REPORTING AND RECONCILIATION USER MANUAL FOR FINANCIAL INSTITUTIONS

REPORTING AND RECONCILIATION USER MANUAL FOR FINANCIAL INSTITUTIONS VERSION DATE 4/4/2013

Document Version Information Document Version Number: 1.4 Last Updated: 4/4/2013 Document Release Notes Date Version Description of Release Author Number 2/18/2013 1.0 First Draft Original Publication Michael Magro/Bett Wallace 2/19/2011 1.2 Update to clear identify Settlement Bett Wallace Account as the FBO Account 3/28/2013 1.3 Changed Formatting and updated Justin Norblade copy. 4/4/2013 1.4 Minor edits Justin Norblade

Table of Contents Section 1: Introduction to TransCard Reports... 4 1.1. Setting Up Users for Reports... 4 1.2. Standard Reports... 5 1.3. Report Distribution and Formats... 6 1.4. Custom Reports... 6 Section 2: Accounting Reports... 7 2.1. Bank Daily Activity Report... 7 2.1.1. Understanding the Bank Daily Activity Report... 8 2.2. ABA Funds Flow Detail (Prior Day Obligation Fund Flow)... 13 2.2.1. Understanding the ABA Funds Flow/Prior Day Obligation Funds Flow Detail Report 14 2.3. ABA Funds Flow Transactions/Prior Day Obligation Funds Report... 16 2.3.1. Understanding the ABA Fund Flow/Prior Day Obligation Funds Flow Transaction Detail Report... 17 2.4. Card Balance Report... 18 2.4.1. Understanding the Card Balance Report... 19 2.5. Distributed Funds Deposit Reconciliation... 19 2.5.1. Understanding the Distributed Funds Deposit Reconciliation Report... 20 2.6. Helpful Hints for reconciling your programs(s) with TransCard Reports.... 23 2.7. Transaction Flow Diagram... 24 Section 3: Accessing and Using the TransCard Report Service... 26 Section 5: Glossary... 32

Section 1: Introduction to TransCard Reports It is our pleasure to partner with your Financial Institution for your prepaid programs. We have prepared this User Guide in order for you to better understand the reporting services provided by TransCard. The reports provided will assist you in monitoring your prepaid program(s) for various departments within your organization such as Accounting, Compliance, and Administration. All authorized users will be given access to our report server in order view and download reports. Some of the reports can be viewed over a period of time while others can only be viewed daily. For example, every FI should use the Bank Daily Activity Report, generated once each day by TransCard. This key report takes a snap shot of the all your programs activity from the previous day. Other reports categorize or drill into the specifics details of this report. 1.1. Setting Up Users for Reports In order to set-up users with reports, please fill out and submit the attached Reporting User Request Form and submit to your assigned Business Leader or email banksupport@transcard.com. The TransCard Report Service is located at reportservice.transcard.com Reporting User Request Form.xlsx

1.2. Standard Reports The following are standard reports that are provided to Financial Institutions by TransCard for managing Prepaid Programs. # Category Report Name Description 1 Accounting Bank Daily Activity Primary report for accounting to reconcile to FI FBO Account. 2 Accounting ABA Funds Flow Transactions Provides supporting detail behind the Bank Daily Activity Report 3 Accounting ABA Fund Flow Details Provides details by program of ACH movements from FBO to Funding or Settlement Account. 4 Accounting ABA Card Balance Detail Report 5 Accounting Distributed Funds Deposit Reconciliation Cardholder Balance report summarizing cardholder balances at the time the Daily Activity Report is generated. Report provided to FI s using the integrated ACH Clearing process through Jack Henry. Includes effective date as to when cards are actually loaded. 6 KPI MasterCard Activity Provides a summary to total portfolio and then breaks down each program. Active Card, POS, ATM, and load volume are provided. Can be run daily or by date range. 7 KPI Portfolio Statistics Trend 8 KPI ECOS Load Detail Report 9 Inventory In-Activated Card Inventory Provide a 3 month trend of overall performance with last month being month to date information. Provide a summary of loads by User and Branch Location. List of all cards that have been created but not be registered or activated for a FI. 10 Inventory Global Inventory Report Provides a listed of all cards in inventory and by location. This report is incorporated to the FI using the TransCard Inventory Management System. 11 Compliance* CIP Report with Reason Provides a list of pass/fail attempts for registering a card for CIP purposes. 12 Compliance* CTR Report The CTR (Currency Transaction Report) is a report that US Financial Institutions use for each load,

