Canadian Vending

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Revised code of conduct for payments ensures merchants benefit from rate cuts


April 14, 2015
By Canadian Vending

Topics

April 14, 2015, Toronto – A revised federal code of conduct
for the payments industry ensures Visa and MasterCard rate cuts will be passed
on to small merchants, the Canadian Federation of Independent Business said in
a news release.

April 14, 2015, Toronto – A revised federal code of conduct
for the payments industry ensures Visa and MasterCard rate cuts will be passed
on to small merchants, the Canadian Federation of Independent Business said in
a news release.

As credit card fee reductions promised by Visa and
MasterCard begin to take effect later this week, Canadian Federation of
Independent Business (CFIB) president Dan Kelly joined Finance Minister Joe
Oliver at the Arts Market in Toronto April 13 to announce new rules that will make
sure small businesses see the promised savings. 

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Minister Oliver introduced the changes to the "Code of
Conduct for the Credit and Debit Card Industry in Canada," which was
created in 2010 after years of CFIB lobbying to improve fairness in the payments
industry.

Key changes include the following:

  •     Merchants will be
    able to opt out of their contracts if their payment processor raises rates or
    doesn't pass on savings from Visa/MasterCard.
  •     The entire code
    will now apply to mobile payments.
  •     Payment processors
    can only auto-renew a contract for up to six months, so fewer merchants will be
    locked in to bad contracts.

"The industry and the federal government are to be
commended for drafting updates to the Code that protect small businesses,"
Kelly said in a news release. "Minister Oliver was a big supporter of an
industry-led solution on reducing interchange fees, and these Code updates will
help ensure those savings are passed on to merchants."

The new code also requires fees and contract terms to be
disclosed more clearly and includes a dispute resolution process.

"CFIB will continue to monitor the payments industry closely
to ensure that all savings from rate reductions are passed along, and that the
dispute mechanism works as it should," he said. "We're very
encouraged that the Code continues to evolve with the latest industry
developments to make certain that merchants are treated fairly."

April
14, 2015, Toronto – A revised federal code of conduct for the payments
industry ensures Visa and MasterCard rate cuts will be passed on to
small merchants, the Canadian Federation of Independent Business said in
a news release.

As credit card fee reductions promised by Visa and MasterCard
begin to take effect later this week, Canadian Federation of Independent
Business (CFIB) president Dan Kelly joined Finance Minister Joe Oliver
at the Arts Market in Toronto April 13 to announce new rules that will
make sure small businesses see the promised savings.

Minister
Oliver introduced the changes to the "Code of Conduct for the Credit and
Debit Card Industry in Canada," which was created in 2010 after years
of CFIB lobbying to improve fairness in the payments industry.

Key changes include the following:

  • Merchants will be able to opt out of their contracts if their
    payment processor raises rates or doesn't pass on savings from
    Visa/MasterCard.
  • The entire code will now apply to mobile payments.
  • Payment processors can only auto-renew a contract for up to six months, so fewer merchants will be locked in to bad contracts.

"The industry and the federal government are to be commended for
drafting updates to the Code that protect small businesses," Kelly said
in a news release. "Minister Oliver was a big supporter of an
industry-led solution on reducing interchange fees, and these Code
updates will help ensure those savings are passed on to merchants."

The new code also requires fees and contract terms to be disclosed more clearly and includes a dispute resolution process.

"CFIB
will continue to monitor the payments industry closely to ensure that
all savings from rate reductions are passed along, and that the dispute
mechanism works as it should," he said. "We're very encouraged that the
Code continues to evolve with the latest industry developments to make
certain that merchants are treated fairly."

– See more at:
http://www.canadianpizzamag.com/news/revamped-code-of-conduct-ensures-visa-mastercard-rate-cuts-will-be-passed-on-to-small-merchants-6050#sthash.ds5NpKXU.dpuf

April
14, 2015, Toronto – A revised federal code of conduct for the payments
industry ensures Visa and MasterCard rate cuts will be passed on to
small merchants, the Canadian Federation of Independent Business said in
a news release.

As credit card fee reductions promised by Visa and MasterCard
begin to take effect later this week, Canadian Federation of Independent
Business (CFIB) president Dan Kelly joined Finance Minister Joe Oliver
at the Arts Market in Toronto April 13 to announce new rules that will
make sure small businesses see the promised savings.

Minister
Oliver introduced the changes to the "Code of Conduct for the Credit and
Debit Card Industry in Canada," which was created in 2010 after years
of CFIB lobbying to improve fairness in the payments industry.

Key changes include the following:

  • Merchants will be able to opt out of their contracts if their
    payment processor raises rates or doesn't pass on savings from
    Visa/MasterCard.
  • The entire code will now apply to mobile payments.
  • Payment processors can only auto-renew a contract for up to six months, so fewer merchants will be locked in to bad contracts.

"The industry and the federal government are to be commended for
drafting updates to the Code that protect small businesses," Kelly said
in a news release. "Minister Oliver was a big supporter of an
industry-led solution on reducing interchange fees, and these Code
updates will help ensure those savings are passed on to merchants."

The new code also requires fees and contract terms to be disclosed more clearly and includes a dispute resolution process.

"CFIB
will continue to monitor the payments industry closely to ensure that
all savings from rate reductions are passed along, and that the dispute
mechanism works as it should," he said. "We're very encouraged that the
Code continues to evolve with the latest industry developments to make
certain that merchants are treated fairly."

– See more at:
http://www.canadianpizzamag.com/news/revamped-code-of-conduct-ensures-visa-mastercard-rate-cuts-will-be-passed-on-to-small-merchants-6050#sthash.ds5NpKXU.dpuf