CG-15 Information summary box examples—Credit and debit card code

From Financial Consumer Agency of Canada

Over​​view

The following guidance provides examples of information summary boxes, for illustrative purposes, to clearly set out FCAC’s expectations in relation to this requirement.

Who this guidance is for

This guidance applies to payment card network operators (PCNOs) that operate in Canada and their participants including card issuers and acquirers, independent sales organizations (ISOs) and other service providers such as terminal leasing firms (“Participants”).

In this gui​​dance

1. De​tail​s and history

Consulted: Public consultation from March 15, 2016, to April 15, 2016

Effective date: November 13, 2016

2. Back​​ground

The 2015 amendments to Element 1 of the Code of Conduct for the Credit and Debit Card Industry in Canada (the Code) require every new and renewed merchant–acquirer agreement to include a cover page containing an information summary box that provides the key contractual elements in a consolidated fashion, using the templates in Addendum I to the Code​.

Payment Card Network Operators (PCNOs) and their participants, including card issuers and acquirers, independent sales organizations (ISOs) and other service providers such as terminal lessors, are collectively referred to in this guidance as “Participants.” Participants are responsible for ensuring adherence to Code requirements for all contracts entered into or extended after November 13, 2016.

3. Pur​​pose

As part of its collaboration activities with Code stakeholders, it came to the attention of the Financial Consumer Agency of Canada (FCAC) that it would be beneficial for Participants to receive specific guidance on information summary boxes. The following guidance provides examples of information summary boxes, for illustrative purposes, to clearly set out FCAC’s expectations in relation to this requirement.

4. Releva​nt ele​ments of the Code

Elemen​​t 1 – Payment card network rules will increase transparency and disclosure by payment card networks and acquirers to merchants

The payment card networks and their participants will work with merchants, either directly or through merchant associations, to ensure that merchant–acquirer agreements and monthly statements include a sufficient level of detail and are easy to understand.

All merchant–acquirer agreements will include a cover page containing an information summary box that provides key elements of the contract in a consolidated fashion and a fee disclosure box, using the templates in Addendum I.

Acquirers must also disclose all other fees (e.g., monthly minimums, administration fees, etc.) charged to the merchant.

Payment card networks will make all applicable standard interchange rates and acquiring network assessment fees easily available on their websites. In addition, payment card networks will post any upcoming changes to these rates and fees on their websites once they have been provided to acquirers. Payment card network rules will ensure that merchant statements include the following information:

  • the effective merchant discount rateFootnote 1  for each type of payment card from a payment card network that the merchant accepts;
  • interchange rates and, if applicable, all other rates charged to the merchants by the acquirer;
  • the number and volume of transactions for each type of payment transaction;
  • the total amount of fees applicable to each rate; and
  • details of each fee and to which payment card network they relate.

5. Guidance on Inf​ormation Summary Box examples

FCAC has developed examples of information summary boxes to guide the industry, namely:

  • one example of a merchant–acquirer agreement with no related contracts; and
  • two examples of merchant–acquirer agreements with multiple related contracts.

In addition to these examples, Participants can refer to FCAC’s CG-3 Clear language and presentation principles and guidelines for the industry for more information on FCAC’s clear language and presentation principles and examples.

a. Exam​ple #1: Merchant–acquirer agreements with no related contracts—Information Summary Box example

Note: This information summary box example is for illustrative purposes only. Participants should ensure that the disclosure of key information set out in merchant–acquirer agreements with no related contracts is presented in a language that is clear, simple and not misleading. The headings on the left-hand side of the information summary box are provided by the Code and should not be altered. It is expected that the terminology used in the information summary box will be reflected in merchant–acquirer agreements.

The information contained in the right column of the information summary box is intended for illustrative purpose only and DOES NOT purport to represent all of the information that is relevant to a merchant’s agreement for processing debit and credit card transactions.