transaction or payment $10,000 over more. 13 Compliance* Excessive Volume Provides a list of cardholder transaction that are greater than 80% of their limit. 14 Compliance* Foreign Transactions Provides a list of cardholder making foreign transactions with cards. 15 Compliance* Multiple Products Report 16 Compliance* Negative Balance Report Provides a listing of cardholder that have multiple accounts for CTR monitoring. Listing of all cardholder with a negative balance and the number of days negative. *For Compliance Reports, please see TransCard s Compliance Kit for further details. 1.3. Report Distribution and Formats TransCard Reports are provided as standard via secure reports website in which User can access as needed. Reports can be exported in the following formats: Excel PDF Tiff CSV XML Reports can also be delivered by email or to SFTP site. This is not standard is subject to cost estimate. 1.4. Custom Reports TransCard continues to develop new reports that are beneficial for our FI partners. However, if you have a need to develop a Customized Reports, please submit a detailed request to your Business Leader so that it can be scoped out with our Report Writer. Prior to development, TransCard will provide a cost estimate and timeline for putting it into production.

Section 2: Accounting Reports For questions about the accounting reports and reconciliation please send an email to recon@transcard.com. You may also contact your Business Leader directly. 2.1. Bank Daily Activity Report The Bank Daily Activity Report is the summary report for all of the daily activity for your financial institution and is the starting point for your balancing process with your FBO account. More detail on the line items in this report are provided in the other reconciliation reports such as: ABAFundsFlowTransactions Report ABAFundsFlowDetails Report ABACardBalanceDetail Report Distributed Funds Deposit Reconciliation Report (used for FI s using JH ACH Clearing solution) The Bank Daily Activity Report includes the beginning cardholder balance for the day which is also equal to the ending balance from yesterday's data. The report is separated into four sections: Bank Initiated Activity Posted to Cardholder Balance, Program Activity Posted to Cardholder Balance (Debits/Credits/InProcess Items), and Reconciliation Items. Bank Daily Activity Report Below is an image of how the Bank Daily Activity Report will appear within the TransCard Report Service:

2.1.1. Understanding the Bank Daily Activity Report Below you will find a detailed explanation of each line item within the Bank Daily Activity Report. 1. Beginning Cardholder Balance: Demonstrates the ending balance on the day before the current report. This is a snapshot of the previous day. Beginning Cardholder Balances are cut off at midnight on the night before the report runs. 2. Bank Initiated Activity Posted to Cardholder Balance: This section includes all bank-initiated activity such as ECOS/API loads, repower loads, and other types of loads, such as Transcard-initiated activity through an ACH.

- ECOS/API These are loads through ECOS or API integration loads from your Financial Institution. - Repower Loads The MasterCard Repower Load Network service from MasterCard that allows customers to add money to their MasterCard prepaid card at participating merchants. The service is currently only available in the United States. TransCard receives one lump sum per card from MasterCard every day as a Repower Load. The funds will take two (2) days to transfer to your FBO account on Repower Loads. - Reward Loads also known as CashBack Now delivers rebates and rewards automatically. This reward system is demonstrated as a Reward Load when money is loaded to a cardholder account. - Other Loads This includes ACH or other loads from TransCard accounting and operations. ACHs can take one to two business days. For today s loads, your financial institution won t see the funds until the next day. Weekend loads take more than two days. Funds sent to your financial institution on Friday won't show up till Monday in your institution s FBO. Monday s funds will be located in the ACH line items. If a person receives a payroll load on Friday, that ACH takes 24 hours to process. - Load Reversals These include ECOS (Easy Card Operating System) unloads, manual load reversals and ACH debits for the cardholder (which are cardholder-generated and set up automatically). Load reversals are performed manually through TransCard customer service, accounting and operations, where TransCard manually receives the funds from your institution and sends them to their destination. - Net Bank Initiated Activity This is the total activity initiated through your institution and posted to the cardholder balance on the previous day. Anything that is a reversal will be subtracted. 3. Program Activity Posted to Cardholder Balance: Demonstrates debits, credits, and in-process transactions. Debits - MasterCard Settlements These are settlements provided by MasterCard for the cardholder (domestic, international, ATM). Repower settlements are sent in money packs, and the money is applied to the card right away, but they will not appear in the FI s FBO account for two days.

