Thursday, September 15, 2011

More Deceptive Practices to Watch Out For

If you are not aware by now from reading this blog the credit card processing industry is one of the most deceptive. Most of the time  "what you see"  is not "what you get". In this article Phil Hinke describes some more of those very deceptive practices among sales people in the industry and how they hurt merchants:

I have seen merchants deceived on the actual discount rate they received. I have seen merchants deceived on the "terms and conditions." I have even seen a “1” in the discount rate on the merchant application mysterious change to a “7” after the merchant had signed the agreement. 

Most processors will attempt to lock you into a contract because they have hidden fees they simply don't want you to know about. They also have statements that are impossible to understand because they want to keep you in the dark. Make sure to stay clear of those problems so if something does arise you can leave without penalty.

Monday, September 5, 2011

MasterCard releases 5 Yr Plan for EMV in Australia

MasterCard has announced a new five-year plan designed to change how payments work in Australia and around the world :

By October 2011, all new and reissued MasterCard cards will be EMV enabled, 
and by 2013, all cards and payment terminals will need to be EMV capable.

All ATMS must be EMV capable by the end of 2015.
By October 2012, all MasterCards will be PayPass enabled, 
and several new merchants in certain retail categories must be able to accept these contactless payments – these include taxis, newsagents, bookstores, convenience stores, supermarkets, service stations, fast food restaurants, cafes, bars and cinemas.

By 2012, MasterCard debit holders will be able to take cash-out after purchasing goods through a retailer.
"This is a reaction to the increased competitive ambition by EFTPOS. At the moment, the EFTPOS cards have an advantage because they can be used for cash out, and are closing the gap with their own offering."

By April 2013, online merchants must provide MasterCard SecureCode authentication or the equivalent for all transactions over $200, the company announced.

By April 2014, all existing cards must have PayPass, and all merchants in those categories must be able to accept PayPass payments.

The move highlights the growth of contactless and mobile payments. 
Meanwhile, the Wall Street Journal has reported Google is teaming up with MasterCard to produce a new product that will allow users with NFC-enabled Android handsets to make payments with their phones. The program will allow Citigroup-issued card holders to pay for purchases by using contactless terminals at retailers.