Prohibited Payment Card Processing Transactions. Sub-Merchant shall not do any of the following with respect to any Payment Card Processing Transaction:
i. Impose a surcharge on a Cardholder who elects to use a Card in lieu of payment by cash, check or other mode of payment;
ii. Charge a Cardholder more than the amount the Cardholder would pay if payment were made by cash or check;
iii. Establish a minimum below the amount allowed by the Associations; provided, however, you may establish a minimum sale amount as a condition for honoring Cards, provided that the minimum transaction amount does not differentiate between Associations and/or issuers and the minimum transaction amount does not exceed $10.00 (or any higher amount established by applicable law or the Rules).
iv. Establish a maximum sale amount as a condition for honoring Cards; provided, however, you may establish a maximum sale amount as a condition for honoring Cards if you are a department, agency or instrumentality of the U.S. Government, you are a corporation owned or controlled by the U.S. Government, or your primary business is reflected by one of the following MCCs: 8220 (Colleges, Universities, Professional Schools and Junior Colleges), 8244 (Schools, Business and Secretarial), or 8249 (Schools, Trade and Vocational), provided that the maximum transaction amount does not differentiate between Associations and/or issuers.
v. Obtain multiple authorizations for amounts less than the total credit sale amount;
vi. Obtain authorization for purposes of setting aside Cardholder’s credit line for use in future sales;
vii. Make any special charge to or extract any special agreement or security from any Cardholder in connection with any Payment Card Processing Transaction; viii. Transmit or accept for payment any Payment Card Processing Transaction which was not originated directly between Merchant and a Cardholder for the sale or lease of goods or the performance of services of the type indicated in Merchant's application for card processing services initially submitted to and approved by Fattmerchant or Member Bank; ix. Honor or accept a Card as payment for any legal services or expenses arising out of or related to (1) the defense of any crime other than a traffic violation; (2) any domestic relations matter where such services or expenses are furnished to a person whose name is not embossed on a Card; or (3) any bankruptcy, insolvency, compromise, composition or other process affecting Cardholder's creditors;
Prohibited Payment Card Processing Transactions. Sub-Merchant will not do any of the following with respect to any Payment Card Processing Transaction:
i. impose a surcharge on a Cardholder who elects to use a Card in lieu of payment by cash, check or other mode of payment, except to the extent authorized by applicable Operating Regulations or Applicable Laws;
ii. charge a Cardholder more than the amount the Cardholder would pay if payment was made by cash or check;
iii. establish a minimum sale amount below the amount allowed by the Associations; provided, however, Sub-Merchant may establish a minimum sale amount as a condition for honoring Cards, provided that the minimum transaction amount does not differentiate between Associations and/or Issuers and the minimum transaction amount does not exceed $10.00 (or any higher amount established by applicable Operating Regulations or Applicable Laws);
iv. establish a maximum sale amount as a condition for honoring Cards; provided, however, Sub-Merchant may establish a maximum sale amount as a condition for honoring Cards if Sub-Merchant is a department, agency or instrumentality of the U.S. Government, Sub-Merchant is a corporation owned or controlled by the U.S. Government, or Sub-Merchant’s primary business is reflected by one of the following MCCs: 8220 (Colleges, Universities, Professional Schools and Junior Colleges), 8244 (Schools, Business and Secretarial), or 8249 (Schools, Trade and Vocational), provided that the maximum sale amount does not differentiate between Associations and/or Issuers;
v. obtain multiple Authorizations for amounts less than the total transaction amount;
vi. obtain Authorization for purposes of setting aside a Cardholder’s credit line for use in future sales;
vii. make any special charge to, or extract any special agreement or security from, a Cardholder in connection with the transaction;
viii. transmit or accept for payment any transaction which was not originated directly between Sub-Merchant and a Cardholder for the sale of goods or the performance of services of a type indicated in the Application;
ix. honor or accept a Card as payment for any legal services or expenses arising out of or related to: (a) the defense of any crime other than a traffic violation; (b) any domestic relations matter where such services or expenses are furnished to a person whose name is not embossed on the Card; or (c) any bankruptcy, insolvency, compromise, composition or other process affecting a Cardholder’s creditors;
x. use Sub-Merchant’s own...
Prohibited Payment Card Processing Transactions. Sub-Merchant shall not do any of the following with respect to any Payment Card Processing Transaction:
1. Impose a surcharge on a Cardholder who elects to use a Card in lieu of payment by cash, check or other mode of payment;
2. Charge a Cardholder more than the amount the Cardholder would pay if payment were made by cash or check;
3. Establish a minimum below the amount allowed by the Associations; provided, however, you may establish a minimum sale amount as a condition for honoring Cards, provided that the minimum transaction amount does not differentiate between Associations and/or issuers and the minimum transaction amount does not exceed $10.00 (or any higher amount established by applicable law or the Rules).
4. Establish a maximum sale amount as a condition for honoring Cards; provided, however, you may establish a maximum sale amount as a condition for honoring Cards if you are a department, agency or instrumentality of the U.S. Government, you are a corporation owned or controlled by the U.S. Government, or your primary business is reflected by one of the following MCCs: 8220 (Colleges, Universities, Professional Schools and Junior Colleges), 8244 (Schools, Business and Secretarial), or 8249 (Schools, Trade and Vocational), provided that the maximum transaction amount does not differentiate between Associations and/or issuers.
5. Obtain multiple authorizations for amounts less than the total credit sale amount;
Prohibited Payment Card Processing Transactions. You are not permitted to submit a transaction for payment that is illegal, fraudulent, damaging to the reputation or brand of any card network, or not authorized by the cardholder. Transactions submitted must result from bona fide activity between you and a cardholder. Transactions must not involve any coercion, intimidation or unfair act upon the cardholder. The Associations’ Operating Rules (links provided on page 1 of this Agreement) provide guidance as to certain transactions that may be prohibited, restricted or otherwise limited. You are responsible for completing transactions that comply with the same. The following are several examples of transactions, transaction limits or transaction characteristics for which you should determine if your intended actions are permitted and/or limited in any manner:
i. The establishment of minimum or maximum transaction amounts;
ii. Transactions with charges related to the payment transaction itself, above and beyond the goods or services sold;
iii. Any determination as to whether certain cards may or may not be accepted including whether cash payment discounts would be offered to a consumer;
iv. Acceptance of cards for other than the sale of goods or services such as transactions involving debt repayment;
v. Submission of a transaction for payment from card belonging to you;
vi. Transactions involving the disbursement of cash; or
vii. Refunding a prior payment transaction to other than the original charged card.
