The answer to these problems is the implementation of a new, innovative platform, that based on Nexum coin (NXT).

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Darlene Owen
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3 Project resume A new era of high risk merchant account The answer to these problems is the implementation of a new, innovative platform, that based on Nexum coin (NXT). We are developing a platform, that changes the payment gateway industry. For the future with possibility to easily get a merchant account which will be easy to apply for, low fees and no more fraudulent chargebacks. Concept of Nexumpay Platform - An opportunity to allow easy selling of products which are considered high risk business. - The key distinction between Nexumpay and other old school high-risk merchant account provider is our focus to make the whole process smoother, safer and cheaper for both merchants and their customers. Page!3

4 The main event isn't bitcoin. It's using the blockchain to disrupt other industries and Wall Street. - Patrick M. Byrne High-Risk Businesses Market Value 2.8 Trillion High-Risk Businesses type chat sites Airlines or airplane charters Auctions Automotive brokers Bankruptcy attorneys Casinos, gambling or gaming Cigarettes, e-cigarettes, or vape shops Coins, collectible currency, or autographed collectibles Coupons or rewards-points programs Discount health or medical care programs ebooks (copyrighted material) Electronics Finance brokers, financial consulting, or loan modification services Furniture sellers Horoscopes, astrology or psychic services, fortune tellers Hypnotists or self-hypnosis services International merchants (non-us based) operating in the United States International shipping, cargo, or import/export Investment firms, strategy, or books Life coaching Lingerie sales Modeling or talent agencies Multi-currency sales Multi-level marketing (MLM) sales tactics Music, movie, or software downloads or uploads (i.e., copyrighted digital products) Real estate Replica handbags, watches, wallets, sunglasses, etc. Telemarketing services Travel clubs, services, or agencies Vacation planners Vacation rentals (unless the property is owned by the merchant) Vitamin and supplement sales (i.e., diet pills, prescription pills, health supplements, pharmacy products) VoIP services Our platform is able to shape the global e-commerce markets. Page!4

5 What is High-Risk Business? The first thing to understand about high-risk businesses is that your processor will determine whether you fall into one of their high-risk categories when you apply for a merchant account. Either you re high-risk, or you re not there is no middle ground. Beyond that, it gets complicated as every processor has their own unique guidelines for determining whether you re in the high-risk category. While some business types, such as pornography or drug paraphernalia will almost always be placed in the high-risk group, others may or may not be, depending on your processor. Some merchant services providers have very strict guidelines for determining high-risk status, while others use more relaxed criteria. If you re considering a particular provider, check their website or contact them directly to see if they find your business to be high-risk. How a merchant services provider treats a high-risk business can also vary widely. Many providers, particularly those that try to offer merchant services at the lowest possible prices, simply do not accept any high-risk businesses at all. This helps to reduce their exposure to fraud and keeps costs low for their existing clients. Other providers will allow certain high-risk companies, but will charge you significantly higher rates and fees for your merchant account due to the elevated risk they re accepting by giving you a merchant account. There s also a third category of providers who specialize in placing high-risk businesses. While their rates and fees aren t a good deal for nonhigh-risk merchants, they can often provide a merchant account for high-risk businesses that have been turned down by other providers. Criteria of High-Risk Business While the exact criteria for determining high-risk status vary from one provider to the next, the following factors are usually used to determine whether a business qualifies as high-risk: High chargeback or fraud rate: If your line of business has historically shown a high rate of either chargebacks or outright fraud, you ll probably be deemed high-risk, too. This determination is usually based on the behaviour pattern of your customers, not you personally. Offshore businesses operating in the United States: If your business is headquartered overseas, but you primarily sell to US customers, you might be flagged as high-risk. While the potential for fraud is a strong factor here, lax banking regulations in your home country can also be a determining factor. Products or services of questionable legality: This factor is the one most people associate with high-risk businesses. Distributing pornography or selling drug paraphernalia are the most obvious examples, but there are many others as well. Questionable sales and marketing practices: Is your business the type that s often thought of as a scam? If so, the principle of guilt by association is alive and well, and most providers will label you as a high-risk business. Bad personal credit: While most criteria for determining high-risk status focus on your business, this one focuses on you, the business owner. If, for whatever reason, you have a low personal credit rating, you re more likely to be placed in the high-risk category by some processors. High average ticket sales: If your business routinely accepts unusually high-cost purchases via credit card, you could be considered high-risk. This factor primarily affects businesses such as furniture stores and companies who process a lot of B2B transactions. Page!5

