Interbank National Authorization System (INAS)

  

Categories: Banking, Regulations

See: Interbank. See: Interbank Network for Electronic Transfer - INET.

MasterCard is one of the big credit card companies. It uses a network of banks to facilitate its transactions, a group of finance partners connected by a sophisticated telecommunications network that allows you to use your MasterCard to buy something in Istanbul and have the transaction get processed nearly instantly, even though the card is issued out of St. Louis.

The Interbank National Authorization System, or INAS, is the version of this network that was used by MasterCard International. There was a separate U.S. version called Interbank Network for Electronic Transfer, or INET, used by MasterCard.

The two networks (INAS and INET) have been combined into a single network called Banknet.

Related or Semi-related Video

Finance: What is Electronic Communicatio...12 Views

00:00

Finance a la shmoop what is the electronic communication network or ECN?

00:09

all right it's the computerized and wired version of this for a small fee [Large computer network]

00:15

traders can plug in to a network to trade stocks you know think about it

00:20

like Facebook for stock traders only with less political ranting and fewer

00:24

photographs of babies and freshly cooked meat generally well generally speaking [A pan of meat and potato's appear]

00:29

ECNs are "off-market" that is they aren't really directly part of

00:35

an established trading system like the New York Stock Exchange or Nasdaq or one

00:39

of the other blessed exchanges they connect market makers directly to third

00:44

parties allowing them to trade to their heart's content there aren't a lot of

00:48

actual physical hands at work here most of the limit orders are matched

00:53

electronically the network charges its fee the transaction is processed and [Company share price appears]

00:58

life moves on so think about it like it's 2:00 a.m. on a Saturday and Joe who

01:03

likes to trade in his underwear don't ask us why it's just dying to sell a [Joe sits down at PC]

01:07

hundred shares of coke to Betty who likes to trade while head-banging to Led

01:12

Zep and you know likes to trade with Achmed who's saving money for an air

01:17

conditioner yeah well no sweat so this is perfect for anyone who wants to

01:21

become active in the trading of stocks but hates any kind of physical human [Man waving to woman and woman walks by]

01:26

interaction yeah don't worry the robot rebellion will soon be upon us and ECNs

01:31

will rule the roost

Up Next

Finance: What is a Broker-Dealer?
16 Views

What is a Broker-Dealer? A broker-dealer trades for both its own account and for the accounts of its clients. It acts as a broker when it buys and...

Find other enlightening terms in Shmoop Finance Genius Bar(f)