​​​Information summary box​
Da​te of contract​

​​Effective start date: June 1, 2015
Length of term: 5 years

Renewal date: June 1, 2020

Acq​​uirer

​ABC Acquirer Inc.
694 Poplar Avenue
Toronto, ON M5X 1V8
Tel: xxx-xxx-xxxx
​www.abca.com​​

Cancellation of contract(s) and applicable penalties

Merchant’s right to cancel

Despite what the contract states on the merchant’s right to cancel, the merchant may cancel the contract without penalty in the event of:

  • a fee increase, except one made in accordance with a pre-determined fee schedule in the contract;
  • the introduction of a new fee; or
  • a reduction in applicable interchange rates that is not fully passed on to the merchant.

To do so, the merchant must exercise this right within 90 days of the date of receiving notice of:

  • the fee increase;
  • the introduction of a new fee; or
  • the reduction on the applicable interchange fees.

By sending notice to the acquirer to this effect to the person responsible for such matters under the contract for such matters.

Other cancellation rights

Describe any other cancellation rights outlined in the contract, including any applicable penalties.

For example, the contract may contain a permission that allows the merchant to cancel the contract at any time by paying:

  • a monthly fee for the remaining months until the expiry of the term: $20.00 X number of months left under the contract; or
  • an administrative fee of $x.xx.

Cancellation procedures, including the person to contact for more information, can be found on page X of the contract, under the heading Cancelling the Contract.

Contract renewals

In the case of a fixed term contract, the term of the contract can only be extended automatically for a maximum period of six months per extension. This is despite any language in the contract to the contrary on renewals or extensions for longer periods.

Notice of non-renewal

Should the merchant not wish to renew the contract at the end of its term or any renewal period, he or she must provide the acquirer with notice of no less than ninety days prior to the end of the term or the renewal period.

In the case of a variable term contract, the contract will expire if the merchant provides notice [insert particulars that describe the process for confirming the expiry of the term of the contract].

Other

Separate terms, conditions and fees apply for point-of-sale terminal equipment. They are listed in the “Information About Payment Terminal” section.

Complaint handling procedures

​Merchants complaints should be addressed to: ABC Acquirer Inc. customer support and can also be accessed through www.abca.com.

ABC Acquirer Inc. customer support
Telephone: xxx-xxx-xxxx

Or write to:
ABC Acquirer Inc.
Manager, Customer Support
694 Poplar Avenue
Toronto, ON M5X 1V8

​Information about payment terminal
  • Terminal leasing company name and contact information:

​ABC Acquirer Inc.
694 Poplar Avenue
Toronto, ON M5X 1V8
Tel: xxx-xxx-xxxx
Email: info@bcacquirerinc.ca
www.abca.com

  • Point-of-sale equipment is:

☐ Rented   ☒ Leased   ☐ Purchased

This provision does not create an obligation for all of these options (buy, lease, or rent) to be offered to a merchant by the Acquirer.

  • Rental/lease rates and other service charges related to the terminal (list all), for example:
    • terminal hardware       $x.xx per terminal
    • table-top terminal        $x.xx
    • portable terminal          $x.xx
    • mobile cellular unit       $x.xx
    • charging base              $x.xx
    • car charger                  $x.xx
  • The contract with the acquirer expires on June 1, 2020. Early termination fees include*:
    • a monthly fee for the remaining months until the expiry of the term: $20.00 X number of months left under the contract; and/or
    • an administrative fees of $x.xx

*Unless certain conditions are met to allow for waiving of the termination fee. For more details, see contract page X.

​Contactless payments acceptance

Contactless payments have been enabled at the point-of-sale for the following payment card networks:

  • PCNO1
  • PCNO2
  • PCNO3
  • PCNO4
Transaction return policy

Card acceptance fees will be applied to transaction returns as follows:

  • debit transactions $x.xx / number of transactions
  • credit transactions $x.xx / number of transactions
​​Code of conduct

​The Code of Conduct can be accessed through the following link:

http://www.fcac-acfc.gc.ca/Eng/forIndustry/publications/lawsReg/Pages/CodeofCo-Codedeco.aspx​

​​Statements

​Merchants can view their statements online by registering at www.abcacquirer.com.