o There is also a major difference between PIN and POS settlements. On PIN, the cutoff is 8 am in the morning. On POS, the cutoff is at 2 pm on the previous day before the report. Signature-based transactions are run by settlement date. Transactions classified as tips are added at a later time. - Cardholder Fees These include any fees that TransCard charges the cardholder, including any fees incurred at an ATM. Everything else in the debit section of this report takes one day before TransCard pulls the money from the account, whereas cardholder fees take two days. - Bill Pay Transactions Bill Pay transactions are set up to pull from a card. TransCard pulls the funds and sends them to Payment Data. Anything that is set up as recurring will show up as an ACH debit. Anything that is a one-time charge will show up as Bill Pay. - TransCheck TransChecks allow people to write checks from their cardholder accounts. The funds are deducted directly from the card after pre-authorization. Within the check clearing process, a cardholder is required to call in and request a specific transaction code to activate a check. - ACH Pulls/LoadReverals This is cardholder initiated transaction pull that been approved. - Recovery Bad Debt This section demonstrates recovery from bad debt. If a cardholder account is negative for more than 90 days, TransCard will write off the debt. - Card To Bank Card To Bank transactions occur when a cardholder sends money from their TransCard card to their bank account. The cutoff for Card To Bank transactions is at 3:15 pm EST on the same day. Otherwise, the Card To Bank transaction will not be processed until the next day. - Card To Card Card to Card transactions occur when cardholders transfer funds to another cardholder account. It an instantaneous transaction. However, some funds can pull from multiple banks. In this case, the transaction is instantaneous for the cardholder accounts, but the funds must also process for ACH, which can delay the transfer. - Total Debits This item represents the total of all debits in this section.

Credits (Please note that these are non-ach credits.) - MasterCard Settlement Returns Represents the MasterCard funds file, which is a reverse flow as a credit. A great example of this transaction is when a customer returns an item at a store. - Cardholder Fee Returns This is a rare section that represents fees that are returned to a customer if the customer was inaccurately charged cardholder fees. - Bill Pay Transaction Returns This is similar to a stop-payment on a check that has been authorized but never cashed. An example is when a customer writes a check and then loses a check. - TransCheck Void This section represents any checks that have been voided. - ACH Pull Returns This represents any return on an ACH pull. - Card To Bank Returns This line item is not currently utilized. - Card to Card Returns The debit side of card to card transactions represent funds removed from one card and loaded to another bank. This item represents another bank loading funds to a TransCard card. These transactions take from 24 to 48 hours. - Total Credits Represents the total amount of credits applied in this section. If there is any question about these totals, TransCard can run a special report to see when the card to card happened, from which bank to TransCard and to which FBO. 4. In Process Items: Please be aware that if anything within this section does not reverse out in two days, your financial institution should contact a TransCard Reconciliation group to discuss the pending transactions - Bill Pay Transactions In Process Bill Pay transactions are set up to pull from a card. TransCard pulls the funds and sends to Payment Data. Anything that is set up as recurring will show up as an ACH debit. - TransCheck In Process TransChecks allow people to write checks from their cardholder accounts. The funds are deducted directly from the card. Within the check clearing process, a cardholder is required to call in specific transaction codes.

- Card To Bank In Process Card To Bank transactions occur when a cardholder sends money from their TransCard card to their bank account. The cutoff for Card To Bank transactions is at 3:15 pm EST on the same day. Otherwise, the Card To Bank transaction will not be processed until the next day, and the transaction will be demonstrated within this item. - Pending Items These are the pending items left over if a transaction does not fall under one of the transactions that have not been authorized yet. For example, an ATM transaction that is disputed by the cardholder will come in as an ATM withdrawal reversal. The cardholder balance goes up but TransCard does not have a category for this transaction. TransCard runs a report that comes out every day showing total items in process. These could include cash disbursement payments that were reversed through MasterCard. The most likely example for these transactions would be a POS Purchase Return from MasterCard. If a return is issuing a principal credit or debit, MasterCard pulls money from a card or sends it to a card. This transaction does not include a bank but includes MasterCard to TransCard. o Some key points about pending items: Any pending item is a manual transaction that TransCard will have to initiate. A pending item is also any transaction that TransCard does not already have a line item for. Settlement issues are not removed from the card on the same day that they are settled. When an ACH Credit and a load to a card do not match within the same day, this transaction will be reflected in the Card Balance Report. - Total InProcess Items Demonstrates all of the in process items that still pending. - Previous Day Pending Card to Bank This item demonstrates funds that were transferred on the previous day. It can also show the Card to Bank transactions that have not been processed yet. 5. Ending Cardholder Balance The Ending Cardholder Balance should match the Beginning Cardholder Balance demonstrated on the following day s report. 6. Reconciliation Items Every transaction placed under Reconciliation Items will remain in this section for at least 24 hours. Some financial institutions prefer more detail on these pending items. For these

institutions, their pending items will be reconciled with a manual transfer, and a note about these items will be placed in their Bank Daily Activity Report when it was transferred and processed. In effect, this is a note section instead of a transaction. One final note about the Bank Daily Activity Report: Money gram transactions will take 48 hours to process. This is the only item that will not have a separate report. 2.2. ABA Funds Flow Detail (Prior Day Obligation Fund Flow) The ABA Funds Flow Detail demonstrates the total loads, debits and credits for all of the TransCard accounts for your financial institution on the day that you run the report. Below is an image of how the ABAFunds Flow Detail Report will appear within the TransCard Report Service:

2.2.1. Understanding the ABA Funds Flow/Prior Day Obligation Funds Flow Detail Report Below you will find a detailed explanation of each line item within the Prior Day Obligation Funds Flow Detail Report. 1. Loads - Virtual Terminal Loads ECOS/API These includes API loads from your institution and TransCard s ECOS application.

