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Stored Value Programs for
Merchants & Corporations

The Datazoid SVC Merchant Program is similar to our SVC Affinity Group Program. But when we talk about “SVC solutions that transform your business” we’re thinking beyond just a co-branded debit card and gift card. We believe that there are opportunities to utilize stored value debit cards to transform a business by providing new ways to cost effectively market products, expand customer base and increase bottomline profits.

Tthe foundation of this program is made up of two primary card products:

Merchant/Retailer Consumer Card
Merchant/Retailer Gift Card

In addition, some types of Merchants/Retailers may be interested in one or more additional card products:

Travel Money Card
Insurance Claim Card
Membership Card
Money Transfer Card

And as with the Affinity Group, a Merchant/Retailer is also an Employer, and may also be interested in our SVC Employer Program.

We are resellers of an identity verification/authentication tool that has the potential to virtually eliminate all fraud associated with online purchases for items/services — even identify theft. This new service first verifies the “real” identity of the end user or applicant — the purchaser of the item/service — by asking a series of “out of wallet” questions that only the “real and true” person would know. The records that make up the answers to these questions are based upon years of public data and a unique inquiry methodology; the system leverages 20+ billion user records gathered over a 30-year time period.

Once the purchaser’s identity has been verified, each time the purchaser performs an action, his or her identity is authenticated. This service provides the strongest authentication platform in the world. Built using the concept of “Out-of-Band” interactions, the system separates usernames and passwords are sends them to the transaction server via separate channels, never giving a bad actor a chance to initiate a fraudulent transaction. The platform offers many types of authentication methods, with phone-based interaction being the most popular. Additional methodologies include fingerprint readers, iris readers, smart card readers, tokens, and SSL Passwords over a secure Internet connection. The open platform architecture that is used can be seamlessly integrated into any existing computing environment.

The merchant first asks if the purchaser has previously registered with the service. If the answer is “no”, then a short form would be displayed by the merchant requesting that the purchaser provide their name, username, username, postal address, the last four digits of their Social Security Number and a telephone number. The system then searches its data warehouse of public records and displays three multiple-choice questions that are of a personal nature, and that only the “real and true” person can answer. Examples of the questions that might be asked include the following:

1. What is the maiden name of your wife’s mother?
2. When did you purchase your home?
3. Who did you purchase your home from?
4. Verify/select one of the listed addresses that was an address that you previously used, like a PO Box from a previous residence.

If the purchaser answers these questions correctly, his or her identify is “verified” and he or she is now “registered” with the service. The purchaser is then given a PIN.

Next, in order to complete the purchase of the item or service via the Web, a registered user/purchaser would select a form of payment — credit card, E-Check/Web ACH Transaction. Another form would then be displayed requesting that the Purchaser provide his or her username. The service would then place a call to the phone number provided by the purchaser when he or she registered with the service. The Purchaser would be asked to key enter his PIN. If the correct PIN is entered, then the Purchaser can complete the Online transaction.

If the purchaser selected to pay for the item/service using an E-Check and if the purchaser “stole” another person’s bank account information and tried to purchase the item/services as that person, i.e., enter the name of the person who holds the account as the purchaser, he or she would fail the “authentication test” and the transaction/purchase would be denied unless the Purchaser also knew the real account holder’s SSN.

If the purchaser used his own name and SSN to purchase the item/service, he or she would pass the authentication test. However, if the purchaser entered the stolen account number and RTN, then the Web ACH transaction would be rejected (rejection code R03) by the receiving bank since the name of the receiver on the ACH debit transfer, i.e., the purchaser would not match the name of the account holder (i.e., the person whose account # was stolen). So even if the account and the name of the Person are a match as a result of identity theft, the person will still not be able to authenticate that he or she is “really and truly” that person and a transaction/purchase would be denied.

If this same person tries to use a stolen credit card, then AVS will detect that the purchaser does not match the holder of the stolen credit card. And if the purchaser tries to use the stolen credit card using the name of the cardholder, then he or she will not be able to pass the authentication test and the transaction will be denied.

This 2-step registration/transaction authentication process will eliminate virtually all fraud, including most identity theft associated with E-Commerce applications.

Datazoid Card Products for Merchants and Corporations

Merchant/Retailer Consumer Card — This card is a Consumer Card that bears the name of a Merchant/Retailer and is marketed by them via their own marketing channels. The card can create a new revenue stream for the Merchant/Retailer as we offer a share of cardholder fees to participating merchants (see the discussion of Affinity Group Consumer Cards below).

