Electronic Draft Capture

What Electronic Draft Capture is

Electronic Draft Capture (EDC) is the electronic handling of a card sale: the terminal or point-of-sale system records the transaction details and sends them for processing. Older payment terminology also uses EDC for the terminal or system doing that work. You may see the term in older documentation, equipment descriptions, or processor materials.

A card reader captures transaction information when a customer taps, dips, or swipes a card. The system sends an authorization request, then records the sale for later submission. EDC does not mean that a transaction is already settled or that funds have reached your bank.

EDC describes how card transactions are captured, not a standard fee you should automatically accept.

How the process works

The steps connect authorization, capture, and settlement. Authorization checks the transaction with the cardholder’s bank. Capture records the approved sale for processing. Your system groups captured transactions into a batch, and batch settlement submits that group for payment. The money reaches your business through the settlement process, not simply because the terminal captured the card details.

For example, a restaurant terminal can authorize a card payment during service and include the sale in the end-of-day batch. If the sale is authorized but left out of the batch, approval alone does not complete the payment. Comparing approved transactions with settled batches helps you spot missed sales or duplicate submissions.

What it means for your costs

EDC has no standard fee of its own. Your card costs come from processing the underlying transactions, including interchange, network fees, and your processor’s markup. The term EDC alone does not tell you what rate you pay, who receives a charge, or whether a billed amount is appropriate.

A provider can use EDC to describe equipment, software, or a processing service. If an invoice or statement lists an EDC charge, look for the exact line description, amount, billing frequency, and matching term in your pricing agreement. Treat an unexplained EDC charge as a separate question to resolve, rather than assuming it is a required card-network fee.

Where it appears on your statement

EDC is not a standard card-network fee name, and there is no universal EDC statement line. Your statement is more likely to show transaction counts, processing charges, batch totals, or vendor-specific equipment and service charges. Compare the billed amount with your contract and the transactions or equipment covered by that charge.

Use batch totals to reconcile sales submitted for settlement against your point-of-sale records and bank deposits. A mismatch can point to an omitted batch, a delayed settlement, or a recording error. The term EDC by itself does not identify which issue occurred.

What you can actually change

1. 01
   Reconcile each batch. Compare your point-of-sale totals with batches submitted for settlement and deposits received. Investigate missing or duplicate transactions.
2. 02
   Identify every EDC charge. Record the exact statement label, amount, and billing frequency. Match it to the equipment or service listed in your agreement.
3. 03
   Separate fees from markup. Review card-processing charges by category so you can distinguish network costs from processor markup. EDC alone does not explain a rate.

Frequently asked questions