DirectBilling™

Virtual Terminal 2.0

Soft Terminal

• Point-of-Sale Conversion of Checks into ACH Items
• Point-of-Sale Credit Card purchases
• Point-of-Sale Check Verification Utilizing ATM or Direct Verify
• Check or Credit Card Payments (single payments) Over the Phone.
• Check Authorizations Over the Phone

On-line Check

Batch Payment Certification

Transporter

Real-Time Payment Certification

ATM Verify Certification

Direct Recovery

1. Service Bureau. This method provides for data entry to be done by ACH Direct. Items are forwarded to ACH Direct, data is entered, and the Direct Recovery back-end system takes over. In the Service Bureau arrangement, fees are typically provided for by the assessment and partial retention of an NSF fee levied against the consumer.
   
   
2. Internal. Larger merchants would be the typical Internal Direct Recovery user. Strict underwriting guidelines are imposed on Internal Direct Recovery prospective clients, all but eliminating the small mom and pop companies. A client using the Internal method of Direct Recovery, the client performs data entry, with an electronic file delivered to us for processing. Once the file is delivered the entire back-end Direct Recovery system can be used, or portions thereof. Typically, but not always, fees are derived from a per transaction cost basis.

Items or methods comprising the Direct Recovery system

• Consolidated Returns (Optional). This provides for a merchant having multiple locations, and using multiple depository banks, to have all items returned through our sponsor CR bank. This speeds-up the items in which we receive the NSF items, and bypasses their depository bank returned items fees, allowing us to charge a lesser fee and to profit at the same time.
• Web Station (Internal Only). Merchants who choose to perform Internal Direct Recovery can accomplish data entry by the use of our ASP data entry system. This allows for the merchant to connect a MagTek check reader to a PC (as many as they want) and swipe the NSF paper items, where they are transmitted to the Direct Recovery system. This is dome through similar connectivity as the Virtual Terminal.
• Strategic First re-presentment. Once items have been entered into the Direct Recovery system, the first re-presentment is originated on a date that was pre-defined by the client at setup. This pre-defined date might be the next following Friday, or the next 1st or 15th of the month. It can also be ASAP, or delayed by a given number of days after receipt.
• EAMS (Electronic Account Monitoring System). It is very important to thoroughly understand what this is, what it accomplishes, and how it differs from what the competition does.
  
  EAMS uses the very same database that ATM Verify uses, but how it is used is a bit different. EAMS is configured to AUTOMATICALLY "ping" the NSF consumers account on an on-going basis, in an effort to verify funds availability. EAMS is the MOST EFFICIENT SYSTEM AVAILABLE for this task, period.
  
  EAMS monitoring is put into action should a first re-presentment attempt fail. Once the item fails the first attempt it is placed into the EAMS system. Should a positive response be received from the EAMS system on a particular item a debit is originated on that account?
  
  As mentioned, it is extremely important to understand what the competition does to verify funds availability, and why funds availability is important. Funds availability is important because of the simple fact that we only have two attempts to debit an account for a NSF item. Therefore, the more efficient we can be in re-presentment, the more successful Direct Recovery will be, in turn company profits. The competition can choose to verify funds by one method; the placement of a phone call to the consumers' bank asking if there is funds in the account to cover the transaction. Manual phone calls require a great deal of Manual labor, and long distance phone calls. Many RCK processors will claim to make such calls, while reality is that they do not.
  
  
• Strategic Second re-presentment. Should an item not reside within the EAMS database, or should it have expired within the EAMS database, the item would be re-presented on a strategic basis in the same fashion as the first re-presentment. However, the defined rule for the first re-presentment need not be the same as the second re-presentment. In other words, the first re-presentment could take place on a following Friday, while the second re-presentment could take place on the following 1st or 15th of the month.
  
  Secondary collections. All returned check items are eligible for traditional collections through our collections partners. Traditional collections take place on items that have been forwarded to our partners via a data interface we have created with them. This allows for the automated flow of returned item data to be exchanged. Merchants receive 100% of the face value for items collected. No percentage is retained. The merchant is given two choices for the level of aggressiveness for traditional collections. Level 1 is to treat the NSF writer with "kid gloves." Level 2 is more aggressive, and can include participation of an attorney network for the recovery of returned items.
  
  
• Reporting. All the Direct Recovery reporting is delivered via the internet. The reporting can be parsed by region and individual location. Item status includes, and may be parsed by Item Received, Pending status', EAMS, Traditional Collections, and funded. Reporting is available anywhere an internet connection is available, and contains user security features and settings. The report viewing is Operating System independent, allowing any type computer to access reports. The reports are also exportable to pdf, Word, RTF, Crystal, and Excel formats.