- Other Loads This includes ACH or other loads from accounting and operations. ACHs can take one to two business days. For today s loads, your institution won t see the funds until the next day. Weekend loads take more than two days. Funds sent to the bank on Friday won't show up till Monday in your FBO. Monday s funds will be located in the ACH line items. If a person receives a payroll load on Friday, that ACH takes 24 hours to process. - Load Reversals These include ECOS (Easy Card Operating System) unloads, manual load reversals and ACH debits for the cardholder (which are cardholder-generated and set up automatically). Load reversals are performed manually through TransCard customer service, accounting and operations, where TransCard manually receives the funds from your institution and send it to its destination. - Total Loads This represents the total number of loads for your financial institution on the previous day. 2. Debits - MasterCard Settlements These are settlements provided by MasterCard for the cardholder (domestic, international, ATM). Repower settlements are sent in money packs, and the money is applied to the card right away, but they will not appear on the cardholder s FBO account for two days. There is also a major difference between PIN and POS settlements. On PIN, the cutoff is 8 am in the morning. On POS, the cutoff is at 2 pm on the previous day before the report. Signature-based transactions are run by settlement date. Transactions classified as tips are added later. - CardHolder Fees These include any fees that TransCard charges the cardholder, including any fees incurred at an ATM. Everything else in the debit section of this report takes one day before TransCard pulls the money from the account, whereas cardholder fees take two days. - Bill Pay Transactions Bill Pay transactions are set up to pull from a card. TransCard pulls the funds and sends the payment data. Anything that is set up as recurring will show up as an ACH debit. Anything that is a one-time charge will show up as Bill Pay. - TransCheck TransChecks allow people to write checks from their cardholder accounts. The funds are deducted directly from the card. Within the check clearing process, a cardholder is required to call in and request a specific transaction code to activate a check.

- ACH Pulls This will be classified under load reversals soon and not pulls, so this line item will be zero for a while. This is cardholder initiated or approved. - Card To Bank Card To Bank transactions occur when a cardholder sends money from their TransCard card to their bank account. The cutoff for Card To Bank transactions is at 3:15 pm EST on the same day. Otherwise, the Card To Bank transaction will not be processed until the next day. - Card To Card Card to Card transactions occur when cardholders transfer funds to another cardholder account. It s also instantaneous. However, some funds can pull from multiple banks. In this case, the transaction is instantaneous for the cardholder accounts, but the funds must also process for ACH, which can delay the transfer. - Total Debits This item represents the total of all debits in this section. 3. Credits - MasterCard Settlement Returns Represents the MasterCard funds file, which is a reverse flow as a credit. A great example of this transaction is when a customer returns an item at a store. - CardHolder Fee Returns This is a rare section that represents fees that are returned to a customer if the customer was inaccurately charged cardholder fees. - Bill Pay Transaction Returns This is similar to a stop-payment on a check that has been authorized but never cashed. An example is when a customer writes a check and then loses a check. 2.3. ABA Funds Flow Transactions/Prior Day Obligation Funds Report The ABA Funds Flow Transaction/Prior Day Obligation Funds Flow Transaction Detail report breaks down specific transactions and expands the details of the Bank Daily Activity Report by client. Transactions are broken down by programs you have established. This report examines cardholder fees, MasterCard settlements, load reversals and bill pay transactions. Users have the ability to expand each line item with the + sign as indicated on the left. MasterCard also demonstrates dispute files on this report. All of these items totaled will match the totals in the Bank Daily Activity Report.

Below is an image of how the Report will appear within the TransCard Report Service: 2.3.1. Understanding the ABA Fund Flow/Prior Day Obligation Funds Flow Transaction Detail Report Below you will find a detailed explanation of each line item within the Prior Day Obligation Funds Flow Transaction Detail Report. 1. Debit - Cardholder Fees: Cardholder fees are any fees that TransCard charges the cardholder, including any fees incurred at an ATM. - MasterCard Settlements: MasterCard settlements are provided by MasterCard for the cardholder (domestic, international, ATM). Repower settlements are sent in money packs, and the money is