[Describe any applicable fees for the issuance of paper statement.]

b. Exa​m​ple #2: All merchant–acquirer agreements with multiple related contracts—Information Summary Box

Note: This information summary box example is for illustrative purposes only. Participants should ensure that disclosure of key information set out in merchant–acquirer agreements with multiple related contracts is presented in a language that is clear, simple and not misleading. The headings on the left-hand side of the information summary box are provided by the Code and should not be altered. It is expected that the wording used in the information summary box will be reflected in merchant–acquirer agreement.

The information contained in the right column of the information summary box is intended for illustrative purpose only and DOES NOT purport to represent all of the information that is relevant to a merchant’s agreement for processing debit and credit card transactions.

​​​​Information su​mmary box
Date of contra​ct(s)

​​Effective start date: June 1, 2015
Length of term: 5 years

Renewal date: June 1, 2020​​

​Acq​u​irer

​​ABC Acquirer Inc.
694 Poplar Avenue​
Toronto, ON M5X 1V8
Tel: xxx-xxx-xxxx
www.abca.com​

Cancellation of con​tract(s) and applicable penalties

​​Merchant’s right to cancel

Despite what the contract states on the merchant’s right to cancel, the merchant may cancel the contract without penalty in the event of:

  • a fee increase, except one made in accordance with a pre-determined fee schedule in the contract;
  • the introduction of a new fee; or
  • a reduction in applicable interchange rates that is not fully passed on to the merchant.

To do so, the merchant must exercise this right within 90 days of the date of receiving notice of:

  • the fee increase;
  • the introduction of a new fee; or
  • the reduction on the applicable interchange fees.

By sending notice to the acquirer to this effect to the person responsible for such matter under the contract for such matters.

Other cancellation rights

Describe any other cancellation rights outlined in the contract, including any applicable penalties.

For example, the contract may contain a permission that allows the merchant may cancel the contract at any time by paying:

  • a monthly fee for the remaining months until the expiry of the term: $20.00 X number of months left under the contract; or
  • an administrative fee of $x.xx.

Cancellation procedures, including the person to contact for more information, can be found on page X of the contract, under the heading Cancelling the Contract.

Contract renewals

In the case of a fixed term contract, the term of the contract can only be extended automatically for a maximum period of six months per extension. This is despite any language in the contract to the contrary on renewals or extensions for longer periods.

Notice of non-renewal

Should the merchant not wish to renew the contract at the end of its term or any renewal period, he or she must provide the acquirer with notice of no less than ninety days prior to the end of the term or the renewal period.

In the case of a variable term contract, the contract will expire if the merchant provides notice [insert particulars that describe the process for confirming the expiry of the term of the contract].

Other

Separate terms, conditions and fees apply for point-of-sale terminal equipment. They are listed in the “Information About Payment Terminal” section.​

Complaint han​dling proce​dures

​​Merchants complaints should be addressed to: ABC Acquirer Inc. customer support and can also be accessed through www.abca.com.

ABC Acquirer Inc. customer support
Telephone: xxx-xxx-xxxx

Or write to:
ABC Acquirer Inc.​
Manager, Customer Support
694 Poplar Avenue
Toronto, ON M5X 1V8​

​​Debit processing

DEF Payment processor customer support
Telephone: 1 (800) xxx-xxxx
For complete complaint handling procedures: www.defpp.com

Or write to:
DEF Payment processor
Manager, Customer Support
888 Prime Street
Toronto, ON M9L 5B4​

Credit processing

MNO Payment processor customer support
Telephone: 1 (800) xxx-xxxx
For complete complaint handling procedures: www.mnopp.com

Or write to:
MNO Payment processor
Manager, Customer Support
653 Express Drive
Toronto, ON M4D 2H7​

​Information abo​u​t payment terminal 

Terminal leasing company name and contact information:

XYZ Terminal Leasing Company customer support
523 Young Street
Toronto, ON M5K 2G3
Telephone: 1 (800) xxx-xxxx
www.xyztl.com

  • Point-of-sale terminal is:

​​​☒ Rented  ☐ Leased  ☐ Purchased

This provision does not create an obligation for all of these options (buy, lease, or rent) to be offered to a merchant by the Acquirer.