6 Main Problem of High-Risk Merchants If your business falls into a category that almost any processor would classify as high-risk, you re going to want to find a provider that specializes in serving the high-risk community. Unfortunately, there aren t very many merchant services providers that specialize in high-risk accounts and offer top-notch service at fair prices. Fees and Rates for High-Risk Businesses While most non-high-risk businesses have some ability to negotiate the length of their contract terms, the industry average is around three years for the initial term, with an automatic renewal clause that extends it for one-year periods after that. These lengthy contracts have been very unpopular with merchants, and the trend within the industry is moving more toward month-tomonth agreements so you can cancel your account at any time without incurring a penalty. Unfortunately, high-risk merchants don t have much (if any) bargaining power, so you can expect to be stuck with a contract running anywhere from three to five years, again with an automatic renewal clause that extends it beyond that initial time frame. Your contract will also usually include an early termination fee that applies if you close your account before the end of your contract term. If that s not bad enough, you might even have a liquidated damages clause in your contract that raises the price of breaking it even further. While the processing industry is generally moving more toward lower monthly and annual account fees, you won t be so lucky as a high-risk merchant. You can expect that at least some of your recurring fees, particularly your basic monthly account fee, will be higher than what it would be for a non-high-risk business. This is all a reflection of the fact that your processor is taking on additional risk by supporting your merchant account. Higher processing costs are also an unfortunate reality for high-risk merchants. While there is an interchange-plus pricing plan for most businesses, you re far more likely only to be offered a more expensive tiered pricing plan. Even if you are offered an interchange-plus plan, expect to pay both a higher percentage markup and a higher per-transaction charge. While the actual rates will vary widely from one processor to the next, as a very general rule, you can expect to pay close to twice as much as what a comparable non-high-risk business with the same processing volume would pay. If you re offered rates that are even higher than this, you should probably look elsewhere. Another expense you ll have to deal with as a high-risk merchant is a rolling reserve. While this requirement is sometimes also imposed on non-high-risk businesses that are just starting up, they re almost always imposed on high-risk businesses. A rolling reserve is set aside from the proceeds of your sales to cover unexpected expenses such as chargebacks, and as a hedge against you suddenly going out of business. While rolling reserves decrease over time (and eventually go away altogether if your business is successful), they can present serious short-term cash flow problems and even force you out of business if you don t manage them carefully. Page!6

7 Predatory High-Risk Merchant Services Providers As we ve noted above, there are plenty of merchant services providers who claim to serve the high-risk community, but actually charge highly inflated rates and fees to unsuspecting business owners who are desperate to get approved for a merchant account. If you re a high-risk merchant, know in advance that the deck is stacked against you. While some providers will treat you fairly and charge you reasonable fees, there are far more other providers that are looking to take advantage of your plight. It s not always easy to distinguish the reputable high-risk providers from the predatory ones. List of High-Risk Businesses Below is a list of business types that are often considered high-risk. While this list doesn t cover every single possible high-risk business, it does include the categories that are most often regarded as high-risk. Remember that every provider has their own criteria, so while you might be considered a high-risk business by one provider, you might be approved for a regular, non-highrisk account by a different provider. Here are the most common types of high-risk businesses: type chat sites Airlines or airplane charters ALL sexually-oriented or pornographic merchants: (i.e., companion or escort services, adult telephone conversations, adult bookstores, dating services, online adult membership or matchmaker services, adult paraphernalia or toys) Amazon, Yahoo or Google Stores Annual contracts Antiques Attorney referral services Auctions Automotive brokers Bankruptcy attorneys Brokering Business opportunities Casinos, gambling or gaming Check cashing services Cigarettes, e-cigarettes, or vape shops Coins, collectible currency, or autographed collectibles Collection agencies Coupons or rewards-points programs Credit protection, counseling, or debt repair services Debt collection services Discount health or medical care programs Debt consolidation services Drug paraphernalia ebay stores ebooks (copyrighted material) Electronics Page!7

8 Event ticket brokers (unlicensed or non-registered (i.e., Stub Hub-type merchants)) Exporting services (non-us based) Extended warranty companies Fantasy sports websites Federal Firearms License (FFL) dealers Finance brokers, financial consulting, or loan modification services Furniture sellers Indirect financial consulting (i.e., How to Save Money by Lowering Your Electric Bill ) Financial planning, strategy or advising Get rich quick books, programs, etc. High average ticket sales How-To -type websites (i.e., Learn How to Make Money on The Internet ) Horoscopes, astrology or psychic services, fortune tellers Hype products or services Hypnotists or self-hypnosis services International merchants (non-us based) operating in the United States International shipping, cargo, or import/export Investment firms, strategy, or books Life coaching Lingerie sales Lotteries or sweepstakes Magazine sales and subscriptions Mail or telephone order sales Membership organizations (contracts over 12 months) Merchants on the Terminated Merchant File (TMF) or MATCH List Merchants with poor credit Modeling or talent agencies Multi-currency sales Multi-level marketing (MLM) sales tactics Music, movie, or software downloads or uploads (i.e., copyrighted digital products) Non-US citizens doing business in the United States Off-shore corporation establishment services Pawn shops Prepaid calling cards Prepaid debit cards Real estate Replica handbags, watches, wallets, sunglasses, etc. Self-defense, pepper spray, mace, etc. SEO services Social networking sites Sports forecasting or odds-making/betting Telecommunications Telemarketing services Telephone companies Page!8

9 Third-party processing, factoring merchants (i.e., payment processors, vacation rental brokers) Time-shares or time-share advertising Tour operators Travel clubs, services, or agencies Vacation planners Vacation rentals (unless the property is owned by the merchant) Vitamin and supplement sales (i.e., diet pills, prescription pills, health supplements, pharmacy products) VoIP services Weapons of any kind, including guns, knives, stun guns, or ammo. Also includes any parts of weapons (i.e., butts, triggers, magazines, etc.) Our Solution As we discussed above about the issues this 2.8 Trillion dollar market faces, We tends to provide a solution which is easier for business owners to setup and start their sales rights without waiting longer period of time to get approved with hundred of business killing conditions and with low fees. We also tends to make it secure for customers as well by providing a feature we call SSP (secure shopping protocol) which will escrow the payment made by customer for a specific period of time in the initial account review state of the business owner because the harsh truth is that there are a-lot of fake business owner who scam people due to which other honest business owners gets effected. We tends to create a secure payment gateway for both merchants and customers by using blockchain technology. Page!9

Product Guide What is Payment Solutions?

Product Guide What is Payment Solutions? Save money on your business credit card and debit processing with our exclusive merchant services program. We offer the same pricing to smaller merchants that are