2. Credit applied to the card right away, but they will not appear on the cardholder s FBO account for 48 hours. There is also a major difference between PIN and POS settlements. On PIN, the cutoff is 8 am in the morning. On POS, the cutoff is at 2 pm on the previous day before the report. Signature-based transactions are run by settlement date. Transactions classified as tips are added later. - Cardholder Fee Returns: This is a rare section that represents fees that are returned to a customer if the customer was inaccurately charged cardholder fees. - MasterCard Settlement Returns: Represents the MasterCard funds file, which is a reverse flow as a credit. A great example of this transaction is when a customer returns an item at a store. 3. Total: The total of all fees and settlements, less any returns. 2.4. Card Balance Report The Card Balance Report is the report for every card provided within your financial institution s TransCard program(s). If we run this report on the 1 st of the month, the Ending Balance will match the balance on the Bank Daily Activity Report. Your bank can export and sort the Card Balance Report by different programs and balances. This is especially helpful if the card balance doesn't match from the Bank Daily Activity Report. Card Balance Report Below is an image of how the Card Balance Report will appear within the TransCard Report Service:

2.4.1. Understanding the Card Balance Report The Card Balance Report lists your card balances by each specific Account Number and displays: - Account Number The Account Number identifies your financial institution s specific TransCard Program. - Admin Number The Admin Number identifies the unique 7-digit Admin Number on the back of the cardholder s card. - Activation Date Represents the Activation Date for this specific card. - Program Name The specific Program Name for your institution s TransCard program. - Current Balance Demonstrates the current balance on this specific card. 2.5. Distributed Funds Deposit Reconciliation The Distributed Funds Deposit Reconciliation Report may be run daily to determine loads through direct deposit using ACH clearing solution from Jack Henry. If TransCard receives an ACH on the last day of the month, TransCard will send the ACH to your institution as soon as possible. But if your institution receives the ACH on the 1 st of the next month, that ACH will be recorded on the 1 st of that month. This report demonstrates any ACH that TransCard passes through to your institution. It allows you to view these transactions by certain amounts, program and cards.

Distributed Funds Deposit Reconciliation Report Below is an image of how the Distributed Funds Deposit Reconciliation Report will appear within the TransCard Report Service: 2.5.1. Understanding the Distributed Funds Deposit Reconciliation Report The following is a brief explanation of the Distributed Funds Deposit Reconciliation Report, and most importantly, how to apply the report to the ACH Credits and Debits received in your FBO account: To understand the report, let s take a closer look at a presumed load displayed on a Bank Daily Activity Report that ran for October 12 th of 2012:

Bank Name YOUR BANK Beginning Date Monday, October 12, 2012 Ending Date Monday, October 12, 2012 Prior Day Program Activity Run Time 10/16/2012 7:16 AM 0 Beginning Cardholder Balance Posted Activity Transaction Count Dollar Value Bank Initiated Activity Posted to Cardholder Balance Virtual Terminal Loads 0 0 Repower Loads 0 $0.00 Other Loads 1 $1,019.89 Load Reversals 0 0 Net Bank Initiated Activity 1 $1,019.89 Notice that Other Loads includes one item that totals $1,019.89. By reviewing the Distributed Funds Deposit Reconciliation Report you will be able to understand what Other Loads consists of. Take a look at the Distributed Funds Deposit Reconciliation Report on October 10 th of 2012. Distributed Funds Deposit Reconciliation Bank Code YOUR BANK Your Bank Name Account Admin Number Numbe r Report Date Amount Wednesday, October 10, 2012 Typ e Receive Date Effective Date Load Date 1234567891 #### $1,019.8 CR 10/10/201 10/12/201 10/12/201 Date 10/10/201 2 Tim 10:17 e

0 9 2 2 2 Program Total Amount $1,019.8 9 Total Amoun t $1,019.8 9 This report contains details for transfers from the ACH processor for the FBO Move entries in your FBO account. The amounts on the report do not reflect actual activity on cardholder cards. The Distributed Funds Deposit Reconciliation Report is designed to show the ACH credits sent from TransCard to your financial institution, including the ACH Withdrawal Pulls each card in your program(s). Pulls from cards usually happen the same day and should not cause an out-of-balance issue. So what does this report mean? The above report runs from 10/10/2012 10/10/2012. It generates a record for all ACHs received. In this example, the card is getting an ACH load for $1,019.89 and the funds will be sent from TransCard (generally in the TransCard FBO MOVE description). Please note the three separate dates distinguished within this transaction: - Receive Date: This is the date the ACH was received and passed through the processor. If the Receive Date reads 10/10, the funds will show up in your institution s FBO on the next business day (in this case, on 10/11). If the Receive Date was 10/11, the funds would arrive in your institution s FBO on 10/12. - - Effective Date: This is the date that this load should be applied to the card account. The client sending the ACH requests the funds to be loaded on 10/12. - - Load Date: This is the actual date the load was applied to the card. o Please note: If TransCard sends multiple ACHs, the Load Dates may be different (for example, one could be sent on 10/12 and another one on 10/15). Your financial institution will still receive the ACH credit for both loads, but the loads for the cards will demonstrate different days. Please refer to the 2 ND example below. This transaction shows a Credit hitting the institution on 10/11 for $200.00. $100.00 would have a load date of 10/12 and the other $100.00 would be loaded on 10/15: Distributed Funds Deposit Reconciliation Bank Code YOUR BANK Report Date Wednesday, October 10, 2012

