OCT (Original Credit Transaction) is a relatively new payment method for fast and convenient fund Transfers to over a billion eligible Visa, Mastercard or Maestro Cards directly. In most cases it is a typical Refund Transaction, which allows Merchant to return money to the Card, irrespective of the original payment amount.
For example, with Visa, the Original Credit Transaction (OCT) method credits (pushes) funds to a recipient’s Visa account; optionally, Merchant may debit (pull) those funds from his Visa account via Account Funding Transaction (AFT). The OCT method is invoked in the context of a three-method sequence, as follows:
AFT debits (pulls) funds from a sender’s Visa account.
OCT credits (pushes) funds to a recipient’s Visa account.
Optionally, Account Funding Transaction Reversal (AFTR) credits (pushes back) funds to the Merchant’s Visa account (for example, when the OCT authorization is declined).
Similar principles apply to Mastercard MoneySend OCT payment method.