At which stage of transaction processing does Capture occur?

Capture occurs in the third stage of transaction processing. This stage is critical as it involves the collection of transaction data and the initiation of the payment process. During capture, the details of the transaction, such as the amount, merchant information, and consumer payment method, are recorded and transmitted to the payment processor for authorization.

At this point, no funds have yet been transferred; instead, the information is gathered and secured to facilitate the next steps in the transaction flow. This foundational process is essential because it sets the stage for subsequent activities such as authorization and settlement, ensuring that all necessary details are accurately captured for the financial institutions involved in the transaction. Understanding this stage helps appreciate its role in the overall efficiency and security of electronic transactions.