Integration with Shva
Introduction
Shva (שב״א) is the Israeli main switch for card payments. As part of Rapyd's Israel acquiring solution, Rapyd has integrated with Shva as an acquirer, giving merchants domestic Israeli card acquiring alongside Rapyd's global card processing capabilities.
Importante
As a local merchant you can migrate to Rapyd without changing your point of sale equipment including terminals, tablets, and card readers.
Compared with a standard gateway integration, the Shva gateway behaves differently in several important ways:
Advice-based authorization (domestic). Domestic sale transactions are authorized through the Shva switch directly against the issuer. Rapyd, as the acquirer, receives the notifications from Shva as advice messages for a number of payment types. For example:
A preauthorization
A final (pre-authorization completion / capture).
An authorization
A cancellation of a payment
A refund of a payment
Rapyd gateway (e-commerce). Rapyd has its own gateway solution for e-commerce (online) payments over Shva, which is the focus of the Rapyd–Shva offering. For card-present (POS) acceptance, the merchant-facing gateway or POS may currently be a third party that connects to the Shva switch.
Payment closing. Payments are not closed at authorization. A payment is created in ACT status and is closed by Shva within a day or two - T+1 or T+2. See section
Installments. Shva supports installment payments (תשלומים), including the ability to stop an active installment plan that can be done via the Rapyd Client Portal.
Credit payment. Turns a payment into an independent credit line or financing plan and is distinct from a single-payment debit or a fixed installment plan.
Friends club (loyalty). Club / loyalty (מועדון) transactions, which can apply club benefits or discounts; when a discount applies, the payment closes on the after-discount amount.
Domestic vs. international routing. Domestic ILS activity settles through the Shva clearing procedure: the payment closes (CLO) once the clearing is ingested, and settlement then follows on the merchant's agreed cycle. International transactions are processed online, in real time, through the Rapyd platform.
Workflow Diagrams
Diagram 1 demonstrates the standard Rapyd card payment flow through the global schemes.
![[en] Standard Rapyd card payment flow](image/img-c44136c81e07921fc3a66f34a367ac75.png)
Diagram 1 - Standard Rapyd card flow (global card schemes)
Diagram 2 demonstrates the Shva flow, where authorization runs through the Shva switch and Rapyd is notified by advice.
![[en] The Shva flow](image/img-a6dbe1988e2b0fa5b268f7d3dc98f02e.png)
Diagram 2 - Shva flow (Israel domestic acquiring): authorization via the Shva switch; Rapyd receives an Advice
Workflow of Card Present Transactions
End-to-end flow of a Shva transaction on the transaction day (Backend/technical layer):
The customer pays by card at the merchant Point of Sale terminal (POS).
The merchant's payment gateway / POS terminal sends the transaction to the Shva switch.
Shva routes the authorization to the issuer, which approves or declines; the response returns via Shva to the gateway and merchant.
Domestic sale (approved): Shva sends Rapyd an advice message. Rapyd creates the payment with capture = false, status = ACT, expiration of one week (30 days for pre-authorization).
Notes
When a payment is Declined: Rapyd records the payment with status = "err" and failure_code = the issuer decline code. No transaction is created.
Refunds are processed as online messages by Shva.
Reversals: cancellation advice cancels the payment (status = CAN).
International cards: the transaction is processed online through the Rapyd platform, and the response is returned to Shva according to the Shva protocol.
Shva Messages for Payments
Flow | Rapyd action |
|---|---|
Domestic sale- approved | Creates a payment: capture = false, status = ACT, expiration 1 week, original currency. |
Pre-authorization | Creates a payment: status = ACT, expiration 30 days; closed later via clearing. |
Pre-authorization capture | Locates the original pre-authorized payment by its UUID and captures it: capture = true, status = CLO. |
Domestic sale -declined | Payment status = "err", failure_code = issuer decline code |
Refund | Real-time response to Shva, checked against rapyd wallet |
Sale reversal (merchant / STIP) | Cancels the payment (status = CAN). Applicable only to payments at status ACT |
International transaction | Processed by the Rapyd platform; response to Shva per regular protocol |
Payments Workflow - Closing (T+1 / T+2)
A Shva payment is not closed immediately at authorization - it closes within a day or two (T+1 or T+2). On the transaction day (T), the payment is created in ACT status. The Shva clearing data arrivesat T+1 and contains the previous day's transactions; when Rapyd ingests it, the transaction is created, the payment is updated to capture = true and closed (status = CLO), and amounts are converted to ILS based on Bank of Israel (BOI) rates. The funds are then moved to the Rapyd's wallet available balance. Merchants are settled on their agreed cycle (typically once a week or once a month).
