Automated fuel dispenser transactions

An Automated Fuel Dispenser (AFD) is a specialized device designed for the automated dispensing of fuel, commonly found at gas stations.

AFD's facilitate self-service fueling, allowing customers to initiate and complete fuel transactions without the direct assistance of station attendants. These automated systems typically accept various payment methods, including credit and debit cards, enabling customers to conveniently pay for fuel at the pump.

Dependent on the market of the merchant, there are a number of different billing schemes that can be used. They fit into three broad categories:

1. $1 Auth Completion Advice Model
2. Estimated Amount with Confirmation Advice/Estimated Authorization with Confirmation Advice
3. Full upfront payment model

$1 Auth completion advice model

In the $1 authorization completion advice model, when a cardholder initiates a fuel transaction, the system authorizes a nominal amount (often $1) on their payment card to confirm its validity.

This initial authorization verifies that the card is active and has sufficient funds.

Following this, the actual transaction amount is determined based on the volume of fuel dispensed. The system then completes the authorization with the correct transaction amount, ensuring that the cardholder is charged accurately for the fuel they have pumped.

This is the most risky model used by merchants, as the issuer is typically liable for any amount of fuel pumped when the authorization comes in, even if the cardholder has insufficient funds. This amount varies, but is in the range of US $100-300 dependent on cardholder segment and scheme.

Estimated amount with confirmation advice/estimated authorization with confirmation advice

In the estimated amount with confirmation advice model, the fuel dispenser calculates an estimated transaction amount based on the anticipated volume of fuel that the cardholder intends to pump.

The estimated amount is then authorized on the payment card.

After fueling is completed, the dispenser confirms the actual transaction amount, and a confirmation advice is sent to the payment network.

This model aims to provide customers with an upfront estimate, promoting transparency in the transaction. If the transaction goes above the estimated amount, the merchant is typically required to seek an additional authorization on top of the initial estimate, so that the confirmation advice will not be greater than the initial amount.

Full upfront payment model

The full upfront payment model involves cardholders making a complete payment for the anticipated fuel amount before fueling begins.

In this scenario, cardholders either prepay a specific amount or provide payment for an estimated full tank.

This model minimizes the need for subsequent authorizations or confirmations, as the customer has already paid the expected total amount upfront.

Identifying AFD transactions on Banking.live

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You can refer to your card scheme's reference manuals to identify their specific identifiers of AFD transactions.

Mastercard

In most cases AFD transactions begin with a pre-authorization request (0100) message and if the 0100 message is approved, then a pre-authorization completion advice (0120) message follows. The 0120 message identifiers for AFD include:

• “Merchant_Category”: “5542 - Automated Fuel Dispensers” located in the FAST SUMMARY node
• “DE60”: “191” located in the FAST ISO_MSG node

FAST sample messages are available here under AFD transaction and completion.

Mada

For Mada, AFD transactions typically begin with an authorization request (1100) message and if the 1100 message is approved, then a financial advice (1220) message follows.

FAST sample messages are available here under AFD pre-auth transactions.

Visa

For Visa, AFD transactions typically begin with an authorisation request (0100) message and if the 0100 message is approved, then a pre-authorization completion advice (0120) message follows.

FAST sample messages are available here under AFD transaction and completion.