DYNAMIC CURRENCY CONVERSION (DCC)

DCC CARD PRESENT FLOW

DCC MARKUP CAN BE

SPLIT BETWEEN 2
PARTIES, 3 PARTIES OR 4
PARTIES*
SHOPPER OPT IN OR OUT
CONVERSION BY ISSUER

DCC PROVIDER

EU ISSUED CARDS

CARDS SCHEMES ISSUER

PSP
ATM POS
The cardholder presents their card to a POS or ATM terminal
TRANSACTION IN NON EUR COUNTRY
I The card is checked at the terminal for possible DCC eligibility.
If valid, the transaction gets routed to the DCC provider through the
merchant's PSP.
A DCC provider can be a 3rd party or the acquirer.
If eligible, the cardholder is prompted with a DCC exchange rate at the
POS/ATM to accept or decline. If accepted the DCC provider performs
the conversion and send the information back to the PSP who follows
the standard authorisation steps through the schemes and the issuer.
CARD ELLIGIBILITY CHECK
If declined the issuing bank performs the conversion at the point of
settlement onto the cardholder account.
*The DCC markup can be split between the merchant, acquirer, DCC provider, the PSP depending on the model ACQUIRER/DUAL DCC
PROVIDER

CONVERSION FEES

ISSUER SHOPPER
POS
ISSUER

NO TO DCC PRICE = £100 EXCHANGE RATE FINAL PRICE

NO TO PROPOSED EXCHANGE RATE TOTAL AT POS = £100 COMMISSION UNKNOWN
FEE
CONTROLLED BY ISSUER
DCC PROVIDER

EXCHANGE RATE FIXED FINAL PRICE

YES TO DCC PRICE = £100 EUR 112.5
COMMISSION FIXED
YES TO PROPOSED EXCHANGE RATE TOTAL AT POS = EUR 112.5 FEE FIXED
CONTROLLED BY DCC PROVIDER

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