Payment Security

This section contains the following:

 

Minimising disputes


Keep good records
You can reduce the risk of chargebacks caused by customer disputes by keeping good records.
This will help you to find specific Transactions quickly and easily

 


How to use your Facility


Inform the customerInclude all of the following information in your invoices, contract and promotional materials:
• your name as it will appear on the Cardholder’s statement;
• your business address;
• customer service contact numbers;
• a complete description of goods and services provided;
• a specific delivery time;
• details of your return and cancellation policy;
• details of debit dates for regular instalments such as memberships or subscriptions.

Illegal Transactions
Some Transactions are illegal and if your Facility is used to process them you can find yourself in breach of Australian and international laws or the requirements of a Card Scheme.
For example you must not process any of the following:Online Transactions
• relating to child pornography and other extreme sexual content;
• involving non-consensual and violent sexual content;
• involving the sale of tobacco or prescription pharmaceuticals;
• illegal gambling Transactions.
All Transactions
• that breach Australian or international laws, e.g. the sale of tobacco or liquor to minors;
• other types we tell you are prohibited by the Card Schemes, e.g. by Mastercard under their Business Risk and Mitigation (BRAM) programme and VISA under their Global Brand Protection Program (GBPP).

Non-compliance
If you have been found to have processed Illegal Transactions, the Card Schemes may impose a fine on us. You indemnify us against any loss resulting from any such fine and must reimburse us on demand.
In addition, we could terminate your Facility and list you on a Card Scheme database that could prevent you from operating a merchant facility in the future.
If you have any questions regarding Mastercard, Visa, UnionPay International or eftpos Transactions, please call us on 1800 230 177 or visit our Merchant Services website: commbank.com.au/merchantservices.
If you have any questions regarding AMEX/JCB or Diners Transactions, please contact the relevant scheme

 

 

e-Commerce Transactions

Authorisation limits
We may impose limits on the value of Transactions processed by you over periods of time. If proposed Transactions would result in the applicable limit being exceeded, we may reject the Transactions.
We will use reasonable endeavours to promptly notify you of any changes to those limits.
You are responsible and liable for all Transactions processed on your eCommerce facility. We may temporarily suspend your Facility if we believe it is under malicious attack, and use reasonable endeavours to notify you to resolve prior to re-enabling your Facility.

Your obligations
You must ensure that you:
• have and maintain adequate procedures and systems for processing Payments;
• correctly and promptly credit or debit, as the case may be, the amounts of each Payment to the applicable customer;
• store in a manner approved by us, the original records of each Payment received from a customer for a minimum period of seven years after the last Payment was made;
• have a fair policy for correction of errors and exchange and return of goods and services where a customer makes a complaint, or Customer Claim, or where we or a financial institution becomes involved in the correction of errors;
• promptly notify us if you are unable to apply Payments received by you from customers to accounts you maintain for your customers for any reason;
• notify us as soon as possible if you receive an erroneous Payment that may require a Correction and do all things reasonably necessary to ensure the error is corrected;
• take all reasonably necessary measures to resolve Customer Claims directly with the customers or other persons affected; and
• provide to us all information or documents as we may reasonably require relating to a Correction or customer.

 

 

Forward Delivery Risk (FDR)


If you receive Payments for goods or services prior to their delivery or provision, there is an increased risk that we will need to process a chargeback without Your Account having sufficient funds to cover that chargeback. Because of this increased risk we may (acting reasonably) require you to do one or more of the following at any time:
• provide information about any Payments received where the goods or services are provided at a later time;
• provide information on your Transaction profile;
• provide information for our credit assessment purposes, including periodic credit reviews;
• maintain Your Account for the settlement of Transactions with us;
• provide security (including any additional security) to us to cover any chargebacks and amounts owed by you.You must notify us if there is any change to your business that could increase the:
• amount of sales that are not fulfilled at the time of the Payment transaction; or
• period between date of Payment transaction and delivery or provision of the related goods or services.The requirements contained in this clause

 

 

Chargebacks


*Chargeback means you must reimburse us (and we can debit Your Account) for a Transaction amount that we previously gave you credit for.
We can chargeback a Transaction if:
• it is illegal;
• the Card was not valid at the time of the Transaction;
• the sales receipt has been altered without the Cardholder’s authority;

Terms & conditions
• the Cardholder did not authorise the Transaction;
• it was made using your own Card;
• the Transaction amount is greater than your floor limit and you did not get an authorisation;
• you breached a relevant term of this Agreement;
• authorisation for the Transaction was declined for any reason;
• the Cardholder disputes liability for the Transaction for any reason;
• it represents the refinance of an existing debt or the collection of a dishonoured cheque.
*Only applicable for Mastercard, Visa, UnionPay International and eftpos. For AMEX/JCB and Diners, please refer to the relevant agreement.