Account Admin Amount Type Receive Effective Date Load Date Number Number Date 12345678910 #### $100.00 CR 10/10/2012 10/15/2012 10/15/2012 12345678910 #### CR 10/10/2012 10/12/2012 10/12/2012 $100.00 Total $200.00 Amount For this ACH credit, your institution will receive the funds from TransCard on 10/11. The ACHs have an effective load date for 10/12 and 10/15. If you run the Bank Daily Activity Report, on 10/12, a load to the card for $100.00 will be displayed, and on 10/15 another will display for $100.00. Finally, your Distributed Funds Report can include pulls from cards: Distributed Funds Deposit Reconciliation Bank Code YOUR BANK Report Date Wednesday, October 10, 2012 Account Admin Amount Type Receive Effective Date Load Date Number Number Date 12345678910 #### $100.00 CR 10/10/2012 10/12/2012 10/12/2012 12345678910 #### DR 10/10/2012 10/12/2012 10/12/2012 ($10.00) Total $90.00 Amount In your FBO account, you will receive an ACH Credit for $100.00 and an ACH Debit Pull for $10.00. The ACH credit represents funds being loaded to the card on 10/12, and you will carry this item outstanding until the end of the day on 10/12. As for the Withdrawal, there will be a one day delay on the pull. The debit shows up in the Load Reversals section of your Bank Daily Activity Report. 2.6. Helpful Hints for reconciling your programs(s) with TransCard Reports. - Make sure you have accounted for all of your current-day items. This begins with ensuring that the beginning balance matches the previous day balances.

- When balancing an ACH load received, if the load is labeled as FBO MOVE, this is the time to run the Distributed Funds Deposit Reconciliation Report. In addition, if the loads don't match the credits, run the Distributed Funds Deposit Reconciliation Report. - If a transaction appears as an FBO debit, these represent cardholder ACH pulls/withdrawals, and these transactions show up as load reversals on your Bank Daily Activity Report. - Pending Items: If items are still pending after 3 business days, please contact TransCard Accounting at recon@transcard.com - When emailing a question, please include as much information as possible. For example: o o Please include a copy of what you're balancing from a 2-3 day time period. Please include a screen shot of the last 2-3 days of your institution s statement. 2.7. Transaction Flow Diagram

Transaction Flow ACH Transactions MasterCard Settlements PIN cutoff 8 am EST POS cutoff 2 pm EST previous day Money Grams Bill Pay Transactions 48 hours Other Loads Instantaneous 1 2 days or more Card to Card 24 to 48 hours Money applied to card instantly, 48 hours to hit Cardholder FBO account. 3:15 pm EST cutoff MasterCard Repowers Card to Bank Real-time 90 Days TransCheck Virtual Terminal Loads Cardholder Fees Bad Debt Recovery Your Bank s FBO Account

Section 3: Accessing and Using the TransCard Report Service You can access your TransCard Report Service at reportservice.transcard.com 1. Enter the User Name and Password given to you by your TransCard Business Leader/Report Service Manager. 2. On the next screen, choose the Report View option. Your institution will only have access to the Report View option.

3. Next, you have the option to select your report and the date range for your account. Report Examples: 4. In the Select Report field, choose the type of report to run. - CTR Report - Excess Volume Report

- Foreign Transaction Report - Multiple Products Report - Negative Card Balance Report

- ABA Card Balance Detail Report

- Inactivated Card Inventory Report - Portfolio Statistics Trend Report

- CIP Report With Reasons - ECOS Bank Load Details - MasterCard Activity Report

Section 5: Glossary ABA Report Standardized American Banking Association Reports that cannot be altered until they have been exported from the TransCard Report Service. Account Number The Account Number identifies your institution s specific TransCard Program. ACH Automated Clearing House. ACH is the electronic network for financial transactions in the United States. ACH transactions process large volumes of credit and debit transactions in batches. ACH credit transfers include direct deposit payroll and vendor payments. ACH direct debit transfers include consumer bill payments and point-of-purchase (POP) payments. Businesses continue to use ACH online to accept payment, instead of credit or debit cards. ACH Pulls This will be classified under load reversals soon and not pulls, so this line item will be zero for a while. This is cardholder initiated or approved. ACH Pull Returns This represents any return on an ACH pull. Activation Date Represents the Activation Date for a specific card. Admin Number The Admin Number identifies the unique 7-digit Admin Number on the back of the cardholder s card.

