That assumption proved right for Marc Gardner, President of North American Bancard (NAB). Installing himself in his father's large office space in Troy, Mich., Gardner set up a phone system, brought in a small staff and, with the guidance of a business consultant, opened his own payment processing company in 1992. Gardner established a banking relationship with an acquiring financial institution and educated himself in other aspects of the business.
"My degree was in economics. I was always involved in numbers," says Gardner. "When I was running a satellite sales office for the credit card processing company I saw many problems, and I thought by opening my own company I could correct mistakes I saw them making and turn those problems into successes."
Gardner's vision was to provide a higher quality of customer-care service, a strong sales structure with better sales processes and a higher degree of personal motivation of salespeople.
"My philosophy is to provide businesses, whether they be merchants or ISOs, with structure and processes that allow them to work efficiently and expeditiously with our internal organization," says Gardner. "In order to go from one level to another level, you need systems, processes and infrastructure. Part of infrastructure is people. People make everything work."
Those people differentiate North American Bancard, in Gardner's view.
"The people we employ set our company apart," says Gardner. "We went out and recruited talent - people who had worked at banks and had a tremendous amount of industry and management experience. If a CPA were to come in, he'd see we spend a disproportionate amount of our revenue on information technology. The systems we put in place not only make the salespeople who sell for us more efficient, but they also allow the merchant to obtain information in a more efficient manner."
Those systems didn't come into play from the onset. "We first started our sales channel without an ISO orientation," says Gardner. "It was of much smaller significance. We were a regional player with corporate salespeople and personally held each individual's hand during the sales cycle. We have evolved into a multi-faceted company from a sales-channel approach."
North American Bancard has evolved into a 70-employee turn-key solution for its sales agents. NAB does its own risk management, credit and underwriting. NAB provides its own customer care, and part of that care is publishing account data in a timely fashion.
"Whether it be residuals, leasing, funding, etc., we make it available in real time so salespeople can access it all," says Gardner. "Info is not delayed. It's all posted to the Web site in real time."
Services such as real-time data access and multiple in-house programs keep North American Bancard neck-and-neck with its competitors, in Gardner's opinion. "If you don't see any competition, you live in a dark room," says Gardner. "This industry is very commoditized, and everyone plays close to the hip. But in our industry, competition is good."
North American Bancard competes in the popular small-to-midsize merchant market. Its target: across-the-board retail, e-commerce, lodging and MO/TO.
"My desire is to be able to handle 99% of all applications that come in the door and approve them," says Gardner. "We have what we call auto approval. For merchants not of unusual risk, we provide same-day approval service. If you're in by 9, you're out by 5. We are like a dry cleaner."
NAB has more than 12,000 merchants on its roster. And the hottest product they all enjoy? According to Gardner, it is North American Bancard's human resources.
"When the merchants call, they can talk to someone. When the ISOs call, they can talk to someone," says Gardner. "Our hottest commodity is the delivery of information. We have the correct amount of staff to support all those merchants and agents, from a people standpoint as well as a system standpoint."
Gardner sees this as very appealing for the ISO community. "Most salespeople aren't the best operations people," says Gardner. "They market well, but they don't have the infrastructure to support their merchants. They have the possibility to implode and have an astronomical rate of attrition. You can't have an open back door. North American Bancard closes that back door."
North American Bancard is able to close that back door, in part because of its strategic alliances. It has partnerships with the major equipment vendors. It also has multiple alliances with value-added resellers for software.
North American Bancard works with multiple leasing vendors, too, but with a twist. "We offer a guaranteed leasing program," says Gardner. "Any agent with a North American Bancard merchant number will receive a lease. And we make it easier. We do faxed leasing and agreements. We don't require an original to file the paperwork, and we are presently working on paperless leasing as well."
For its check services, Gardner partners with two vendors. "We use two because we took the best of each and instead of compromising our customers, we offer check presentation over the phone with one and at the point-of-sale with another," he says.
What does North American Bancard look for in a partner? "We look for people to be able to say what they're going to do because we do what we say we're going to do," says Gardner. "Some say they can do everything and fall short. Once it is in writing, we want partners to keep their contractual obligations, whether it's stock, turnaround time or inserting a thank you letter. We want companies that can live up to their service level and provide good economics."
What does North American Bancard look for in an ISO? "We look for people who want to succeed," says Gardner. "There are two types of people; one type is just looking to make money. Our sales agents are the ones who are not focused on just providing a hardware solution. Ours are focused on delivering service and education to their merchants."
What does Gardner look for in himself? "I look at myself as a leader - a leader who is very accessible, not only to the internal infrastructure but to the entire sales force," says Gardner. "When you call my extension, no one screens it. I answer my own phone. I go out on sales calls. I always try to make myself accessible to our company, guiding all departments, steering them through their journey and providing direction."
It goes both ways: Gardner underscores the impact of his people on his leadership.
"One of a leader's biggest challenges, but one that brings the most success, is having a good team," Gardner says. "Just like our country's President is judged by his Cabinet, CEOs are as well. You may have great ideas, but you must have people to implement them. Otherwise, they'll just be thoughts and never become reality."
Recruiting good people has resulted in a unique ISO campaign at North American Bancard. Any sales agent who brings in 30 deals within 60 days will receive a $3,000 signing bonus on the 30th deal submitted. Together with training, education, a dedicated support staff and real-time Web access to portfolios, this program is a bonus for any ISO looking to fatten the revenue calf. "If I were an ISO looking for a new home, there are three components that one needs to evaluate," says Gardner. "Number one, look at the service-level commitment. Number two, what are the economics? Number three, how easy is it to do business with them? Those components need to be one-third, one-third and one-third. North American Bancard prides itself on being able to provide on all three levels, and that is what's fueling our explosive growth."
Gardner sees growth in the industry, particularly with the recent wave of mergers and acquisitions, as another good thing.
"There's great opportunity," says Gardner. "With mergers and acquisitions comes opportunity for our agents to provide merchants with stability. We have been registered for a decade, and we have services, processing and systems to handle growth. We welcome them. Attrition creates opportunity for new merchants to be signed, especially because of the fact that conversions are problematic."
What Gardner does see as challenging to the industry is the class-action suit environment and how these suits ultimately will affect merchants.
"If the suit goes against the associations in favor of the retailers that file, it will prove costly," says Gardner. "Where will they recover their losses from the suit? Will it ultimately affect the merchants with higher rates so those losses can be recouped? The suit is not the issue. Recovery of funds by increased fees is the issue."
On a more personal level, Gardner sees consistency as the biggest challenge facing North American Bancard.
"We see ourselves as one big team, and each component of the team performs," says Gardner. "We have invested so much money in human resources, systems and service. Constantly looking to recruit the optimal sales partners that will drive our growth is the biggest challenge. So many of the salespeople you look to recruit don't live up to their promises, and you spend an awful lot of time and money educating and training only to have promises be broken. Maybe not recruiting, but obtaining the best partnerships with vendors, processors and salespeople is the challenge." From a broader overview, Gardner believes the future of the industry is all about technology.
"Technology will play a greater role for the smaller merchants," says Gardner. "They're not accessing online transaction info via Web sites yet, while the larger merchants are manipulating that data. Technology will make business easier not only for salespeople but for their merchants as well. I see more and more software apps residing in the terminal. But just because it's available doesn't mean it's readily being adopted by merchants. I see more adoption. I see more penetration of multiple apps being absorbed more frequently."
Gardner believes the declining cost of telecommunications is a key portion of the credit card transaction equation. "More and more merchants will be able to get efficiency by obtaining frame relay or dedicated connectivity like the larger merchants," says Gardner. "They'll be able to get quality for better pricing." How will North American Bancard embrace the trend toward technology? "My prediction is that we will be able to add thousands of merchants per month and be able to do it as efficiently as we would if we were only adding one merchant per month," Gardner says. "We will be able to live up to same service-level commitment onboarding thousands of merchants as if we were just onboarding 10."
Credit card processor hiring 1,500 in Troy
by Sven Gustafson | Oakland Business Review
Thursday March 20, 2008, 1:55 AM
A Troy company that provides electronic payment solutions hopes to begin moving more than 100 employees into its new headquarters during the second quarter as part of a $25 million expansion.
North American Bancard Inc., which employs about 250, plans to hire as many as 1,500 workers over the next 12 years, said Marc Gardner, the company's president.
It claims 80,000 customers nationwide, and Gardner said it is adding nearly 4,000 new customers each month.
The company executed a purchase agreement on an existing, 105,000-square-foot building in Troy that it hopes to close on within four weeks.
"North American Bancard is currently going through dynamic and explosive growth due to the fact that we are exceeding customer service expectations on behalf of our current customers in a business environment and space that is very competitive," Gardner said. "We are offering a point of differentiation from our competitors via technology, service and overall a very user-friendly customer experience."
The company offers electronic credit, debit, electronic benefits transfer and gift-card payment solutions to merchants in the retail, B2B, hotel and restaurant, financial and other industries. Formed in 1992, NAB has been growing at more than 50 percent year over year, Gardner said.
The new jobs would span the spectrum from sales and customer support to information technology and software developers, he said. The company told the state the jobs would pay an average weekly salary of $672.
The Michigan Economic Growth Authority March 18 approved a tax credit worth $21.5 million to seal the plans.
