amount Finalization amount 45 45 0 Back-end system: At the payment back-end system, forty-five USD is already deposited and no new amount is approved. No action happens.
Amount approved Amount deposited - 45 At finalizePayment (shipping of release A, 45 USD item): The payment instruction is to use the payment method of ACH and amount of 300.
Validation amount Reservation amount Finalization amount 45 45 45 The Payment Rules release is: total (45), reserved (45), finalized (45).
Back-end system: At the payment back-end system, no amount is approved, and 45 USD is already deposited.
Amount approved Amount deposited - 45 At this point, the 45 USD item was shipped but two items still remain.
For the 120 USD item in release B
At ReservePayment (release to fulfillment): Release B has been created. The initial amount is 45 USD. The total amount of this part of the order is 120 USD. The payment instruction is to use the payment method of ACH and amount of 300 USD. The validation, reservation, and finalization amounts are as shown:
Validation amount Reservation amount Finalization amount 0 120 0 The validation amount is zero at this stage because no validation activity is occurring. The Payment Rules release B is: total (120), reserved (120), finalized (0).
Back-end system: At the payment back-end system, no amount is approved, and 120 USD is deposited.
Payment Amount approved Amount deposited In release A - 45 In release B - 120 At finalizePayment (shipping of release B, 120 USD item): The payment instruction is to use the payment method of ACH and amount of 300 USD.
Validation amount Reservation amount Finalization amount 0 120 120 The validation amount is zero at this stage because no validation activity is occurring. Release B has: total (120), reserved (120), finalized (120).
Back-end system: At the payment back-end system, no amount is approved, and 120 USD is already deposited.
Payment Amount approved Amount deposited In release A - 45 In release B - 120
For the 135 item in release C
At ReservePayment (release to fulfillment): Release C has been created. The total amount of this part of the order is 135 USD. The payment instruction is to use the payment method of ACH and amount of 300 USD. The validation, reservation, and finalization amounts are as shown:
Validation amount Reservation amount Finalization amount 0 135 0 The validation amount is zero at this stage because no validation activity is occurring. The Payment Rules release C is: total (135), reserved (135), finalized (0).
Back-end system: At the payment back-end system, no amount is approved, and 135 USD is deposited.
Payment Amount approved Amount deposited In release A - 45 In release B - 120 In release C - 135 At finalizePayment (shipping of release C, 135 item): The payment instruction is to use the payment method of ACH and amount of 300 USD.
Validation amount Reservation amount Finalization amount 0 135 135 The validation amount is zero at this stage because no validation activity is occurring. The Payment Rules release is: total (135), reserved (135), finalized (135).
Back-end system: At the payment back-end system, no amount is approved, and 135 USD is already deposited.
Payment Amount approved Amount deposited In release A - 45 In release B - 120 In release C - 135 (C) Copyright IBM Corporation 1996, 2006. All Rights Reserved.