Suspending your Facility
In any circumstance where we can terminate this Agreement, we may choose first to suspend your Facility.
If we can’t agree with you on a way to address our reasonable concerns, we can terminate this Agreement immediately.
We can also terminate or suspend part of your Facility (e.g. an online solution or an optional product or feature) in the same way.
We may suspend your Facility without notice if we reasonably consider it necessary to protect our or your interests.
We will not be liable for any cost or loss (whether direct or indirect) that arises where we need to suspend your Facility.

Either of us may terminate this Agreement with notice
Either we or you may terminate this Agreement, by giving the other 30 days’ written notice, specifying a termination date (written notices are taken to be received on the sixth Banking Day after posting).

When we can terminate this Agreement without notice
We can terminate this Agreement immediately if:
• in your application (or at a later time), you give us information which is materially incorrect, misleading, or not fully disclosed;
• we have reason to suspect (acting reasonably) that you have fraudulently processed Transactions (e.g. refunds), or allowed fraudulent Transactions to be processed through your Facility. This includes processing fraudulent Transactions on your own cards or cards of friends or associates;
• we reasonably consider that the risk of chargebacks, fraud or other losses relating to your Facility is too high;
• you cease business, become bankrupt or insolvent, have a receiver appointed, go into liquidation or enter into an arrangement with your creditors;
• you close Your Account without first letting us know;
• you breach any material terms of this Agreement, or you repeatedly breach any term of this Agreement;
• you have breached, or we reasonably suspect you of breaching or being complicit in the breach of any laws in a material respect, including those relating to anti-money laundering, counter-terrorism financing, sanctions, anti-bribery and corruption or privacy;
• it is identified that you have used your Facility through any unapproved channels or products.We will try to give you verbal or written notice before we terminate this Agreement. If we can’t contact you we can terminate immediately.

 

 

Suspending your Facility


In any circumstance where we can terminate this Agreement, we may choose first to suspend your Facility.
If we can’t agree with you on a way to address our reasonable concerns, we can terminate this Agreement immediately.
We can also terminate or suspend part of your Facility (e.g. an online solution or an optional product or feature) in the same way.
We may suspend your Facility without notice if we reasonably consider it necessary to protect our or your interests.
We will not be liable for any cost or loss (whether direct or indirect) that arises where we need to suspend your Facility.

Either of us may terminate this Agreement with notice
Either we or you may terminate this Agreement, by giving the other 30 days’ written notice, specifying a termination date (written notices are taken to be received on the sixth Banking Day after posting).

When we can terminate this Agreement without notice
We can terminate this Agreement immediately if:
• in your application (or at a later time), you give us information which is materially incorrect, misleading, or not fully disclosed;
• we have reason to suspect (acting reasonably) that you have fraudulently processed Transactions (e.g. refunds), or allowed fraudulent Transactions to be processed through your Facility. This includes processing fraudulent Transactions on your own cards or cards of friends or associates;
• we reasonably consider that the risk of chargebacks, fraud or other losses relating to your Facility is too high;
• you cease business, become bankrupt or insolvent, have a receiver appointed, go into liquidation or enter into an arrangement with your creditors;
• you close Your Account without first letting us know;
• you breach any material terms of this Agreement, or you repeatedly breach any term of this Agreement;
• you have breached, or we reasonably suspect you of breaching or being complicit in the breach of any laws in a material respect, including those relating to anti-money laundering, counter-terrorism financing, sanctions, anti-bribery and corruption or privacy;
• it is identified that you have used your Facility through any unapproved channels or products.We will try to give you verbal or written notice before we terminate this Agreement. If we can’t contact you we can terminate immediately.

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