Companies such as NAB are able to capitalize on the profusion of electronic payment options, said Amy Smith, president and CEO of The Payments Authority, a Troy-based industry association focused on direct-deposit transactions. Smith was not familiar with the company, but said the rates it offers to merchants appear to be competitive.
"Because there's so many cards out there there's so many more processors needed to be able to process the load," she said.
The MEDC recommended that the company be granted a 12-year, 100 percent employment tax credit, but it came with conditions. In order to realize the full credit, North American Bancard must meet certain job-creation targets during the last five years or forfeit part of the incentive.
The company also received in-kind services from Oakland County economic development officials and two years worth of a foundation-level membership in Troy-based Automation Alley.
The company told the MEDC it also received an incentive offer from Florida valued at $6.5 million. Michigan law requires companies seeking state tax incentives for expansions to first prove that they have considered relocating to other states.
"It's highly competitive and we need to have all the tools in our toolbox to keep expansions like this happening in Michigan and in Oakland County," said Mark Adams, an Oakland senior business development representative who worked with the company.
The company, which has outgrown the 20,000 square-foot office it owns at 969 Chicago Road, is in the process of selecting an architecture firm to help renovate the new facility, said Gardner. He would neither confirm nor deny that the new building was located on Stephenson Highway, where Adams said the company had been looking at vacant buildings.
The company's Chicago Road office would eventually be put up for sale, Gardner said.
Granholm Announces North American Bancard to Expand in Troy, 1,899 New Jobs
March 18, 2008 -- Governor Jennifer M. Granholm today announced North American Bancard Inc. (NAB) is expanding in Troy. The company will invest $25 million to purchase, renovate and outfit a new facility in the city. The project is expected to create 1,500 new jobs at the company and an additional 399 spin-off jobs over the next 12 years. Assistance provided by Michigan Economic Development Corporation helped convince the company to choose Michigan for the expansion over a competing site in Florida.
"North American Bancard is the kind of dynamic company that is helping us transform and diversify our state's economy," Granholm said. "This expansion, and the nearly 2,000 new jobs it will create, is further evidence that we are a great state for companies to grow and do business."
NAB Founder and CEO Marc Gardner praised the state's efforts to recruit and train a high-quality workforce as one of the key reasons the company chose to stay and expand in Michigan.
"Although a financial services company like ours can operate almost anywhere, we put a real premium on the ability to find highly-skilled employees," Gardner said. "We looked all over the country, even much warmer locations, but we have a lot of jobs to fill and the quality and availability of Michigan's workforce was simply hard to beat. The responsiveness of the governor and the MEDC, and Oakland County's help in facilitating membership with Automation Alley, were also key factors in our decision to remain a homegrown Michigan business."
Based on the MEDC's recommendation, the Michigan Economic Growth Authority board today approved a state tax credit valued at $21.5 million over 12 years to win the company's expansion.
To support the project, Oakland County plans to contribute up to $50,000 in federal training dollars under the Workforce Investment Act and provide additional job recruitment services. Automation Alley, a technology business association driving the growth and image of Southeast Michigan's economy through a collaborative culture that focuses on workforce and business development initiatives, will provide additional support through a two-year foundation level membership valued at $30,000.
"When competing for new jobs and investment, our competitive business climate and highly-specialized workforce certainly give us an upper hand," MEDC President and CEO James C. Epolito said. "Together with Oakland County and Automation Alley, we made a strong business case to win this expansion and secure North American Bancard in Troy for years to come."
An economic analysis conducted by the MEDC estimates that increased economic activity created by the expansion will generate more than $691.6 million in personal income for Michigan workers over the life of the tax credit. The North American Bancard Inc. expansion is one of 12 economic development projects the governor announced today. In all, they are expected to create and retain a total of 6,066 Michigan jobs.
"Financial services is one of the fastest growing segments in our Emerging Sectors program," Deputy Oakland County Executive Dennis R. Toffolo said. "The significant investment North American Bancard will make in Troy and the 1,500 jobs that will result speak volumes about our ability to compete with other states in attracting and retaining quality businesses. They could have landed anywhere in the country but they chose to remain here and we're thrilled."
Founded in 1992, North American Bancard Inc. has become a leader in the electronic payments industry. The company's leading credit card e-commerce technology, including point-of-sale equipment and check verification, hardware and software allows its merchant customers to process credit, debit, check, gift card transactions, merchant advances, and ATM placement. Processing more than $5 billion in annual volume on 90,000 active customers nationally, NAB has seen its business double annually for the past three years. NAB's current growth rate estimates will see it doubling its labor force within the next 12 months, supporting in excess of 3500 new customers added each month. This aggressive growth demands larger facilities and an available skilled labor force that can support their continued expansion.
"Automation Alley applauds and supports the MEDC and Oakland County in their efforts to retain and grow North American Bancard in Southeast Michigan," Automation Alley Executive Director Ken Rogers said. "Automation Alley's local community illustrates our desire to welcome the company into Southeast Michigan's technology community from day one. We're pleased that the company has not only chosen to remain in Troy, but that they will expand and create new jobs. Efforts like these bolster the region's economy and move Michigan forward."
In her 2007 State of the State address, Granholm emphasized the importance of creating opportunity in the changing world of the 21st century. Since January 2005, the Governor and the MEDC have announced the creation or retention of more than 226,000 jobs as a result of targeted assistance provided by the MEDC.
The Michigan Economic Development Corporation, a partnership between the state and local communities, promotes smart economic growth by developing strategies and providing services to create and retain good jobs and a high quality of life. For on the Michigan Economic Development Corporation's initiatives and programs, visit the Web site at www.TheMEDC.org.
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North American Bancard Inc. to Deploy MasterCard(R) (Public, NYSE:MA) PayPass(TM) Acceptance Devices Into the US Marketplace
Troy, Michigan, September 15, 2006 -- North American Bancard Inc. (NAB) of Troy, Michigan, a multi-faceted payment solutions provider dedicated to providing the latest technology, today announced that it will deploy thousands of MasterCard PayPass(TM) acceptance devices to all NAB merchants, free of charge.
The Vivotech terminals, which NAB calls "Tap-Here" devices, will afford all of NAB's merchant customers the latest technology in card acceptance. MasterCard PayPass improves the customer experience at the point of sale and improves the merchant's bottom line by speeding consumers through check out lines. The devices are also capable of accepting American Express and Discover cards right out of the box. North American's "Tap-Here" devices are in stock and ready for national deployment to all new and existing customers, free of charge.
"Once again, we are taking the lead in pushing the latest technology out to our merchant customers," says Marc Gardner, President of North American Bancard. "Providing these Vivotech devices will give our merchants a more convenient way to do business with consumers, thereby improving their own profitability. We are excited to offer this technology which fits nicely into our customer-centric philosophy."
"MasterCard is pleased to see the commitment NAB has made to support our rollout this year," says T.J. Sharkey, Group Head, National Accounts, U.S. Commerce Development, MasterCard Worldwide. "Their efforts will create a better buying experience for MasterCard cardholders who frequent their merchants."
MasterCard PayPass is a "contactless" payment feature that provides consumers with a fast and convenient alternative to cash for their everyday small purchases. Consumers simply tap their PayPass-enabled card or device on a specially equipped merchant terminal, eliminating the need to fumble for cash and coins, hand their card over to a clerk or swipe the card. Signatures are not required for PayPass purchases under $25, further speeding customer's transactions. PayPass provides better record keeping than cash.
For further information, or to order a Tap-Here device, contact North American Bancard at 1-877-Tap-Here.
About MasterCard PayPass
MasterCard PayPass is ideal for traditional cash-heavy environments where speed is essential, such as quick serve restaurants, drug stores, gas stations, vending machines, convenience stores, sports arenas, movie theaters, transit systems and parking garages. There are approximately 10 million PayPass cards and devices in the market & approximately 32,000 merchant locations around the world that accept PayPass, including participating 7-Eleven, CVS, McDonald's, Regal Entertainment Group theaters and many others. PayPass is also accepted at numerous National Football League and Major League Baseball stadiums. For more information about MasterCard PayPass and a full list of participating merchants, visit www.mastercard.com/paypass.
About MasterCard Worldwide
MasterCard Worldwide (www.mastercardworldwide.com) advances global commerce by providing a critical economic link between financial institutions, businesses, cardholders and merchants worldwide. As a franchisor, processor and advisor, MasterCard develops and markets payment solutions, processes close to 14 billion payments each year, and provides industry-leading analysis and consulting services to financial institution customers and merchants. Through its family of brands, including MasterCard(R), Maestro(R) and Cirrus(R), MasterCard Worldwide serves consumers and businesses in more than 210 countries and territories.
About North American Bancard (www.nabancard.com)
Headquartered in Troy, Michigan, North American Bancard is a multi-faceted payment solutions provider dedicated to providing the latest technology, as well as committing to the highest service levels. As a registered MSP/ISO of HSBC Bank, National Association, Buffalo, New York. Since 1992, North American Bancard has provided its more than 50,000 clients with a full suite of products and services including Credit, Debit, EBT, Check Conversion and Guarantee, ATM, Gift and Loyalty Cards and Online Payment Gateway solutions.
