In This Issue
Zumogo @ ETA
Compliance Day @ ETA
Social Media Payments
Retailer's Liability Under State CC Privacy Laws
Save the Date!!
ProPay In the News
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Last week, a number of ProPay employees visited San Diego to attend the Electronic Transaction Association's Annual Meeting and Expo.  As usual, the event provided a great deal of information on a variety of topics, from mobile payments to the Durbin Amendment, marketing to compliance. In this month's newsletter, ProPay will share some of the information gathered last week.  


Also of interest is the expansion of retailer liability under California's Credit Card Privacy Laws.  While many of you may have heard about California's ruling on collecting address information, the decisions around credit card privacy may have more far-reaching implications.  ProPay offers some insight into the legal changes taking place there.  


As always, please feel free to forward this newsletter to anyone that you think might be interested. 


The ProPay Team
Zumogo @ ETA

ProPay is pleased to announce that Zumogo has been announced the winner of the ETA 2011 Technology Showcase Challenge! 


ProPay entered Zumogo into the Technology Showcase Challenge along with several other participants during ETA's 2011 convention held in San Diego, CA.  The challenge was compromised of 6 different settings in a hotel environment ranging from a hotel patio to a Spa.  Zumogo received an overwhelming majority vote from industry peers giving ProPay's Social M-Payment application the winning number!


Electronic Transactions Association

"ETA Tech Awards Announced"  

Compliance Day @ ETA
by Lance Rich, Executive Vice President, Risk

ETA's Compliance Day brought together Risk Management and Compliance professionals throughout the Payments Industry. This one day event covered a broad range of topics from "How to Handle a Merchant Breach" to the "Risk of Third Parties" to "New Legal and Regulatory Requirements". Also, MasterCard®, VISA®, American Express®, and Discover® were represented and each presented current industry trends and programs.  


The event provided excellent opportunities to network with representatives from other companies that face similar challenges each day. Currently, a heavy focus is being placed on identifying and registering high risk merchants that are circumventing card brand rules. Robust Customer Information (CIP) and Know Your Customer (KYC) programs are more important than ever. It's also critical to have in place a tool that can review your merchant base and crawl through the web to ensure your merchants are not selling items that are prohibited or may be connected to a merchant that is selling high risk merchandise.


The card brands have rolled out programs that will require any merchant within the high risk designation (determined by Merchant Category Code) to register and pay a fee. This will ensure ongoing compliance and reduce the risk of chargeback and reputational risk for merchant providers. ProPay is confident that it has the appropriate tools in place to identify high risk merchants and to remove any that appear in its portfolio.  



"Social Media in Payments", an overview @ ETA

by Bryce Thacker, Executive Vice President, Sales and Marketing

One of the more interesting sessions at ETA was entitled, "Tweets, Posts and Networking-Social Media in Payments."  Shai Stern, with Check Alt Payment Solutions, Rhoda Steward, with First American Payment Systems, and Kathy Tuit, with Transfirst, shared their thoughts and experience with utilizing Social Media. 


The speakers outline ways that social media can benefit those who get involved, including:


·         Finding the right people to hire.  Networking on social sites is becoming one of the primary recruiting methods.  The very nature of social networks often quickly leads us to the talent we need.


·         Managing our brand's reputation. While 85% of companies think monitoring what is being said about them on socials sites is important, only 1 in 5 actually do it.  That means the vast majority of companies have little or no idea how they are being presented and represented.  Often, online comments can be harsh, one-sided, and unfair.  By monitoring and responding quickly and openly, we can become part of the dialogue, provide our perspective, and enhance our brand. 


·         Understand your customers.  Consider proactively providing outlets for customer input and feedback.  These could be message boards, blogs, FAQ sites, or Rating and Review sites. 78% of online customers trust recommendations from other customers so respond quickly, personally, and privately resolve customer concerns.  Customers appreciate these efforts and their thoughts can fuel innovation.


Establishing a clear, corporate-wide social media plan can help you reach your objectives.  In order to not do more damage than good, invest in training those employees selected to be involved so they know how to participate in the dialogue appropriately. Start with free monitoring tools that track a list of key words and grow from there. 

California Supreme Court Expands Retailer's Liability Under State Credit Card Privacy Laws

by Tony Allen, Executive Vice President, Corporate Counsel

The California Supreme Court issued a decision on February 10, 2011 that appears to render the privacy landscape even riskier for retailers doing business in California.  In Pineda v. Williams-Sonoma Stores, Inc. the court ruled that a customer's ZIP code constitutes "personal identification information: and that requesting and recording the customer's ZIP code during the course of certain credit card transactions may subject the requesting party to class action claims up to $1,000 per transaction, plus other liabilities. read more about Retailer's liability, click here or read our blog at



Save the Date!!

Speaking Events

Dr. Heather Mark PhD, SVP Market StrategyMobile Banking

June 6, 2011 @ The 5th Annual Mobile Banking & Emerging Applications in          New Orleans, LA.

Visit the site!



National Association of Federal Credit Unions (NAFCU) 

June 28, 2011 in San Francisco, CA 

ProPay will be in attendance to the NAFCU Conference promoting LenderPay! 

Visit the site! 



In the News


Latest Press Release

Lehi, Utah - May 19, 2011 - ProPay (, an industry leader in Merchant Services, End-to-End Payment Security, credit card processing, and electronic payment services is pleased to announce that Zumogo, ProPay's Social-M Payment application is the winner of the 2011 ETA Technology Showcase Challenge.  Zumogo (pronounced "Zoo-MOE-Go") allows merchants and consumers to connect in an entirely new way.  Consumers are able to locate merchants, engage in dialogue with merchants, find events and deals, and make payment all from their Smartphone. read more click here. 



"Leaving Las Vegas - The ETA Annual Conference Grows Up" 


Electronic Transactions Association 

"ETA Tech Awards Announced"  









DISCLAIMER:  ProPay, Inc. provides this newsletter only for general information or educational purposes.  Nothing herein should be relied upon without seeking the advice of an attorney or other professional appropriate to the subject matter.  While ProPay, Inc. strives to ensure information in this newsletter is accurate and current, ProPay, Inc. does not guarantee or represent that the information is correct, complete, or up-to-date; nor shall ProPay, Inc. be liable for any indirect, incidental or consequential damages (including lost data, information or profits) sustained or incurred in connection with the use of, operation of, or reliance upon any information contained in this newsletter.