  • Rental/lease rates and other service charges related to the terminal (list all), for example:
    • terminal hardware       $x.xx per terminal
    • table-top terminal        $x.xx
    • portable terminal          $x.xx
    • mobile cellular unit        $x.xx
    • charging base              $x.xx
    • car charger                 $x.xx
  • The contract with the acquirer expires on June 1, 2020. Early termination fees include*:
    • a monthly fee for the remaining months until the expiry of the term: $20.00 X number of months left under the contract; and
    • an administrative fees of $x.xx

*Unless certain conditions are met to allow for waiving of the termination fee. For more details, see contract page X.*​

Contactless payments acceptance

Contactless payments have been enabled at the point-of-sale for the following payment card networks:

  • PCNO1​
  • PCNO2
  • PCNO3
  • PCNO4​​
​Trans​​action return policy​

​Card acceptance fees will be applied to transaction returns as follows:

  • debit transactions $x.xx / number of transactions
  • credit transactions $ x.xx / number of transactions​
​Independent sale​s orga​nization or referral agent (where applicable)​

​Independent sales organization or referral agent contact information:

​​JKL ISO
20 Richard Avenue
Toronto, Ontario
M7H 1V1
Tel. (416) 555-1234​

​JKL ISO acts as a third party and it is not an affiliate, subsidiary or a member of ABC Acquirer Inc. (network and/or equipment. JKL ISO becomes the merchant’s agent for the delivery of transactions to DEF Payment Processor (debit processing company) and MNO Payment processor (credit processing company) via the applicable processing network.​
​Information about credit and debit ca​rd service providers (if different from the acquirer)​

​​Debit

DEF Payment processor
888 Prime Street​
Toronto, ON M9L 5B4
Telephone: 1 (800) xxx-xxxx
www.defpp.com ​

​​Credit

MNO Payment processor
653 Express Drive
Toronto, ON M4D 2H7
Telephone: 1 (800) xxx-xxxx
www.mnopp.com ​

Effective start date of the contract:
June 1, 2015

Length of initial term: 5 years

Effective contract renewal date: June 1, 2020

Merchant’s right to cancel

Despite what the contract states on the merchant’s right to cancel, the merchant may cancel the contract without penalty in the event of:

  • a fee increase, except one made in accordance with a pre-determined fee schedule in the contract;
  • the introduction of a new fee; or
  • a reduction in applicable interchange rates that is not fully passed on to the merchant.

To do so, the merchant must exercise this right within 90 days of the date of receiving notice of:

  • the fee increase;
  • the introduction of a new fee; or
  • the reduction on the applicable interchange fees.

By sending notice to the acquirer to this effect to the person responsible for such matter under the contract for such matters.

Other cancellation rights

Describe any other cancellation rights outlined in the contract, including any applicable penalties.

For example, the contract may contain a permission that allows the merchant may cancel the contract at any time by paying:

  • a monthly fee for the remaining months until the expiry of the term: $20.00 X number of months left under the contract; or
  • an administrative fee of $x.xx.

Cancellation procedures, including the person to contact for more information, can be found on page X of the contract, under the heading Cancelling the Contract.

Contract renewals

In the case of a fixed term contract, the term of the contract can only be extended automatically for a maximum period of six months per extension.  This is despite any language in the contract to the contrary on renewals or extensions for longer periods.

Notice of non-renewal

Should the merchant not wish to renew the contract at the end of its term or any renewal period, he or she must provide the acquirer with notice of no less than ninety days prior to the end of the term or the renewal period.

In the case of a variable term contract, the contract will expire if the merchant provides notice [insert particulars that describe the process for confirming the expiry of the term of the contract].

Other

Separate terms, conditions and fees apply for point-of-sale terminal equipment. They are listed in the “Information About Payment Terminal” section.​

Effective start date of the contract:
June 1, 2015

Length of initial term: 2 years

Effective contract renewal date: June 1, 2017

Merchant’s right to cancel

Despite what the contract states on the merchant’s right to cancel, the merchant may cancel the contract without penalty in the event of:

  • a fee increase, except one made in accordance with a pre-determined fee schedule in the contract;
  • the introduction of a new fee; or
  • a reduction in applicable interchange rates that is not fully passed on to the merchant.