North American Bancard Places Big Order with VeriFone; Leading MSP/ISO Purchases Top of the Line Products to Enhance Free Terminal Program
Troy, Michigan, September 8, 2006 -- North American Bancard, Inc., one of the industry's leading acquirers, announced today it has acquired Vx570 terminals and 3,000 Cr1000i check imagers from VeriFone Holdings, Inc. (NYSE:PAY) to include in its innovative Free Terminal Program. This multi million deal represents NAB's latest proactive business strategy in support of its commitment to provide cutting-edge technology and superior customer service to all its merchants and sales partners.
"VeriFone provides tomorrow's technology today and their value points can't be touched by their competition," says Marc Gardner, President of North American Bancard. "We are utilizing an aggressive marketing strategy similar to that of wireless providers. When you walk into a wireless store, they offer the latest and greatest phone for free in exchange for a service agreement. We take the same approach. The Vx570's capabilities include industry leading features and functionality enabling our sales partners with the number one industry product offering. By marketing this terminal to prospective new customers, we're making our merchants future proof."
North American Bancard has structured this large investment for the future of its customers by providing them with a free terminal that will not become obsolete during the life of the merchant agreement. NAB's sales partners will equally benefit from this deal as they will have a best-in-breed product that will open more doors.
"The VeriFone Vx570 will empower our sales force with advanced technology and provide them with an offering not available to most merchants," says Gardner. "MasterCard recently announced that only 32,000 merchants have PayPass. Why not give merchants a terminal that is already configured with a contactless reader. It is a win-win scenario for everyone as this program benefits not just the merchant but the sales agent as well."
The VeriFone Vx570 combines speed and power to offer exceptional payment processing, plus increased memory to support a wide range of value-added applications, including contactless payment. The Vx570 is the successor to the VeriFone Omni 3750 and provides merchants with maximum flexibility, superior speed and high performance, in addition to compatibility with existing applications. It is ideally suited to North American Bancard's complete suite of payment processing applications and provides an ideal migration path both for existing users of the Omni 3750 and others who want a more powerful countertop payment solution.
"The North American Bancard contract is a tremendous competitive win for VeriFone and reflects the increasing market traction for our premier countertop payment solution," says Jesse Adams, VeriFone Executive Vice President, North America Sales.
About North American Bancard (www.nabancard.com)
Headquartered in Troy, Michigan, North American Bancard is a multi-faceted payment solutions provider dedicated to providing the latest technology as well as committing to the highest service levels. North American Bancard is a registered MSP/ISO of HSBC Bank, Buffalo, New York. Since 1992, North American Bancard has provided more than 50,000 clients with a full suite of products and services including Credit, Debit, EBT, Check Conversion and Guarantee, ATM, Gift and Loyalty Cards as well as Online Payment Gateway solutions.
About VeriFone Holdings, Inc. (www.verifone.com)
VeriFone Holdings, Inc. ("VeriFone") (NYSE:PAY), a global leader in secure electronic payment technologies, provides expertise, solutions and services for today with a migration strategy for tomorrow. VeriFone delivers solutions that add value to the point of sale, resulting in improved merchant retention and the generation of new sources of revenue for its partners and customers. VeriFone solutions are specifically designed to meet the needs of vertical markets including financial, retail, petroleum, government and healthcare.
North American Bancard Places Big Order with VeriFone; Leading MSP/ISO Purchases Top of the Line Products to Enhance Free Terminal Program
Troy, Michigan, September 8, 2006 -- North American Bancard, Inc., one of the industry's leading acquirers, announced today it has acquired Vx570 terminals and 3,000 Cr1000i check imagers from VeriFone Holdings, Inc. (NYSE:PAY) to include in its innovative Free Terminal Program. This multi million deal represents NAB's latest proactive business strategy in support of its commitment to provide cutting-edge technology and superior customer service to all its merchants and sales partners.
"VeriFone provides tomorrow's technology today and their value points can't be touched by their competition," says Marc Gardner, President of North American Bancard. "We are utilizing an aggressive marketing strategy similar to that of wireless providers. When you walk into a wireless store, they offer the latest and greatest phone for free in exchange for a service agreement. We take the same approach. The Vx570's capabilities include industry leading features and functionality enabling our sales partners with the number one industry product offering. By marketing this terminal to prospective new customers, we're making our merchants future proof."
North American Bancard has structured this large investment for the future of its customers by providing them with a free terminal that will not become obsolete during the life of the merchant agreement. NAB's sales partners will equally benefit from this deal as they will have a best-in-breed product that will open more doors.
"The VeriFone Vx570 will empower our sales force with advanced technology and provide them with an offering not available to most merchants," says Gardner. "MasterCard recently announced that only 32,000 merchants have PayPass. Why not give merchants a terminal that is already configured with a contactless reader. It is a win-win scenario for everyone as this program benefits not just the merchant but the sales agent as well."
The VeriFone Vx570 combines speed and power to offer exceptional payment processing, plus increased memory to support a wide range of value-added applications, including contactless payment. The Vx570 is the successor to the VeriFone Omni 3750 and provides merchants with maximum flexibility, superior speed and high performance, in addition to compatibility with existing applications. It is ideally suited to North American Bancard's complete suite of payment processing applications and provides an ideal migration path both for existing users of the Omni 3750 and others who want a more powerful countertop payment solution.
"The North American Bancard contract is a tremendous competitive win for VeriFone and reflects the increasing market traction for our premier countertop payment solution," says Jesse Adams, VeriFone Executive Vice President, North America Sales.
About North American Bancard (www.nabancard.com)
Headquartered in Troy, Michigan, North American Bancard is a multi-faceted payment solutions provider dedicated to providing the latest technology as well as committing to the highest service levels. North American Bancard is a registered MSP/ISO of HSBC Bank, Buffalo, New York. Since 1992, North American Bancard has provided more than 50,000 clients with a full suite of products and services including Credit, Debit, EBT, Check Conversion and Guarantee, ATM, Gift and Loyalty Cards as well as Online Payment Gateway solutions.
About VeriFone Holdings, Inc. (www.verifone.com)
VeriFone Holdings, Inc. ("VeriFone") (NYSE:PAY), a global leader in secure electronic payment technologies, provides expertise, solutions and services for today with a migration strategy for tomorrow. VeriFone delivers solutions that add value to the point of sale, resulting in improved merchant retention and the generation of new sources of revenue for its partners and customers. VeriFone solutions are specifically designed to meet the needs of vertical markets including financial, retail, petroleum, government and healthcare.
It's Been Quite a Year
As 2002 draws to an end, I wanted to take a few moments and share with you some of the highlights of the past year and our plans for 2003. Although I have played many roles in the industry since the 1970s, this was the first year in which this publishing company was my sole focus as an entrepeneur. Next year, we will celebrate our 20th anniversary as a publication.
We've grown from a one-sheet mimeograph in 1983 to a 72-page magazine. From an expense-line item on the AMCOR P/L to a profitable publishing company with $3 million in sales revenues projected for 2003. From a one-man show to a rapidly growing organization with a satellite office in Myersville, Md.
The Green Sheet grew out of my desire to communicate regularly with a national sales force of independent agents. Our database now contains approximately 20,000 records; however, only 70% are active at any given time. Because of the constant movement of personnel within the industry, we process address changes on 3% of the database monthly. Our total distribution numbers continue to increase; actual growth in the mail distribution is 3% per month.
Online readership continues to increase at 13% per month. As of November 2002, we average 1 million hits (43,000 visits) monthly on the Web site. When combined with mail distribution of 7,400 copies, or 22,000 readers when pass-along readership is included, this brings our total monthly distribution to more than 65,000 readers.
It's been exciting and challenging to bring the right stuff to the right people in the right way. I'm grateful that we have been supported by the contributions from freelance writers, such as Lisa Dowling, Eric Thomson, Contributing Editor Patti Murphy, and our active Green Sheet Advisory Board. We've peppered our Advisory Board with e-mail questionnaires in order to develop a number of the articles you've read in The Green Sheet and GSQ publications this year.
The breadth and depth of this group has continued to develop. I'm pleased to announce six new members:
- Marc Gardner, President, North American Bancard
- Javier Ledesma, Director, Financial Market Support, VeriFone, Inc.
- Michael McMackin, AmericaOne Payment Systems
- Anthony Ogden, Bank Card Law
- David Press, President, Integrity Bankcard Consultants, Inc.
- Charles Salyer, President/CEO, GlobalTech Leasing
- Marc Gardner is President of North American Bancard, a multifaceted payment solutions provider. As a registered MSP/ISO for more than a decade, he has the expertise needed to perform and excel for his customers. North American Bancard is dedicated to providing the latest technology as well as committing to the highest service levels.
Javier has successfully held sales and management positions for more than 20 years and has a consistent track record with a blend of experience. He has held positions in a variety of industries, including pharmaceutical sales. He served as an officer in the United States Army. He holds a bachelor's degree in biology, chemistry and education from the University of Arizona, and a master of arts in management from Webster College in Oklahoma.
Michael McMackin is the President and co-founder of AmericaOne Payment Systems, Inc. a privately held, customer service-focused credit card processing company located in Cupertino, Calif., in the heart of Silicon Valley. David has successfully held executive-level management positions for more than 20 years and has extensive experience in business, banking and the merchant services industry. David has worked with numerous top-tier financial institutions, merchant acquirers and bankcard technology companies in the credit card industry. His bankcard areas of expertise include capital procurement, marketing, product development, and risk management and fraud detection.
