Batch

A batch is a group of approved credit card transactions submitted to the processor for settlement. Rather than submit authorized transactions individually in real time, most merchants will let the transactions accumulate for a given period – typically one business  day – then send them for processing all at once.

The merchant gathers the authorization codes for all the credit card transactions of the day and sends them in one file, or “batch,” to their processor. Upon receiving the file, the processor sorts the transactions by bank, then arranges for the different payment amounts to be deposited into the correct merchant account.

Batches can be created either automatically or manually.