To do so, the merchant must exercise this right within 90 days of the date of receiving notice of:

  • the fee increase;
  • the introduction of a new fee; or
  • the reduction on the applicable interchange fees.

By sending notice to the acquirer to this effect to the person responsible for such matter under the contract for such matters.

Other cancellation rights

Describe any other cancellation rights outlined in the contract, including any applicable penalties.

For example, the contract may contain a permission that allows the merchant may cancel the contract at any time by paying:

  • a monthly fee for the remaining months until the expiry of the term: $20.00 X number of months left under the contract; or
  • an administrative fee of $x.xx.

Cancellation procedures, including the person to contact for more information, can be found on page X of the contract, under the heading Cancelling the Contract.

Contract renewals

In the case of a fixed term contract, the term of the contract can only be extended automatically for a maximum period of six months per extension.  This is despite any language in the contract to the contrary on renewals or extensions for longer periods.

Notice of non-renewal

Should the merchant not wish to renew the contract at the end of its term or any renewal period, he or she must provide the acquirer with notice of no less than ninety days prior to the end of the term or the renewal period.

In the case of a variable term contract, the contract will expire if the merchant provides notice [insert particulars that describe the process for confirming the expiry of the term of the contract].

Other

Separate terms, conditions and fees apply for point-of-sale terminal equipment. They are listed in the “Information About Payment Terminal” section.

Co​de of co​nduct​

​​The Code of Conduct can be access through the following link:​

http://www.fcac-acfc.gc.ca/Eng/forIndustry/publications/lawsReg/Pages/CodeofCo-Codedeco.aspx​​

​Sta​te​ments​

​​Merchants can view their statements online by registering at www.abcacquirer.com.​

[Describe any applicable fess for the issuance of paper statement.]​​

c. Example #3: All merchant–acquir​er agreements with multiple related contracts—Information Summary Box

Note: This information summary box example is for illustrative purposes only. Participants should ensure that disclosure of key information set out in merchant–acquirer agreements with multiple related contracts is presented in a language that is clear, simple and not misleading. The headings on the left-hand side of the information summary box are provided by the Code and should not be altered. It is expected that the wording used in the information summary box will be reflected in merchant–acquirer agreement.

The information contained in the right column of the information summary box is intended for illustrative purpose only and DOES NOT purport to represent all of the information that is relevant to a merchant’s agreement for processing debit and credit card transactions.

​​​Information summary box​ ​ ​
​Date of contract(s)​

​​Effective start date: June 1, 2015
Length of term: 5 years

Renewal date: June 1, 2020​​

​ Acquirer​

​​ABC Acquirer Inc.
694 Poplar Avenue
Toronto, ON M5X 1V8
Tel: xxx-xxx-xxxx
www.abca.com

​Cancellation of contract(s) and applicable penalties​

​​Merchant’s right to cancel

Despite what the contract states on the merchant’s right to cancel, the merchant may cancel the contract without penalty in the event of:

  • a fee increase, except one made in accordance with a pre-determined fee schedule in the contract;
  • the introduction of a new fee; or
  • a reduction in applicable interchange rates that is not fully passed on to the merchant.

To do so, the merchant must exercise this right within 90 days of the date of receiving notice of:

  • the fee increase;
  • the introduction of a new fee; or
  • the reduction on the applicable interchange fees.

By sending notice to the acquirer to this effect to the person responsible for such matter under the contract for such matters.

Other cancellation rights

Describe any other cancellation rights outlined in the contract, including any applicable penalties.

For example, the contract may contain a permission that allows the merchant may cancel the contract at any time by paying:

  • a monthly fee for the remaining months until the expiry of the term: $20.00 X number of months left under the contract; or
  • an administrative fee of $x.xx.

Cancellation procedures, including the person to contact for more information, can be found on page X of the contract, under the heading Cancelling the Contract.

Contract renewals

In the case of a fixed term contract, the term of the contract can only be extended automatically for a maximum period of six months per extension. This is despite any language in the contract to the contrary on renewals or extensions for longer periods.