Anthony Ogden brings a legal perspective to our Advisory Board. Bank Card Law was first mentioned in The Green Sheet in 1997, and he since has written a number of articles for us. BCL is supervised and directed by Anthony, a duly licensed California attorney. He is a 1991 graduate of the prestigious Georgetown University Law Center in Washington, D.C., and has had a practice concentration in the area of business transactions since 1994.
David Press is the President and founder of Integrity Bankcard Consultants, Inc. David has more than 22 years' experience in the credit card business. He has worked with numerous financial institutions and has extensive experience working with local, state and federal law-enforcement agencies. David began his career at Barnett Bank and Southeast Bank in the early 1980s working with a combined Metro-Dade Police Department and the U.S. Secret Service counterfeit credit card task force in South Florida. Their teamwork resulted in more than 120 convictions.
In the 1990s he was a manager with Peach Tree Bancard, Harbridge Merchant Services and First Interstate Bank in the areas of underwriting, compliance, chargebacks, collections, security and investigations. He has attended numerous Visa and MasterCard training seminars. At IBC, his work has concentrated on the minimization of portfolio risk, bin transfers and advising startup ISOs in the development of vendor(s) and member-bank relationships, including proper registration with Visa and MasterCard.
Charles Salyer's professional experience includes more than 26 years in the equipment-leasing industry with a primary focus on developing and managing customer service-based finance organizations for manufacturers. Charles has been directly involved in the planning, creation and management of customer finance/leasing organizations for Digital Equipment Corp., Philip Morris and Steelcase, Inc.
Charles became involved in the credit card equipment leasing industry in 1997 when he was appointed COO of Global Finance & Leasing in Michigan. He took over management of Global as President in 1998, tripling sales revenues over the next two years. In 2001, he organized the sale of Global to CIT, where he became part of the management team as Vice President, Sales and Strategic Initiatives. In August 2001, he left to form GlobalTech Leasing, Inc., a privately held, customer service-focused credit card equipment leasing company based in Ventura County, Calif.
The Green Sheet Advisory Board now has more than 60 members. Each of them contributes as time allows, offering personal insight and experience. I look forward to sharing their wisdom with you as we work together to strengthen the payment-processing industry.
In 2003, you will continue to see a more robust Green Sheet, our in-depth GSQ reports and our continually expanding Web site. I would love to hear from you. Please write and let me know what you would like to see us cover in GS and GSQ. What are we doing well and what could be improved? What information do you need to create wealth as an ISO?
Good Selling!
Processing through the Power of People
That assumption proved right for Marc Gardner, President of North American Bancard (NAB). Installing himself in his father's large office space in Troy, Mich., Gardner set up a phone system, brought in a small staff and, with the guidance of a business consultant, opened his own payment processing company in 1992. Gardner established a banking relationship with an acquiring financial institution and educated himself in other aspects of the business.
"My degree was in economics. I was always involved in numbers," says Gardner. "When I was running a satellite sales office for the credit card processing company I saw many problems, and I thought by opening my own company I could correct mistakes I saw them making and turn those problems into successes."
Gardner's vision was to provide a higher quality of customer-care service, a strong sales structure with better sales processes and a higher degree of personal motivation of salespeople.
"My philosophy is to provide businesses, whether they be merchants or ISOs, with structure and processes that allow them to work efficiently and expeditiously with our internal organization," says Gardner. "In order to go from one level to another level, you need systems, processes and infrastructure. Part of infrastructure is people. People make everything work."
Those people differentiate North American Bancard, in Gardner's view.
"The people we employ set our company apart," says Gardner. "We went out and recruited talent - people who had worked at banks and had a tremendous amount of industry and management experience. If a CPA were to come in, he'd see we spend a disproportionate amount of our revenue on information technology. The systems we put in place not only make the salespeople who sell for us more efficient, but they also allow the merchant to obtain information in a more efficient manner."
Those systems didn't come into play from the onset. "We first started our sales channel without an ISO orientation," says Gardner. "It was of much smaller significance. We were a regional player with corporate salespeople and personally held each individual's hand during the sales cycle. We have evolved into a multi-faceted company from a sales-channel approach."
North American Bancard has evolved into a 70-employee turn-key solution for its sales agents. NAB does its own risk management, credit and underwriting. NAB provides its own customer care, and part of that care is publishing account data in a timely fashion.
"Whether it be residuals, leasing, funding, etc., we make it available in real time so salespeople can access it all," says Gardner. "Info is not delayed. It's all posted to the Web site in real time."
Services such as real-time data access and multiple in-house programs keep North American Bancard neck-and-neck with its competitors, in Gardner's opinion. "If you don't see any competition, you live in a dark room," says Gardner. "This industry is very commoditized, and everyone plays close to the hip. But in our industry, competition is good."
North American Bancard competes in the popular small-to-midsize merchant market. Its target: across-the-board retail, e-commerce, lodging and MO/TO.
"My desire is to be able to handle 99% of all applications that come in the door and approve them," says Gardner. "We have what we call auto approval. For merchants not of unusual risk, we provide same-day approval service. If you're in by 9, you're out by 5. We are like a dry cleaner."
NAB has more than 12,000 merchants on its roster. And the hottest product they all enjoy? According to Gardner, it is North American Bancard's human resources.
"When the merchants call, they can talk to someone. When the ISOs call, they can talk to someone," says Gardner. "Our hottest commodity is the delivery of information. We have the correct amount of staff to support all those merchants and agents, from a people standpoint as well as a system standpoint."
Gardner sees this as very appealing for the ISO community. "Most salespeople aren't the best operations people," says Gardner. "They market well, but they don't have the infrastructure to support their merchants. They have the possibility to implode and have an astronomical rate of attrition. You can't have an open back door. North American Bancard closes that back door."
North American Bancard is able to close that back door, in part because of its strategic alliances. It has partnerships with the major equipment vendors. It also has multiple alliances with value-added resellers for software.
North American Bancard works with multiple leasing vendors, too, but with a twist. "We offer a guaranteed leasing program," says Gardner. "Any agent with a North American Bancard merchant number will receive a lease. And we make it easier. We do faxed leasing and agreements. We don't require an original to file the paperwork, and we are presently working on paperless leasing as well."
For its check services, Gardner partners with two vendors. "We use two because we took the best of each and instead of compromising our customers, we offer check presentation over the phone with one and at the point-of-sale with another," he says.
What does North American Bancard look for in a partner? "We look for people to be able to say what they're going to do because we do what we say we're going to do," says Gardner. "Some say they can do everything and fall short. Once it is in writing, we want partners to keep their contractual obligations, whether it's stock, turnaround time or inserting a thank you letter. We want companies that can live up to their service level and provide good economics."
What does North American Bancard look for in an ISO? "We look for people who want to succeed," says Gardner. "There are two types of people; one type is just looking to make money. Our sales agents are the ones who are not focused on just providing a hardware solution. Ours are focused on delivering service and education to their merchants."
What does Gardner look for in himself? "I look at myself as a leader - a leader who is very accessible, not only to the internal infrastructure but to the entire sales force," says Gardner. "When you call my extension, no one screens it. I answer my own phone. I go out on sales calls. I always try to make myself accessible to our company, guiding all departments, steering them through their journey and providing direction."
It goes both ways: Gardner underscores the impact of his people on his leadership.
"One of a leader's biggest challenges, but one that brings the most success, is having a good team," Gardner says. "Just like our country's President is judged by his Cabinet, CEOs are as well. You may have great ideas, but you must have people to implement them. Otherwise, they'll just be thoughts and never become reality."
Recruiting good people has resulted in a unique ISO campaign at North American Bancard. Any sales agent who brings in 30 deals within 60 days will receive a $3,000 signing bonus on the 30th deal submitted. Together with training, education, a dedicated support staff and real-time Web access to portfolios, this program is a bonus for any ISO looking to fatten the revenue calf. "If I were an ISO looking for a new home, there are three components that one needs to evaluate," says Gardner. "Number one, look at the service-level commitment. Number two, what are the economics? Number three, how easy is it to do business with them? Those components need to be one-third, one-third and one-third. North American Bancard prides itself on being able to provide on all three levels, and that is what's fueling our explosive growth."
Gardner sees growth in the industry, particularly with the recent wave of mergers and acquisitions, as another good thing.
"There's great opportunity," says Gardner. "With mergers and acquisitions comes opportunity for our agents to provide merchants with stability. We have been registered for a decade, and we have services, processing and systems to handle growth. We welcome them. Attrition creates opportunity for new merchants to be signed, especially because of the fact that conversions are problematic."
What Gardner does see as challenging to the industry is the class-action suit environment and how these suits ultimately will affect merchants.
"If the suit goes against the associations in favor of the retailers that file, it will prove costly," says Gardner. "Where will they recover their losses from the suit? Will it ultimately affect the merchants with higher rates so those losses can be recouped? The suit is not the issue. Recovery of funds by increased fees is the issue."
On a more personal level, Gardner sees consistency as the biggest challenge facing North American Bancard.