Bank Daily Activity Report The summary report for all of the daily activity for your financial institution. All totals on the more detailed, specific reports will match the totals on the Bank Daily Activity Report. This is the starting point for your balancing process. Bank Initiated Activity Posted to Cardholder Balance Includes all bank-initiated activity such as online, virtual-terminal, repower loads, and other types of loads, such as Transcardinitiated activity through an ACH. Beginning Cardholder Balance Demonstrates the ending balance on the day before the current report. Bill Pay Transactions Bill Pay transactions are set up to pull from a card. TransCard pulls the funds and sends them to payment data. Anything that is set up as recurring will show up as an ACH debit. Anything that is a one-time charge will show up as Bill Pay. Bill Pay Transactions InProcess Bill Pay transactions are set up to pull from a card. TransCard pulls the funds and sends the payment data. Anything that is set up as recurring will show up as an ACH debit. Bill Pay Transaction Returns Bill Pay Transaction Returns are similar to a stop-payment on a check that has been authorized but never cashed. An example is when a customer writes a check and then loses a check. Card Balance Report The Card Balance Report is the report for every card provided within your institution s TransCard program(s). If we run this report on the 1 st of the month, the Ending Balance will match the balance on the Bank Daily Activity Report. Cardholder Fees These include any fees that TransCard charges the cardholder, including any fees incurred at an ATM. Cardholder Fee Returns This is a rare section that represents fees that are returned to a customer if the customer was inaccurately charged cardholder fees. Card To Bank Card To Bank transactions occur when a cardholder sends money from their TransCard card to their bank account. The cutoff for Card To Bank transactions is at 3:15 pm EST on the same day. Otherwise, the Card To Bank transaction will not be processed until the next day. Card To Bank InProcess Card To Bank transactions occur when a cardholder sends money from their TransCard card to their bank account. The cutoff for Card To Bank transactions is at 3:15 pm EST on the same day. Otherwise, the Card To Bank transaction will not be processed until the next day, and the transaction will be demonstrated within this item. Card To Card Card to Card transactions occur when cardholders transfer funds to another cardholder account. It is an instantaneous transaction. However, some funds can pull from multiple institutions. In this case, the transaction is instantaneous for the cardholder accounts, but the funds must also process for ACH, which can delay the transfer.

Card to Card Returns The debit side of card to card transactions represent funds removed from one card and loaded to another financial institution. This item represents another bank loading funds to a TransCard card. These transactions take from 24 to 48 hours. Current Balance Demonstrates the current balance on a specific card. Distributed Funds Deposit Reconciliation Report The Distributed Funds Deposit Reconciliation Report runs on the last day of the month. This report demonstrates any ACH that TransCard passes through to your financial institution. It allows you to view these transactions by certain amounts, program and cards. ECOS Easy Card Operating System. All of our financial institutions use our Easy Card Operating System. Some reports tie back to ECOS, telling your bank who actually loaded money on a card. ECOS Reports will only show you the ECOS-initiated transactions that originated in a specific bank branch. Ending Cardholder Balance The Ending Cardholder Balance should match the Beginning Cardholder Balance demonstrated on the following day s report. edō Loads edō interactive delivers advertising with in-store results through card-linked offers that are automatically available on credit cards, debit cards & mobile devices. This reward system is demonstrated as a Reward Load when money is loaded to a cardholder account from edō interactive. FBO Account - FBO is an abbreviation for the phrase "for benefit of." It is used in banking in a variety of situations to indicate that money received by one party is intended for another party. A "for benefit of" instruction is commonly used in wire transfers to clarify who is to receive the funds, and is also used as a notation on third-party checks. Use of FBO in Wire Transfers: FBO is commonly indicated on wire transfers (electronic transfers) of funds from one bank to another. If the receiving bank is not intended as the final recipient of the funds, the sender will provide FBO instructions to indicate the secondary recipient of the funds. FBO Debit If a transaction appears as an FBO debit, these represent cardholder ACH pulls/withdrawals, and these transactions show up as load reversals on your Bank Daily Activity Report. FBO Removed When balancing an ACH load received, if the load is labeled as FBO Removed, it is time to run the Distributed Funds Deposit Reconciliation Report. This report demonstrates any ACH that TransCard passes through to your financial institution and allows you to view these transactions by certain amounts, program and cards. This will explain why an ACH load was removed. Load Reversals These include ECOS (Easy Card Operating System) unloads, manual load reversals and ACH debits for the cardholder (which are cardholder-generated and set up automatically). Load reversals are performed manually through TransCard customer service, accounting and operations, where TransCard manually receives the funds from your financial institution and sends them to their destination. MasterCard Settlements These are settlements provided by MasterCard for the cardholder (domestic, international, ATM). Repower settlements are sent in money packs, and the money is applied to the card right away, but they will not appear on the cardholder s FBO account for two days. There is also a major difference between PIN and POS settlements. On PIN, the