Notice of non-renewal

Should the merchant not wish to renew the contract at the end of its term or any renewal period, he or she must provide the acquirer with notice of no less than ninety days prior to the end of the term or the renewal period.

In the case of a variable term contract, the contract will expire if the merchant provides notice [insert particulars that describe the process for confirming the expiry of the term of the contract].

Other​

Separate terms, conditions and fees apply for point-of-sale terminal equipment. They are listed in the “Information About Payment Terminal” section.​

​Complaint handling procedures

Merchants complaints should be addressed to: ABC Acquirer Inc. customer support and can also be accessed through www.abca.com.

​​ABC Acquirer Inc. customer support
Telephone: xxx-xxx-xxxx

Or write to:
ABC Acquirer Inc.​
Manager, Customer Support
694 Poplar Avenue
Toronto, ON M5X 1V8

Debit processing

DEF Payment processor customer support
Telephone: 1 (800) xxx-xxxx
For complete complaint procedures: www.defpp.com

Or write to:
DEF Payment processor
Manager, Customer Support
888 Prime Street
Toronto, ON M9L 5B4​​

​​​Credit processing

MNO Payment processor customer support
Telephone: 1 (800) xxx-xxxx
For complete complaint procedures: www.mnopp.com

Or write to:
MNO Payment processor
Manager, Customer Support
653 Express Drive
Toronto, ON M4D 2H7​

Information about payment terminal​

​Terminal leasing company name and contact information:

​DEF Payment processor customer support
888 Prime Street
Toronto, ON M9L 5B4
Telephone: 1 (800) xxx-xxxx
www.defpp.com

  • ​​Point-of-sale terminal is:

​​☐ Rented  ☒ Leased  ☐ Purchased

​This provision does not create an obligation for all of these options (buy, lease, or rent) to be offered to a merchant by the Acquirer.

  • Rental/lease rates and other service charges related to the terminal (list all), for example:
    • terminal hardware       $x.xx per terminal
    • table-top terminal        $x.xx
    • portable terminal          $x.xx
    • mobile cellular unit        $x.xx
    • charging base               $x.xx
    • car charger                  $x.xx
  • The contract with the acquirer expires on June 1, 2020. Early termination fees include*:
    • a monthly fee for the remaining months until the expiry of the term: $20.00 X number of months left under the contract, and
    • an administrative fees of $x.xx

*Unless certain conditions are met to allow for waiving of the termination fee. For more details, see contract page X.

Contactless payments acceptance​

​​Contactless payments have been enabled at the point-of-sale for the following payment card networks:

  • PCNO1​
  • PCNO2
  • PCNO3
  • PCNO4
Transaction return policy​

​​Card acceptance fees will be applied to transaction returns as follows:

  • debit transactions $x.xx / number of transactions
  • credit transactions $ x.xx / number of transactions
Independent sales organization or referral agent (where applicable)​

​Independent sales organization or referral agent contact information:

​​​​JKL ISO
20 Richard Avenue
Toronto, Ontario​
M7H 1V1
Tel. (416) 555-1234

​JKL ISO acts as a third party which is not an affiliate, subsidiary or a member of ABC Acquirer Inc. (network and/or equipment), and becomes a merchant’s agent for the delivery of transactions to DEF Payment Processor (debit processing company) and MNO Payment processor (credit processing company) via the applicable processing network.​
​Information about credit and debit card service providers (if different from the acquirer)​​​​ ​

​​​Debit

DEF Payment processor
888 Prime Street
Toronto, ON M9L 5B4
Telephone: 1 (800) xxx-xxxx
www.defpp.com ​

​​​Credit

MNO Payment processor
653 Express Drive
Toronto, ON M4D 2H7
Telephone: 1 (800) xxx-xxxx
www.mnopp.com​

​Effective start date of the contract:
June 1, 2015

Length of initial term: 5 years

Effective contract renewal date: June 1, 2020

Merchant’s right to cancel

Despite what the contract states on the merchant’s right to cancel, the merchant may cancel the contract without penalty in the event of:

  • a fee increase, except one made in accordance with a pre-determined fee schedule in the contract;
  • the introduction of a new fee; or
  • a reduction in applicable interchange rates that is not fully passed on to the merchant.