"We see ourselves as one big team, and each component of the team performs," says Gardner. "We have invested so much money in human resources, systems and service. Constantly looking to recruit the optimal sales partners that will drive our growth is the biggest challenge. So many of the salespeople you look to recruit don't live up to their promises, and you spend an awful lot of time and money educating and training only to have promises be broken. Maybe not recruiting, but obtaining the best partnerships with vendors, processors and salespeople is the challenge." From a broader overview, Gardner believes the future of the industry is all about technology.
"Technology will play a greater role for the smaller merchants," says Gardner. "They're not accessing online transaction info via Web sites yet, while the larger merchants are manipulating that data. Technology will make business easier not only for salespeople but for their merchants as well. I see more and more software apps residing in the terminal. But just because it's available doesn't mean it's readily being adopted by merchants. I see more adoption. I see more penetration of multiple apps being absorbed more frequently."
Gardner believes the declining cost of telecommunications is a key portion of the credit card transaction equation. "More and more merchants will be able to get efficiency by obtaining frame relay or dedicated connectivity like the larger merchants," says Gardner. "They'll be able to get quality for better pricing." How will North American Bancard embrace the trend toward technology? "My prediction is that we will be able to add thousands of merchants per month and be able to do it as efficiently as we would if we were only adding one merchant per month," Gardner says. "We will be able to live up to same service-level commitment onboarding thousands of merchants as if we were just onboarding 10."
North American Bancard Introduces Health Care Plan
North American Bancard has introduced for its agent partners the NAB Health Benefits Plan, a comprehensive health care program that encompasses medical, dental, vision, life and long-term care insurance. Participants can pick and choose the type of coverage that suits their individual needs.
North American Bancard pays 50% of the premium. The other half is paid by the participating agent through an automatic deduction from the participant’s monthly residual earnings. In addition to individual coverage, the plan also offers options for extended coverage to family members with the added cost for family benefits paid by the agent.
Eligibility is determined by number of merchant accounts. Each participating agent must have 30 active merchant accounts to enroll in the NAB plan and must sign a minimum of 30 new approved merchants per quarter to maintain eligibility.
“Health care was desperately needed in the industry,” said Marc Gardner, President of North American Bancard. “Many industries outside of ours provide benefits to agents that sell goods and services. No one was offering these benefits to independent sales agents, so we decided to do it. And by doing so, we have added value to our program.
"Everyone out there offers value in some way. North American Bancard differentiates itself from its competitors by providing superior products, services and, now, health care benefits.”
The program first was presented at the recent North American Bancard agent expo in Orlando.
“Having the opportunity to be enrolled in this health care program has garnered me significant savings,” said Brian Roth, a sales agent in the New York area who has worked with NAB for more than three years. “Not only has North American Bancard been a pleasure to work with, but they have provided me with exposure to a great benefits plan that I haven’t seen before in this industry.”
The NAB Health Benefits Plan is available in all 50 states. To find out more about the program or apply, call 1-800-BANCARD, ext. 1015 or visit www.nabancard.com.
Visa ($2 Billion), MasterCard ($1 Billion) Settle with Retailers
Visa USA and MasterCard International have reached separate settlement agreements with Wal-Mart Stores, Inc., Sears Roebuck & Co. and millions of other retailers in the class-action antitrust lawsuit involving debit cards. Combined, the associations will pay the retailers nearly $3 billion, lower their debit transaction fees and change their "honor all cards" policies.
The retailers filed the lawsuit against Visa and MasterCard in 1996. They claimed that as part of an "honor all cards" policy, Visa and MasterCard were violating antitrust laws by forcing merchants to accept more costly offline debit cards, which require a signature, rather than less expensive online debit cards, which require a PIN. Visa and MasterCard argued that the policy was in the best interest of consumers.
MasterCard was the first to settle with the retailers in a surprise move just as the trial was set to begin on Monday, April 28, 2003 in Brooklyn, NY. Details of MasterCard’s settlement began to leak out following the announcement even though U.S. District Court Judge John Gleeson asked all parties to keep information quiet in the interest of the trial. MasterCard agreed to pay the retailers about $1 billion, reduce the debit card fees it charges them and eliminate its "honor all cards" policy.
MasterCard will establish a separate interchange rate for MasterCard debit transactions (it previously blended credit and debit into a single interchange rate). The new rate will be about one-third less than the current rate.
Gleeson referred to MasterCard’s move to settle as an "11th hour" decision and, for a while, it appeared that Visa would stand trial alone.
Gleeson had postponed opening arguments for the trial until Wednesday, April 30; however, on Wednesday morning he announced that Visa and the retailers were involved in "earnest and good faith efforts" to reach a settlement and that court would be adjourned until later in the week.
On Wednesday night, under increasing pressure following MasterCard’s surprise settlement, Visa announced it also had agreed to settle. Visa will pay the retailers $2 billion and, like MasterCard, will reduce its debit card fees. Visa also agreed to modify its "honor all cards" policy by giving retailers the choice of accepting either online of offline debit cards, beginning in January 2004.
Both of the associations will lower their transaction fees beginning August 1, 2003. They will pay $25 million of the settlements immediately and will pay out the remaining balances over 10 years.
The months leading up to the trial were far from lackluster. In January 2003, the associations asked Gleeson to throw out the antitrust class-action lawsuit, arguing that the retailers failed to provide sufficient evidence showing the associations were involved in a conspiracy to monopolize the debit card market. The judge declined their request in April in a 16-page document, saying he believed there was evidence, both "direct and circumstantial," from which a jury could find a conspiracy.
Gleeson’s decision served as a partial summary judgment for the retailers, agreeing with the claim that they were forced to abide by the associations' "honor all cards" policy, but he decreed that it was up to a jury to decide if this policy was in violation of antitrust laws.
In March, MasterCard asked for a separate trial. Gleeson denied that request as well.
Many experts believe that by settling first, MasterCard got what it wanted, which ultimately was separation from Visa, the Wall Street Journal reported. MasterCard’s debit program is smaller than Visa's, and by extricating itself from Visa MasterCard would have to pay less in damages to the retailers.
Now that Visa has settled, too, the real issue could be with revenue of the associations' member banks. Since retailers will be charged less in fees and will have the freedom to use less costly PIN-based debit card networks such as STAR, Pulse or NYCE to route transactions, they also will pay less to banks and less to MasterCard and Visa.
Interactive Website Program Breaks New Ground for ISO Community
Troy, Michigan, June 1, 2003 - In keeping with its commitment to provide best of breed support and service to sales professionals, North American Bancard, one of the industry's leading payment solutions providers, has created a state-of-the-art website infrastructure that will revolutionize solution offerings. The "Mirror Image Website" is the culmination of a new concept that affords independent sales agents not only a free hosted website to support their merchant base, but customizes each website to dynamically match the specific needs of each and every one of their merchants.
North American Bancard's new website program allows sales agents to configure customized offerings for their merchants. Depending on the specific needs of their clients, agents select appropriate hardware, software, choice of leasing, pricing, and discount rates with the click of a button. Once selections are made, the agent is then taken through a simple application process that sets up the customized offerings with different codes for each campaign. The agent's "mirrored" site contains customized equipment, pricing, rates, and contact information that can easily be updated via North American Bancard's AgentInfoCenter.com.
The benefits this precedent setting website program offers are multiple. North American Bancard buys the agent's first domain name and hosts it free of charge. The program also provides for multiple domains which afford the agents the ability to trace multiple sales channels as well as attract specific merchants to special products and pricing. Free email accounts are offered with each registered domain name. Free search engine, submission and optimization are also valued added services of the program provided by North American Bancard.
Another important benefit of Mirror Image is its seamless tie-in to AppSubmit.com, an innovative feature of North American Bancard's ecommerce solution. By sending merchants to an agent's mirrored site, the program gives merchants the welcome choice to fill out an on-line application via AppSubmit.com. Like other components of the program, agents can track these merchant applications online as well.
The Mirror Image Website service is password protected and there is no limit to the number of customized offerings an agent can configure. Many sales agents support a myriad of merchants whose needs are not always the same. With the Mirror Image Website, agents can direct their customers to predetermined products and services that not only reflect their special business requirements but also answer their ecommerce needs.
"We moved forward on this initiative because we feel very strongly that the program will deliver on a number of levels," says Marc Gardner, President of North American Bancard. "We believe this technology will be embraced by our entire agent sales force since they'll not only be able to choose hardware, software and multiple ecommerce solutions to display on customized websites, but they'll also be able to increase sales production. In addition to the revenue component, due to the fact that North American Bancard is hosting the website, it insures every agent is in website compliance with card association rules and regulations which is of paramount importance in today's marketplace"
True to Gardner's statement, independent sales agents throughout the North American Bancard family have wholeheartedly welcomed Mirror Image and are already enjoying success. Doug Ford, an agent with North American Bancard in the Dallas area, is one of many sales professionals who finds the new website service invaluable.
"We are thrilled with the program because it is done professionally by a company that knows the regulations," says Ford. "Not all companies in the industry are knowledgeable about Visa and MasterCard compliance rules. North American Bancard is. And if we want any of our customized features changed, it just takes a few clicks and is done in real time, free of charge."
Another North American Bancard agent who is happy with the results of Mirror Image, especially the revenue producing aspect of the program, is Atlanta-based Greg Murphy.
"The versatility of the program is terrific," says Murphy. "We're able to control everything we put in our store from the back end. And choosing products and making changes in real time is incredible. I believe the program will increase our sales at least 30 to 50%.