cutoff is 8 am in the morning. On POS, the cutoff is at 2 pm on the previous day before the report. Signature-based transactions are run by settlement date. Transactions classified as tips are added at a later time. MasterCard Settlement Returns Represents the MasterCard funds file, which is a reverse flow as a credit. A great example of this transaction is when a customer returns an item at a store. Money Grams Money gram transactions will take 48 hours to process. This is the only item that will not have a separate report. Net Bank Initiated Activity This is the total activity initiated through your financial institution and posted to the cardholder balance on the previous day. Anything that is a reversal will be subtracted. Other Loads Other Loads include ACH or other loads from TransCard accounting and operations. ACHs can take one to two business days. For today s loads, your financial institution won t see the funds until the next day. Weekend loads take more than two days. Funds sent to your financial institution on Friday won't show up till Monday in your institution s FBO. Monday s funds will be located in the ACH line items. If a person receives a payroll load on Friday, that ACH takes 24 hours to process. Partner ID Your financial institution s unique Partner ID allows our system to pull your bank s master partner number and display the reports for your institution. Password Your TransCard Business Leader will provide you with a unique password to match your User Name. Pending Items These are the pending items left over if a transaction does not fall under one of the transactions that have not been authorized yet. For example, an ATM transaction that is disputed by the cardholder will come in as an ATM withdrawal reversal. The cardholder balance goes up but TransCard does not have a category for this transaction yet. TransCard runs a report that comes out every day showing total items in process. These could include cash disbursement payments that were reversed through MasterCard. The most likely example for these transactions would be a POS Purchase Return from MasterCard. If a return is issuing a principal credit or debit, MasterCard pulls money from a card or sends it to a card. This transaction does not include a bank but includes MasterCard to TransCard. Some key points about pending items: Any pending item is a manual transaction that TransCard will have to initiate. A pending item is also any transaction that TransCard does not already have a line item for. Settlement issues are not removed from the card on the same day that they are settled. When an ACH Credit and a load to a card do not match within the same day, this transaction will be reflected in the Card Balance Report. If items are still pending after 3 business days, please contact TransCard Accounting at recon@transcard.com Previous Day Pending Card to Bank This item demonstrates funds that were transferred on the previous day. It can also show the Card to Bank transactions that have not been processed yet.

Prior Day Obligation Funds Flow Detail Report Demonstrates the total loads, debits and credits for all of the TransCard accounts through your financial institution. Prior Day Obligation Funds Flow Transaction Detail Report Breaks down specific transactions and expands the details of the Bank Daily Activity Report by client. This report is also known as the Funds Flow Transaction Report. Transactions are broken down by client and company. This report examines cardholder fees, MasterCard settlements, load reversals and bill pay transactions. Program Activity Posted to Cardholder Balance Demonstrates debits, credits, and inprocess transactions. Program Name The specific Program Name for your financial institution s TransCard program. Reconciliation Items Every transaction placed under Reconciliation Items will remain in this section for at least 24 hours. Some banks prefer more detail on these pending items. For these banks, their pending items will be reconciled with a manual transfer, and a note about these items will be placed in their Bank Daily Activity Report when it was transferred and processed. In effect, this is a note section instead of a transaction. Recovery Bad Debt Demonstrates recovery from bad debt. If a cardholder account is negative for more than 90 days, TransCard will write off the debt. This is very rare. Report View Your reporting option on the TransCard Report Service that allows you to choose the specifics for your specific reports. Repower Loads The MasterCard Repower Load Network is a new service from MasterCard that allows customers to add money to their MasterCard prepaid card at participating merchants. The service is currently only available in the United States. TransCard receives one lump sum per card from MasterCard every day as a Repower Load. The funds will take two (2) days to transfer on Repower Loads. TransCard Report Service The TransCard Report Service is located at reportservice.transcard.com. Your TransCard Report Service allows you to choose the specific reports that your financial institution needs for your TransCard program(s). TransCheck TransChecks allow TransCard customers to write checks from their cardholder accounts. The funds are deducted directly from the card. Within the check clearing process, a cardholder is required to call in and request a specific transaction code to activate a check. TransCheck InProcess TransChecks allow people to write checks from their cardholder accounts. The funds are deducted directly from the card. Within the check clearing process, a cardholder is required to call in specific transaction codes. TransCheck Void Represents any TransChecks that have been voided. User Name Your Report Manager User Name generates the specific reports for your financial institution.

Virtual Terminal Loads ECOS/API These includes API loads from your institution and the TransCard ECOS (Easy Card Operating System).