To do so, the merchant must exercise this right within 90 days of the date of receiving notice of:

  • the fee increase;
  • the introduction of a new fee; or
  • the reduction on the applicable interchange fees.

By sending notice to the acquirer to this effect to the person responsible for such matter under the contract for such matters.

Other cancellation rights

Describe any other cancellation rights outlined in the contract, including any applicable penalties.

For example, the contract may contain a permission that allows the merchant may cancel the contract at any time by paying:

  • a monthly fee for the remaining months until the expiry of the term: $20.00 X number of months left under the contract; or
  • an administrative fee of $x.xx.

Cancellation procedures, including the person to contact for more information, can be found on page X of the contract, under the heading Cancelling the Contract.

Contract renewals

In the case of a fixed term contract, the term of the contract can only be extended automatically for a maximum period of six months per extension.  This is despite any language in the contract to the contrary on renewals or extensions for longer periods.

Notice of non-renewal

Should the merchant not wish to renew the contract at the end of its term or any renewal period, he or she must provide the acquirer with notice of no less than ninety days prior to the end of the term or the renewal period.

In the case of a variable term contract, the contract will expire if the merchant provides notice [insert particulars that describe the process for confirming the expiry of the term of the contract].

Other

Separate terms, conditions and fees apply for point-of-sale terminal equipment. They are listed in the “Information About Payment Terminal” section.​

Effective start date of the contract:
June 1, 2015

Length of initial term : 2 years

Effective contract renewal date: June 1, 2017

Merchant’s right to cancel

Despite what the contract states on the merchant’s right to cancel, the merchant may cancel the contract without penalty in the event of:

  • a fee increase, except one made in accordance with a pre-determined fee schedule in the contract;
  • the introduction of a new fee; or
  • a reduction in applicable interchange rates that is not fully passed on to the merchant.

To do so, the merchant must exercise this right within 90 days of the date of receiving notice of:

  • the fee increase;
  • the introduction of a new fee; or
  • the reduction on the applicable interchange fees.

By sending notice to the acquirer to this effect to the person responsible for such matter under the contract for such matters.

Other cancellation rights

Describe any other cancellation rights outlined in the contract, including any applicable penalties.

For example, the contract may contain a permission that allows the merchant may cancel the contract at any time by paying:

  • a monthly fee for the remaining months until the expiry of the term: $20.00 X number of months left under the contract; or
  • an administrative fee of $x.xx.

Cancellation procedures, including the person to contact for more information, can be found on page X of the contract, under the heading Cancelling the Contract.

Contract renewals

In the case of a fixed term contract, the term of the contract can only be extended automatically for a maximum period of six months per extension.  This is despite any language in the contract to the contrary on renewals or extensions for longer periods.

Notice of non-renewal

Should the merchant not wish to renew the contract at the end of its term or any renewal period, he or she must provide the acquirer with notice of no less than ninety days prior to the end of the term or the renewal period.

In the case of a variable term contract, the contract will expire if the merchant provides notice [insert particulars that describe the process for confirming the expiry of the term of the contract].

Other

Separate terms, conditions and fees apply for point-of-sale terminal equipment. They are listed in the “Information About Payment Terminal” section.

Code of conduct

​The Code of Conduct can be access through the following link:

http://www.fcac-acfc.gc.ca/Eng/forIndustry/publications/lawsReg/Pages/CodeofCo-Codedeco.aspx​​

Statements​

​Merchants can view their statements online by registering at www.abcacquirer.com.

[Describe any applicable fess for the issuance of paper statement.]​

6. Co​nclusion

This Commissioner’s Guidance is complementary to, and should be read in conjunction with, other FCAC Commissioner’s Guidance:

Each PCNO is responsible for ensuring full compliance with the Code by its Participants. FCAC may follow up with PCNOs to ensure that requirements have been met.

7. Contact us

Financial Consumer Agency of Canada
Supervision and Promotion Branch
427 Laurier Avenue West, 6th floor
Ottawa, ON K1R 1B9

Email: compliance@fcac.gc.ca
Fax: 613-941-1436​​

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