When used as part of a well-executed marketing plan, this card can actually contribute to increased sales and profits by offering consumers a more convenient vehicle for the purchase of goods and services. This card can be linked to a reward/loyalty program, encouraging card use. And if enough of these cards are sold as part of a program, it may be possible to avoid Merchant/Retailer Association and Network fees when the card is accepted at a participating locations.

Co-branding can increase revenues, grow your market share, build customer loyalty, and make a lasting impression around the world. Co-branded debit cards strengthen customer loyalty by offering a value-added incentive to buy your company's product or service.

Merchant/Retailer Gift Card — This variation of our Gift Card includes the name of the Merchant/Retailer on the card and is attractive to consumers , since the card can be used anywhere the card association brand is accepted, not just the Merchant’s location. This card further enhances the brand recognition of the Merchant/Retailer.

Travel Money Card — This is type of Consumer Card whose target market is the traveler who has previously purchased Traveler’s Checks. Recently, exchanging Traveler’s Checks for local currency has become more difficult. In fact, this exchange can often result in a lower exchange rate than that for cash ($US). Making matters worse, some merchants abroad will no longer accept Traveler’s Checks, as their cost to exchange them for local funds is relatively high.

American Express® has recognized this problem and has recently started marketing a TravelFunds® reloadable debit card. Consumers can purchase the card here in the United States and load it with funds. When traveling abroad, the cardholder can obtain cash from ATM machines that accept the American Express card or can pay for purchases using the card and their signature. This card can also be reloaded if the cardholder finds they need more money than originally anticipated.

Our Travel Money Card is similar to the American Express TravelFunds card except that it bears the brand mark of a major card association. And it can be used anywhere worldwide where the brand is accepted. Cardholders can also withdraw cash from local authorized ATMs in local currency; the associated foreign exchange rate is the wholesale market rate or the government mandated rate in effect one day prior to the date of a particular transaction, plus a small currency exchange fee regulated and charged by the card association.

Our Travel Money Card can be reloaded; however, it has a one-year expiration period and cannot be renewed. By comparison, our other Consumer Cards — which can also be renewed — carry a two-year expiration date.

The Datazoid Digital Money Travel Money Card is distinguished by the phrase “Travel Money” imprinted on the face of the card.

Insurance Claim Card — The Insurance Claim Card is a type of Instant Issue Card and is similar to the Termination Pay Card, except that the card is issued to claimants instead of employees. The goal is the same — to eliminate the issuance and handling of paper checks and replace a claim award check with card loaded with the award value.

Membership Card — Many organizations issue membership cards. The Datazoid Membership Card is a type of Consumer Card that doubles as a membership card, much as one of our Consumer Cards can also be used as a phone card. In addition to providing another revenue stream to the organization, the card can provide opportunities to create rewards/loyalty programs for members. This eliminates the need for the member to keep track of which Merchant/Retailer provides a discount for his membership card, or if she forgets to present the card. The discount or rewards can be automatically applied based on Merchant ID codes.

Money Transfer Card — The Money Transfer Card is a Companion card that allows the primary cardholder to transfer funds to another family member who may be located inside or outside of the country. The primary cardholder purchases a Money Transfer Card for a family member and then sends them the card. The primary cardholder can then periodically transfer funds from their card account to the account of the family member, via the Web or using our convenient phone-based Interactive Voice Recognition Unit (IVRU) system. The family member then withdraws cash in local currency from an authorized ATM. The fees for this transfer of funds are often lower than those offered by companies like Western Union, which utilize a process that does not involve debit cards. And our card-based system is more convenient for the primary cardholder, since the transfer of funds from one account to another can be initiated from the convenience of their home and doesn’t require a visit to a local money transfer office.

Want to Learn More About Our SVC Programs?

For more information about our SVC Programs and Reseller Opportunities, you can contact David Schnepp via our Contact Form, or call him at 310-345-7412.



Account Access:
Employers
Marketing Partners
Resellers

Frequently Asked Questions:

What is a Stored Value Card?
How does a payroll card work?
How do I manage my accounts?
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Datazoid Stored Value Cards are marketed by Datazoid Enterprises, LLC Series B dba Datazoid Financial Services (DFS), a Delaware Series Limited Liability Company. Read more About Us...

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