Welcome to Part 1 of the STIP Mega Guide! This article introduces Visa Stand-in Processing (STIP) and covers the fundamental STIP services that help ensure transactions continue even when your issuer host is unavailable or slow to respond.

What is STIP?

Visa Stand-in Processing (STIP) is a service that allows Visa to make authorization decisions on behalf of issuers when the issuer's host system is unavailable, unresponsive, or when specific conditions trigger stand-in processing. STIP helps maintain transaction flow and customer experience during system disruptions.

When STIP activates

STIP can be triggered by issuer host unavailability, response timeouts, network issues, or when issuers explicitly request stand-in processing for specific transaction types.

Core STIP services

STIP provides several services that work together to process transactions when the issuer host cannot respond:

General STIP Processing

The foundation of STIP is the ability to approve or decline transactions based on configured policies when the issuer host is unavailable. STIP uses spending limits, risk assessments, and other controls to make these decisions.

PIN Verification

STIP can verify PINs for debit transactions when the issuer host is unavailable. This allows PIN-based transactions to continue processing during outages, maintaining customer access to their accounts.

PIN verification requirements

PIN verification through STIP requires proper PIN block formatting and encryption. The PIN is verified against Visa's PIN verification service, which maintains PIN data for participating issuers.

CVV (Card Verification Value)

STIP can verify the CVV (Card Verification Value) printed on the card. This helps prevent fraud by ensuring the card is physically present during the transaction.

  • CVV verification is available for both credit and debit cards
  • CVV validation helps reduce card-not-present fraud
  • STIP can decline transactions with invalid CVV values

CAM (Card Authentication Method)

CAM provides additional authentication for transactions, particularly for card-present scenarios. STIP can perform CAM validation when the issuer host is unavailable.

CAVV (Cardholder Authentication Verification Value)

CAVV is used for 3D Secure (3DS) authenticated transactions. STIP can validate CAVV values to ensure that transactions authenticated through 3DS are properly processed even during issuer host outages.

3D Secure and CAVV

When cardholders complete 3D Secure authentication, a CAVV is generated. STIP can verify this CAVV to maintain the security benefits of 3DS authentication during stand-in processing.

ASAF (Additional Service Authorization Flag)

ASAF allows issuers to request specific STIP services for individual transactions. By setting ASAF values in the authorization request, issuers can control which STIP services are applied.

  • ASAF provides granular control over STIP behavior
  • Different ASAF values can request different STIP services
  • ASAF must be properly configured in your VisaNet setup

How STIP services work together

These STIP services are designed to work in combination. For example, a transaction might use:

  • General STIP processing for the authorization decision
  • PIN verification for debit authentication
  • CVV validation for card-present fraud prevention
  • CAVV validation for 3DS authenticated transactions

The specific combination of services used depends on your STIP configuration, the transaction type, and the data available in the authorization request.

Configuring STIP services

To use STIP services effectively, you need to:

  • Enable STIP in your VisaNet configuration: Work with your Visa representative to enable the STIP services you need
  • Set spending limits: Configure spending limits that STIP will use for authorization decisions (covered in Part 2 of this guide)
  • Configure risk controls: Set up risk scoring and fraud prevention tools (covered in Part 3)
  • Test your setup: Verify that STIP services work as expected before relying on them in production

Remember: STIP is a safety net, not a replacement for reliable issuer host systems. The goal is to maintain transaction flow during temporary disruptions while protecting both approval rates and fraud performance.

In the next parts of this guide, we'll dive deeper into spending limits (Part 2), risk tools (Part 3), instant declines (Part 4), and advice messages (Part 5). Each builds on these fundamental STIP services.

For help understanding and optimizing your STIP configuration— please contact Payment Authorization Expertise. We can help you configure STIP services to achieve Flawless Transactions. Every Time.

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