Keeping Operation Critical Alive

Transcription

1 Keeping Operation Critical Alive ELECTRONIC PAYMENTS AND IT S REGULATORY ENVIRONMENT PRESENTED BY LACEY KUHLMANN VP OF BUSINESS DEVELOPMENT

2 This material is not intended to provide any warranties or legal advice and is intended for educational purposes only.

3 Agenda The Big Questions in the Room What Is Operation Critical? Your Payment Processor Is A Critical Partner How the CFPB > BCFP Plays A Role In Electronic Payments Make Sure You re Proactive How To Protect Your Company From Loosing Control of Operation Critical

4 The Big Questions Who is EFT Network? Why did my payment processor of 11 years just shut down my account? Why did my ACH processor ask for call recordings when we don t even record calls? Why did my payment processor just perform an audit of my website?

5 The Big Questions Why is it so excruciating of a process to sign up with a new payment processor? My question to you. What would your business look like, if your ability to accept electronic payments disappeared today?

6 Operation Critical Your ability to accept Electronic Payments is the Operation Critical that we are going to talk about today. Web Payments Telephone Payments Credit Cards/ Debit Cards and ACH transactions. Single and Recurring Web Authorization Language Credit Cards/ Debit Cards and ACH transactions. Single & Recurring Written Authorization & Recordings

7 A Critical Partnership Trust Mutual Success Mutual Revenue Our responsibility - Know Your Customer Bank and Anti-Money Laundering Regulations

8 A Critical Partnership Advocacy Lobbying Third Party Payment Processors Association Annual Meeting Proprietary Certification Fund Raising Industry Credentials

9 A Critical Partnership Operational Support and Guidance Up Front Assistance in building complaint scripts, authorizations, letters, disclaimers, etc. Web Screen Shots Letters Single & Recurring Authorizations Call Scripts Single & Recurring Authorization Language Audits Annually or at Random They are for your protection Chargebacks, Returns, & Unauthorized Disputes - Evidence

10 CFPB > BCFP vs. Intercept Chain Of Events Intercept had a PayDay Lending Client Intercept found that the PayDay lending client had too many returns Intercept Terminated relationship with the PayDay Lender CFPB Performed Audit At Intercept, years later Found PayDay Lender At the time of processing with Intercept did not have the proper payment authorizations in place.

11 CFPB > BCFP vs. Intercept In the suit filed in federal district court, the CFPB alleges that Intercept turned a blind eye to blatant warning signs of potential fraud or lawbreaking by its clients. These include actions by federal and state authorities, and sky-high rates of returned payments because of unauthorized withdrawals, insufficient funds, or invalid or closed accounts. In its suit, the CFPB seeks to put an end to unlawful practices by Intercept, Smith, and Dresser, obtain relief for consumers, and impose penalties.

12 CFPB > BCFP vs. Intercept The CFPB alleges that Intercept, Smith, and Dresser violated the Dodd-Frank Wall Street Reform and Consumer Protection Act s prohibition against unfair acts and practices by processing payments for clients without adequately investigating, monitoring, or responding to red flags that indicated some clients were breaking the law or deceiving customers. The Bureau s complaint is not a finding or ruling that the defendants have actually violated the law. Dismissed in 2017, thanks to efforts on part by efforts made by the TPPPA and members

13 ACTIONABLE STRATEGIES REDUNDANCY STABILITY BACKUP!

14 Being Proactive Is your payment processing partner engaging with your on a frequent basis? Has your processor helped you make sure you are compliant with the card network or NACHA rules? What about the related laws? Are they actually hitting the streets and advocating for you and your business/industry? Are they being proactive in protecting your interests with upcoming rules & regulations? Do they understand the critical nature of electronic payments in your business?

15 Questions? For more information or questions EFT Network, Inc. Lacey Kuhlmann x693