Understanding TSYS and the Merchant Processing Agreement
In the world of payment processing, TSYS (Total System Services) is a major player, providing a wide array of solutions for businesses that need to handle credit card payments securely and efficiently. A subsidiary of Global Payments, TSYS offers services to various industries, ranging from retail to healthcare, enabling seamless and secure transactions.
What is TSYS?
TSYS is one of the largest payment processors globally, handling billions of transactions annually. It provides services to merchants, financial institutions, and consumers. Their offerings include:
1. Merchant Processing: TSYS enables businesses to accept payments through various methods, including credit and debit cards, online payments, and mobile payments.
2. Issuer Processing: TSYS works with banks and financial institutions, managing card issuance and transaction processes.
3. Gateway Services: For online merchants, TSYS provides payment gateway solutions to securely process internet transactions.
4. Fraud Prevention: Through advanced tools and AI-driven insights, TSYS helps detect and prevent fraudulent transactions, ensuring a secure environment for businesses and consumers alike.
The backbone of this relationship between TSYS and its merchants is the **Merchant Processing Agreement (MPA)**.
What is a Merchant Processing Agreement?
A Merchant Processing Agreement is a legally binding contract between a merchant and a payment processor like TSYS. It outlines the terms under which the merchant will process credit card payments, including transaction fees, settlement timelines, equipment usage, and compliance requirements.
Key Components of the MPA:
-Fees and Rates: The MPA specifies the costs involved, including transaction fees, monthly fees, and any penalties for chargebacks.
- Service Levels: This section details the timeline for processing transactions, how quickly funds are settled, and customer support provisions.
- Compliance: Merchants must adhere to Payment Card Industry Data Security Standards (PCI DSS) to ensure secure handling of sensitive data.
- Termination Terms: The agreement outlines how either party can terminate the contract and what penalties may apply.
How Under.io Makes the Merchant Processing Agreement Digital
Traditionally, managing MPAs has involved paper-based processes, multiple signatures, and lengthy timelines, but Under.io is transforming this by offering a fully digital solution.
Benefits of Digitizing the MPA with Under.io:
- Streamlined Process: With Under.io, businesses can handle the entire MPA process online. From generating contracts to acquiring e-signatures, every step can be completed within a few clicks.
- Customizable Templates: Under.io offers customizable templates, allowing businesses to adjust MPAs to fit their needs while ensuring compliance.
- Document Mapping: Using Under.io’s PDF mapping technology, businesses can automatically populate contract fields, eliminating the need for manual data entry and reducing errors.
- Efficient Onboarding: By digitizing the MPA process, merchants can onboard quicker, getting payment systems up and running in record time.
- Centralized Storage: All contracts are stored securely in the cloud, making it easy for businesses to retrieve and manage agreements whenever needed.
By transforming the traditionally cumbersome MPA process into a digital workflow, Under.io helps businesses improve efficiency and reduce the time it takes to get merchants onboarded and processing payments.
Conclusion
TSYS is a critical partner for businesses looking to accept card payments, and the Merchant Processing Agreement is a key document that outlines how those transactions are managed. With Under.io’s digital solutions, businesses can streamline the creation, signing, and management of MPAs, ensuring faster and more efficient onboarding.