Recurring Transaction and Preauthorized Order Regulations Sample Clauses

Recurring Transaction and Preauthorized Order Regulations. If You process recurring transactions and charge a Cardholder’s account periodically for recurring goods or services (e.g., monthly insurance premiums, yearly subscriptions, annual membership fees, etc.), the Cardholder shall complete and deliver to You a Cardholder approval for such goods or services to be charged to his/her/its account. The approval must at least specify the Cardholder’s name, address, account number and expiration date, the transaction amounts, the timing or frequency of recurring charges and the duration of time for which the Cardholder’s permission is granted. You must obtain an authorization for each transaction and write “Recurring Transaction” (or “P.O.” for MasterCard transactions) on the Sales Draft in lieu of the Cardholder’s signature. A positive authorization response for one recurring transaction Card Sale is not a guarantee that any future recurring transaction authorization request will be approved or paid. For all recurring transactions, You should submit the 3-digit Card Validation Code number with the first authorization request, but not subsequent authorization requests. All Recurring Transactions or Preauthorized Orders may not include partial payments for goods or services purchased in a single transaction. You may not impose a finance charge in connection with a Recurring Transaction or Preauthorized Order. If You process recurring payment transactions, the Recurring Payment Indicator must be included in each authorization request. Penalties can be assessed by the Associations for failure to use the Recurring Payment Indicator.