To find out more about the Mirror Image Website program, call 1-800-BANCARD x1901 or visit www.nabancard.com/mirrorsiteinfo
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About North American Bancard
Headquartered in Troy, Michigan, North American Bancard is a multi-faceted payment solutions provider dedicated to providing the latest technology as well as committing to the highest service levels. As a registered MSP/ISO since 1992, North American Bancard provides its clients with a full suite of products and services including Credit, Debit, EBT, Check Conversion and Guarantee, Checks by Phone and Net, ATM, Gift and Loyalty Cards and Online Payment Gateway solutions. For more information, visit www.nabancard.com.
Global Payments Announces Multi-Year Contract Renewal with North American Bancard
Atlanta, Georgia, October 20, 2004 - Global Payments Inc., (NYSE:GPN), a world leader in electronic transaction processing solutions, announced today that North American Bancard (NAB) has signed a five-year renewal agreement to sell Global's credit card processing services. Global will provide to NAB an entire payment card processing solution including authorization, capture, settlement and BIN sponsorship. Under a separate one-year agreement, Global will also give NAB the capability to provide electronic check conversion and check guarantee services to its merchants.
President of North American Bancard, Marc Gardner, said, "The Global Payments' team is committed to our satisfaction and continued success. Their ability to provide a global solution for all our needs played a major role in our decision to extend our relationship. As we continue to grow our portfolio to over $2 billion in annualized sales, we need a partner than can help us maintain our double-digit growth rate, and build upon it. In addition to giving us measurable benefits, their expertise, services and technology are undoubtedly a great asset that support the growth of NAB."
"We strongly value our relationship with NAB and we are very pleased to have the opportunity to continue assisting in growing their merchant portfolio. Global's goal is to provide world-class payment solutions and service that contribute to our ISO customers' success," said Paul R. Garcia, chairman, president and chief executive officer of Global Payments Inc.
Headquartered in Troy, Michigan, North American Bancard is a multi-faceted payment solutions provider dedicated to providing the latest technology, as well as committing to the highest service levels. As a registered MSP/ISO since 1992, North American Bancard provides its more than 20,000 clients with a full suite of products and services including Credit, Debit, EBT, Check Conversion and Guarantee, Checks by Phone and Net, ATM, Gift and Loyalty Cards and Online Payment Gateway solutions. For more information, visit www.nabancard.com.
Global Payments Inc. (NYSE:GPN) is a leading provider of electronic transaction processing services for consumers, merchants, Independent Sales Organizations (ISOs), financial institutions, government agencies and multi-national corporations located throughout the United States, Canada, Latin America and Europe. Global Payments offers a comprehensive line of processing solutions, including credit and debit cards, business-to-business purchasing cards, stored value and gift cards, as well as electronic check conversion and check guarantee, verification and recovery, terminal management and money transfer services. For additional information about the company and its services, visit www.globalpaymentsinc.com.
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This announcement may contain forward-looking statements pursuant to the "safe-harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward looking statements involve risks and uncertainties such as product demand, market and customer acceptance, the effect of economic conditions, competition, pricing, development difficulties, foreign currency risks, costs of capital, continued certification by credit card associations, the ability to consummate and integrate acquisitions, and other risks detailed in the Company's SEC filings, including the most recently filed Form 10-Q or Form 10-K, as applicable. The Company undertakes no obligation to revise any of these statements to reflect future circumstances or the occurrence of unanticipated events.
Financial and Internet Industries to Combat Internet Child Pornography
Alexandria, Virginia, March 15, 2006 -- Eighteen of the world's most prominent financial institutions and Internet industry leaders have joined with the National Center for Missing & Exploited Children (NCMEC), and its sister organization, the International Centre for Missing & Exploited Children (ICMEC) in the fight against Internet child pornography. The goal is to eradicate commercial child pornography by 2008.
The new Financial Coalition Against Child Pornography includes leading banks, credit card companies, third party payment companies and Internet services companies. Founding members of the Coalition include America Online, American Express Company, Bank of America, Chase, Citigroup, Discover Financial Services LLC, e-gold, First Data Corporation, First National Bank of Omaha, MasterCard, Microsoft, North American Bancard, PayPal, First PREMIER Bank/PREMIER Bankcard, Standard Chartered Bank, Visa, Wells Fargo, and Yahoo! Inc.
The Coalition will work in collaboration with Child Focus of Belgium, the European Federation for Missing and Sexually Exploited Children, the International Association of Internet Hotlines (INHOPE), the U.S. Office of the Comptroller of the Currency, and law firm DLA Piper Rudnick Gray Cary.
Child pornography has become a multi-billion dollar commercial enterprise and is among the fastest growing businesses on the Internet. The Internet has enabled instant access to child pornography by thousands and possibly millions of individuals around the world. And the ability to use credit cards and other payment methods has made purchasing child pornography easy.
Senator Richard C. Shelby (R-AL), Chairman of the Senate Banking, Housing and Urban Affairs Committee, was the catalyst in bringing these industry leaders together to address the problem. In challenging them to join with NCMEC and ICMEC in this effort, Senator Shelby said, "sIf people were purchasing heroin or cocaine and using their credit cards, we would be outraged and would do something about it. This is worse."
The exact number of child pornography web sites is difficult to determine. In 2001, the CyberTipline operated by NCMEC had received more than 24,400 reports of child pornography. By the beginning of 2006, that number had climbed to more than 340,000.
"Not only have we seen an increase in reports of Internet child pornography, but the victims are becoming younger and the images are becoming more graphic and violent," said Ernie Allen, President and CEO of NCMEC and ICMEC, and Chairman of the Coalition. "To eliminate the commercial viability of child pornography, we must stop the flow of money. To do that, we need the involvement of the world̢۪s leaders in the payments industry and the Internet. The founding members of the Financial Coalition Against Child Pornography are to be commended for joining this critical fight."
If members of the public have knowledge of a child pornography web site they are encouraged to report it immediately to the CyberTipline managed by the National Center for Missing & Exploited Children (www.cybertipline.com or 1-800-843-5678). Citizens outside the United States can call the CyberTipline or can contact any number of hotlines around the world. To learn more about these hotlines, visit the website of the International Association of Internet Hotlines (INHOPE) at www.inhope.org.
About the National Center for Missing & Exploited Children
NCMEC is a 501(c)(3) nonprofit organization that works in cooperation with the U.S. Department of Justice's Office of Juvenile Justice and Delinquency Prevention. NCMEC's congressionally mandated CyberTipline, a reporting mechanism for child sexual exploitation, has handled more than 365,600 leads. Since its establishment in 1984, NCMEC has assisted law enforcement with more than 117,100 missing child cases, resulting in the recovery of more than 99,500 children. For more information about NCMEC, call its toll-free hotline at 1-800-THE-LOST or visit www.missingkids.com.
About the International Centre for Missing & Exploited Children
ICMEC, the sister organization of NCMEC, is a private, nonprofit 501 (c) (3) nongovernmental organization. It is the leading agency working on a global basis to combat child abduction and exploitation. For more information visit www.icmec.org.
Financial and Internet Industries to Combat Internet Child Pornography
Alexandria, Virginia, March 15, 2006 -- Eighteen of the world's most prominent financial institutions and Internet industry leaders have joined with the National Center for Missing & Exploited Children (NCMEC), and its sister organization, the International Centre for Missing & Exploited Children (ICMEC) in the fight against Internet child pornography. The goal is to eradicate commercial child pornography by 2008.
The new Financial Coalition Against Child Pornography includes leading banks, credit card companies, third party payment companies and Internet services companies. Founding members of the Coalition include America Online, American Express Company, Bank of America, Chase, Citigroup, Discover Financial Services LLC, e-gold, First Data Corporation, First National Bank of Omaha, MasterCard, Microsoft, North American Bancard, PayPal, First PREMIER Bank/PREMIER Bankcard, Standard Chartered Bank, Visa, Wells Fargo, and Yahoo! Inc.
The Coalition will work in collaboration with Child Focus of Belgium, the European Federation for Missing and Sexually Exploited Children, the International Association of Internet Hotlines (INHOPE), the U.S. Office of the Comptroller of the Currency, and law firm DLA Piper Rudnick Gray Cary.
Child pornography has become a multi-billion dollar commercial enterprise and is among the fastest growing businesses on the Internet. The Internet has enabled instant access to child pornography by thousands and possibly millions of individuals around the world. And the ability to use credit cards and other payment methods has made purchasing child pornography easy.
Senator Richard C. Shelby (R-AL), Chairman of the Senate Banking, Housing and Urban Affairs Committee, was the catalyst in bringing these industry leaders together to address the problem. In challenging them to join with NCMEC and ICMEC in this effort, Senator Shelby said, "sIf people were purchasing heroin or cocaine and using their credit cards, we would be outraged and would do something about it. This is worse."
The exact number of child pornography web sites is difficult to determine. In 2001, the CyberTipline operated by NCMEC had received more than 24,400 reports of child pornography. By the beginning of 2006, that number had climbed to more than 340,000.
"Not only have we seen an increase in reports of Internet child pornography, but the victims are becoming younger and the images are becoming more graphic and violent," said Ernie Allen, President and CEO of NCMEC and ICMEC, and Chairman of the Coalition. "To eliminate the commercial viability of child pornography, we must stop the flow of money. To do that, we need the involvement of the world̢۪s leaders in the payments industry and the Internet. The founding members of the Financial Coalition Against Child Pornography are to be commended for joining this critical fight."