Day | Domestic example — 100 ILS purchase |
|---|---|
T | Payment created: 100 ILS, status ACT |
T+1 | Shva clearing file → transaction created (100 ILS); payment closed (CLO) |
T+2 | Funds become available for settlement → the merchant is settled on their agreed cycle (weekly or monthly). |
Domestic vs. international closing time: The two flows close on different timelines. Domestic transactions close on a deferred basis - the payment stays in ACT on T and only moves to CLO when the Shva clearing file is ingested (about T+1). International transactions are processed online through the Rapyd platform and close in real time at authorization - the payment is captured and set to CLO as soon as the online response returns, without waiting for the next-day clearing file.
Post payment processing: International payments on local Points of Sale (for example, via a tourist card) close in T+1. Ecommerce transactions of International payments on local ecommerce sites (for example, via a tourist card) are closed in T+0 via the Shva arena.
Discounts / club transactions: the payment closes the after-discount amount as the paid amount in T+1; discount details are stored per payment.
Installments
Installment payments (תשלומים) is a special payment option of Shva and the Israeli market: a single purchase is split into monthly charges. An installment transaction is identified at authorization by its credit terms. data element (explained below).
The payment is created for the full amount and remains in ACT status until the last installment.
Each installment settles as its own transaction in ILS; the first installment amount can differ from the rest.
The merchant is credited per installment (installment amount minus fee), month by month.
The payment is closed on the last installment. With discounts, closing uses the paid amount on the accumulated net.
Example — 3 × 100 ILS purchase on 20/02:
Date | Event |
|---|---|
20/02 | Payment created: 300 ILS (ACT) |
01/03 | Installment 1: transaction created, 100 ILS → next day: merchant credited 100 ILS minus fee |
01/04 | Installment 2: transaction created, 100 ILS → next day: merchant credited 100 ILS minus fee |
01/05 | Installment 3: transaction created, 100 ILS; payment closed → next day: merchant credited 100 ILS minus fee |
Stopping installments
An active installment payment can be fully or partially stopped by the merchant.
Client Portal:
Nota
The Client Portal stop-installment feature will be availble soon .
Locate the active installment payment in the Client Portal - it shows the current installment information.
Select pending payment and define a full or partial stop. For a partial stop, choose how many installments to stop, counted from the end.
Webhooks
The following webhooks are sent for Shva related payments:
Payment Canceled Webhook - The PAYMENT_CANCELED webhook is sent when a cancelable payment is canceled via the Cancel Payment method.
Payment Captured Webhook - The PAYMENT_CAPTURED webhook is sent when Rapyd captures payment from the customer's card.
Payment Completed Webhook - The PAYMENT_COMPLETED webhook is sent when funds are received from a payment method.
Payment Expired Webhook - The PAYMENT_EXPIRED webhook is sent when Rapyd attempts to collect from the customer's designated payment method, but the customer did not complete the payment within the time allowed.
Payment Failed Webhook - The PAYMENT_FAILED webhook is sent when Rapyd attempts to collect from the customer's designated payment method, and the collection attempt fails.
Payment Reversed Webhook - The PAYMENT_REVERSED webhook is sent when Rapyd reverses a payment. The status is set to REV.
Payment Succeeded Webhook - The PAYMENT_SUCCEEDED webhook is sent when a Create Payment request has been successfully received on the Rapyd platform. The status field indicates the status of the actual payment. In the case of card payments that trigger the 3DS challenge flow, the status will be ACT and the actual result of the payment will not be known until a later point in time.
Payment Updated Webhook - The PAYMENT_UPDATED webhook is sent when a payment is updated using Update Payment.
Payment Error Messages
Refer to Payment Errors for a full list of payment error messages returned by the Rapyd platform, including specific errors related to Shva payments. These errors are provided for reference to help diagnose and handle payment issues.