If members of the public have knowledge of a child pornography web site they are encouraged to report it immediately to the CyberTipline managed by the National Center for Missing & Exploited Children (www.cybertipline.com or 1-800-843-5678). Citizens outside the United States can call the CyberTipline or can contact any number of hotlines around the world. To learn more about these hotlines, visit the website of the International Association of Internet Hotlines (INHOPE) at www.inhope.org.
About the National Center for Missing & Exploited Children
NCMEC is a 501(c)(3) nonprofit organization that works in cooperation with the U.S. Department of Justice's Office of Juvenile Justice and Delinquency Prevention. NCMEC's congressionally mandated CyberTipline, a reporting mechanism for child sexual exploitation, has handled more than 365,600 leads. Since its establishment in 1984, NCMEC has assisted law enforcement with more than 117,100 missing child cases, resulting in the recovery of more than 99,500 children. For more information about NCMEC, call its toll-free hotline at 1-800-THE-LOST or visit www.missingkids.com.
About the International Centre for Missing & Exploited Children
ICMEC, the sister organization of NCMEC, is a private, nonprofit 501 (c) (3) nongovernmental organization. It is the leading agency working on a global basis to combat child abduction and exploitation. For more information visit www.icmec.org.
North American Bancard Opts for VeriFone Vx 570; Multimillion Dollar Win for VeriFone's Newest Countertop Payment Solution
San Jose, California, September 5, 2006 -- VeriFone Holdings, Inc. (NYSE:PAY) today announced it has received a multimillion dollar order to provide North American Bancard with several thousand VeriFone Vx 570 payment solutions.
Headquartered in Troy, Michigan, North American Bancard is one of the largest U.S. MSP/ISOs (Merchant Service Provider/Independent Sales Organizations) and provides innovative payment solutions and processing services for a wide array of companies from retailers and wholesalers, to mail-order and on-line merchants.
"VeriFone's Vx 570 enables North American Bancard to serve our broad range of customers and ensure that small retailers receive the same technology benefits as the largest, but at prices they can afford," said North American Bancard President Marc Gardner. "VeriFone has won us over with its superior product and the benefits it will provide our customers."
The VeriFone Vx 570 combines superior speed and power to offer exceptional payment processing, plus increased memory to support a wide range of value-added applications. The Vx 570 is the successor to the VeriFone Omni 3750 and provides merchants with maximum flexibility, superior speed and high performance, in addition to compatibility with existing applications. It is ideally suited to North American Bancard's complete suite of payment processing applications and provides an ideal migration path both for existing users of the Omni 3750 and others who want a powerful countertop payment solution.
"The North American Bancard contract is a tremendous competitive win for VeriFone and reflects the increasing market traction for our premier countertop payment solution," said Jesse Adams, VeriFone executive vice president, North America Sales.
The Vx 570 is a member of VeriFone's Vx Solutions family, which delivers a complete portfolio of solutions across all vertical markets. It provides one platform of devices, software, and programs that delivers the same user interface across multiple form factors.
About North American Bancard
Headquartered in Troy, Michigan, North American Bancard is a multi-faceted payment solutions provider dedicated to providing the latest technology, as well as committing to the highest service levels. As a registered MSP/ISO since 1992, North American Bancard provides its more than 20,000 clients with a full suite of products and services including Credit, Debit, EBT, Check Conversion and Guarantee, Checks by Phone and Net, ATM, Gift and Loyalty Cards and Online Payment Gateway solutions. For more information, visit www.nabancard.com.
About VeriFone Holdings, Inc. (www.verifone.com)
VeriFone Holdings, Inc. ("VeriFone") (NYSE: PAY), a global leader in secure electronic payment technologies, provides expertise, solutions and services for today with a migration strategy for tomorrow. VeriFone delivers solutions that add value to the point of sale, resulting in improved merchant retention and the generation of new sources of revenue for its partners and customers. VeriFone solutions are specifically designed to meet the needs of vertical markets including financial, retail, petroleum, government and healthcare.
North American Bancard Places Big Order with VeriFone; Leading MSP/ISO Purchases Top of the Line Products to Enhance Free Terminal Program
Troy, Michigan, September 8, 2006 -- North American Bancard, Inc., one of the industry's leading acquirers, announced today it has acquired Vx570 terminals and 3,000 Cr1000i check imagers from VeriFone Holdings, Inc. (NYSE:PAY) to include in its innovative Free Terminal Program. This multi million deal represents NAB's latest proactive business strategy in support of its commitment to provide cutting-edge technology and superior customer service to all its merchants and sales partners.
"VeriFone provides tomorrow's technology today and their value points can't be touched by their competition," says Marc Gardner, President of North American Bancard. "We are utilizing an aggressive marketing strategy similar to that of wireless providers. When you walk into a wireless store, they offer the latest and greatest phone for free in exchange for a service agreement. We take the same approach. The Vx570's capabilities include industry leading features and functionality enabling our sales partners with the number one industry product offering. By marketing this terminal to prospective new customers, we're making our merchants future proof."
North American Bancard has structured this large investment for the future of its customers by providing them with a free terminal that will not become obsolete during the life of the merchant agreement. NAB's sales partners will equally benefit from this deal as they will have a best-in-breed product that will open more doors.
"The VeriFone Vx570 will empower our sales force with advanced technology and provide them with an offering not available to most merchants," says Gardner. "MasterCard recently announced that only 32,000 merchants have PayPass. Why not give merchants a terminal that is already configured with a contactless reader. It is a win-win scenario for everyone as this program benefits not just the merchant but the sales agent as well."
The VeriFone Vx570 combines speed and power to offer exceptional payment processing, plus increased memory to support a wide range of value-added applications, including contactless payment. The Vx570 is the successor to the VeriFone Omni 3750 and provides merchants with maximum flexibility, superior speed and high performance, in addition to compatibility with existing applications. It is ideally suited to North American Bancard's complete suite of payment processing applications and provides an ideal migration path both for existing users of the Omni 3750 and others who want a more powerful countertop payment solution.
"The North American Bancard contract is a tremendous competitive win for VeriFone and reflects the increasing market traction for our premier countertop payment solution," says Jesse Adams, VeriFone Executive Vice President, North America Sales.
About North American Bancard (www.nabancard.com)
Headquartered in Troy, Michigan, North American Bancard is a multi-faceted payment solutions provider dedicated to providing the latest technology as well as committing to the highest service levels. North American Bancard is a registered MSP/ISO of HSBC Bank, Buffalo, New York. Since 1992, North American Bancard has provided more than 50,000 clients with a full suite of products and services including Credit, Debit, EBT, Check Conversion and Guarantee, ATM, Gift and Loyalty Cards as well as Online Payment Gateway solutions.
About VeriFone Holdings, Inc. (www.verifone.com)
VeriFone Holdings, Inc. ("VeriFone") (NYSE:PAY), a global leader in secure electronic payment technologies, provides expertise, solutions and services for today with a migration strategy for tomorrow. VeriFone delivers solutions that add value to the point of sale, resulting in improved merchant retention and the generation of new sources of revenue for its partners and customers. VeriFone solutions are specifically designed to meet the needs of vertical markets including financial, retail, petroleum, government and healthcare.
North American Bancard Secures Contactless Payment Solution from ViVOtech; Top Acquirer Purchases State-of-the-Art Reader
Troy, Michigan, September 11, 2006 -- North American Bancard, one of the largest MSP/ISOs in America, announced today it has bought 3,000 ViVOpay(R) 4000 contactless readers from ViVOtech, the leading supplier of contactless payment solutions. Continuing on its path to offer the latest in payment solutions, NAB will be including the ViVOpay 4000 in its innovative Free Terminal Program offerings. The ViVOpay 4000 reader is being coupled with the VeriFone Vx570 terminal to create the best-in-breed contactless payment solution in NAB's repertoire of free products and is ready for deployment.
"Contactless payment is not just the wave of the future, it is here now and is expanding exponentially," says Marc Gardner, President of North American Bancard. "We recognize the accelerated growth of the contactless payment market. Because of that, we are fully committed to providing our sales partners with the most advanced technology available today. The ViVOpay 4000 is a prime example of that kind of technology and integrates dynamically within the structure of our leading Free Terminal Program. We are very happy with the functionality of this product and even more delighted with the quality of service we receive from ViVOtech."
The ViVOpay 4000 is the most popular add-on contactless payment device in the market today. With a flexible design, the device can be easily added to wide variety of existing POS terminals, ECR systems, countertops, windows and a variety of other surfaces and integrates with the existing merchant system. The ViVOpay 4000 is the only reader certified for all contactless payment programs, including MasterCard(R) PayPass(TM), Visa contactless, ExpressPay(R) from American Express(TM) and Discover(R) contactless.
"MasterCard recently announced that only 32,000 merchants currently have PayPass," says Gardner. "With this purchase, North American Bancard will increase contactless readers throughout the industry by 10% over the next few months!"
"More than 17 million contactless credit and debit cards have been issued in the United States in just over a year. Clearly, contactless payment is the next major wave in the payment industry", said Mohammad Khan, President & Founder of ViVOtech. "Contactless payments are replacing cash faster than ever before, providing ISOs a great opportunity to grow revenue by processing more transactions through their existing merchants in addition to signing up new merchants who have long relied on cash only transactions."
"If your ISO partner is not providing free contactless readers, you need to be doing business with NAB," says Gardner. "Contactless payment is growing so quickly. Just look at all the announcements coming from card issuers regarding embedded contactless chips and new offerings of contactless payment options. This is a tremendous door-opening opportunity for our sales partners. Don't miss out on it."
About North American Bancard
Headquartered in Troy, Michigan, North American Bancard is a multi-faceted payment solutions provider dedicated to providing the latest technology as well as committing to the highest service levels. North American Bancard is a registered MSP/ISO of HSBC Bank USA, National Association, Buffalo, N.Y. Since 1992, North American Bancard has provided more than 50,000 clients with a full suite of products and services including Credit, Debit, EBT, Check Conversion and Guarantee, ATM, Gift and Loyalty Cards as well as Online Payment Gateway solutions. For more information, visit www.nabancard.com.
About ViVOtech
ViVOtech is the market leader in contactless/NFC payment software, transaction management systems, and readers. These innovative solutions allow consumers to make contactless payments with radio frequency-enabled credit cards, debit cards, key fobs, and NFC-enabled mobile phones. ViVOtech's products are used by some of the most prominent retailers in the United States. Currently, with more than 180,000 units in 17 countries, ViVOtech's products are in use at movie theaters, fast food restaurants (QSR), casual dining establishments, convenience stores, gas stations, drug stores, grocery stores, buses, taxicabs and vending machine locations, enabling a wide variety of businesses to accept contactless/NFC payments. In 2005, ViVOtech received the prestigious Frost & Sullivan technology award for its role in transforming the contactless payment industry, as well as winning the first annual ETA Technology Innovation Award. http://www.vivotech.com.
North American Bancard Inc. to Deploy MasterCard(R) (Public, NYSE:MA) PayPass(TM) Acceptance Devices Into the US Marketplace
Troy, Michigan, September 15, 2006 -- North American Bancard Inc. (NAB) of Troy, Michigan, a multi-faceted payment solutions provider dedicated to providing the latest technology, today announced that it will deploy thousands of MasterCard PayPass(TM) acceptance devices to all NAB merchants, free of charge.
The Vivotech terminals, which NAB calls "Tap-Here" devices, will afford all of NAB's merchant customers the latest technology in card acceptance. MasterCard PayPass improves the customer experience at the point of sale and improves the merchant's bottom line by speeding consumers through check out lines. The devices are also capable of accepting American Express and Discover cards right out of the box. North American's "Tap-Here" devices are in stock and ready for national deployment to all new and existing customers, free of charge.
"Once again, we are taking the lead in pushing the latest technology out to our merchant customers," says Marc Gardner, President of North American Bancard. "Providing these Vivotech devices will give our merchants a more convenient way to do business with consumers, thereby improving their own profitability. We are excited to offer this technology which fits nicely into our customer-centric philosophy."
"MasterCard is pleased to see the commitment NAB has made to support our rollout this year," says T.J. Sharkey, Group Head, National Accounts, U.S. Commerce Development, MasterCard Worldwide. "Their efforts will create a better buying experience for MasterCard cardholders who frequent their merchants."
MasterCard PayPass is a "contactless" payment feature that provides consumers with a fast and convenient alternative to cash for their everyday small purchases. Consumers simply tap their PayPass-enabled card or device on a specially equipped merchant terminal, eliminating the need to fumble for cash and coins, hand their card over to a clerk or swipe the card. Signatures are not required for PayPass purchases under $25, further speeding customer's transactions. PayPass provides better record keeping than cash.
For further information, or to order a Tap-Here device, contact North American Bancard at 1-877-Tap-Here.
About MasterCard PayPass
MasterCard PayPass is ideal for traditional cash-heavy environments where speed is essential, such as quick serve restaurants, drug stores, gas stations, vending machines, convenience stores, sports arenas, movie theaters, transit systems and parking garages. There are approximately 10 million PayPass cards and devices in the market & approximately 32,000 merchant locations around the world that accept PayPass, including participating 7-Eleven, CVS, McDonald's, Regal Entertainment Group theaters and many others. PayPass is also accepted at numerous National Football League and Major League Baseball stadiums. For more information about MasterCard PayPass and a full list of participating merchants, visit www.mastercard.com/paypass.
About MasterCard Worldwide
MasterCard Worldwide (www.mastercardworldwide.com) advances global commerce by providing a critical economic link between financial institutions, businesses, cardholders and merchants worldwide. As a franchisor, processor and advisor, MasterCard develops and markets payment solutions, processes close to 14 billion payments each year, and provides industry-leading analysis and consulting services to financial institution customers and merchants. Through its family of brands, including MasterCard(R), Maestro(R) and Cirrus(R), MasterCard Worldwide serves consumers and businesses in more than 210 countries and territories.
About North American Bancard (www.nabancard.com)
Headquartered in Troy, Michigan, North American Bancard is a multi-faceted payment solutions provider dedicated to providing the latest technology, as well as committing to the highest service levels. As a registered MSP/ISO of HSBC Bank, National Association, Buffalo, New York. Since 1992, North American Bancard has provided its more than 50,000 clients with a full suite of products and services including Credit, Debit, EBT, Check Conversion and Guarantee, ATM, Gift and Loyalty Cards and Online Payment Gateway solutions.
PrivacyThis privacy policy sets out how North American Bancard uses and protects any information that you give North American Bancard when you use this website.
North American Bancard is committed to ensuring that your privacy is protected. Should we ask you to provide certain information by which you can be identified when using this website, then you can be assured that it will only be used in accordance with this privacy statement.
North American Bancard may change this policy from time to time by updating this page. You should check this page from time to time to ensure that you are happy with any changes. This policy is effective from October 16, 2007.
  | What we collect We may collect the following information:
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| What we do with the information we gather We require this information to understand your needs and provide you with a better service, and in particular for the following reasons:
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| Security We are committed to ensuring that your information is secure. In order to prevent unauthorized access or disclosure we have put in place suitable physical, electronic and managerial procedures to safeguard and secure the information we collect online. |
| How we use cookies A cookie is a small file which asks permission to be placed on your computer's hard drive. Once you agree, the file is added and the cookie helps analyze web traffic or lets you know when you visit a particular site. Cookies allow web applications to respond to you as an individual. The web application can tailor its operations to your needs, likes and dislikes by gathering and remembering information about your preferences. We use traffic log cookies to identify which pages are being used. This helps us analyze data about web page traffic and improve our website in order to tailor it to customer needs. We only use this information for statistical analysis purposes and then the data is removed from the system. Overall, cookies help us provide you with a better website, by enabling us to monitor which pages you find useful and which you do not. A cookie in no way gives us access to your computer or any information about you, other than the data you choose to share with us. You can choose to accept or decline cookies. Most web browsers automatically accept cookies, but you can usually modify your browser setting to decline cookies if you prefer. This may prevent you from taking full advantage of the website. |
| Links to other websites Our website may contain links to enable you to visit other websites of interest easily. However, once you have used these links to leave our site, you should note that we do not have any control over that other website. Therefore, we cannot be responsible for the protection and privacy of any information which you provide while visiting such sites and such sites are not governed by this privacy statement. You should exercise caution and look at the privacy statement applicable to the website in question. |
| Controlling your personal information We will not sell, distribute or lease your personal information to third parties unless we have your permission or are required by law. We may use your personal information to send you promotional information about third parties which we think you may find interesting if you tell us that you wish this to happen. You may request details of personal information which we hold about you under the Data Protection Act 1998. A small fee will be payable. If you would like a copy of the information held on you please write to custservice@nabancard.com. If you believe that any information we are holding on you is incorrect or incomplete, please write to or email us as soon as possible, at the above address. We will promptly correct any information found to be incorrect.
As a full service payment solutions provider NAB provides our clientele with a full suite of products including Credit, Debit, EBT, Check Conversion and Guarantee, and Gift & Loyalty Card Solutions. March 18, 2008North American Bancard Inc. to Expand in Troy, MI Adding 1899 New Jobs North American BANCARD offers a full line of products and services to completely meet all of your payment processing needs. We carry an extensive line of hardware, software and supplies at the best price. If you don't find exactly what you are looking for, contact one of our representatives to assist you. Below is a list of categories that help us guide you to the products and/or services that best serve you or your business needs.
North American BANCARD is the leader in providing the proper tools for Business-to-Business transactions. NAB's services enables your customers to replace costly paper purchase order processes by accepting purchasing cards.
Retail Storefront The acceptance of all major credit cards is a key factor in the satisfaction of your customers. North American Bancard will provide your retail storefront with processing solutions to accommodate them. We offer the widest selection of Credit Card processing products and solutions. NAB will provide the services necessary to meet your needs no matter your size or industry. There are many benefits to allowing North American Bancard to set up your merchant account, below are just a few.
Processing credit cards over the Internet is one of the fastest growing segments of transactions today. This type of transaction or "card-not-present" transaction requires a special type of merchant account. Most credit card companies use special criteria to assess risk and they have a different fee structure because you never physically see the card. There are many benefits to allowing North American Bancard to set up your card-not-present account, below are just a few.
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