ISU Payment Card Merchant Agreement For Internet Transactions

This Merchant Agreement (the "Agreement"), which includes the merchant application (Application to Process Internet Payments) and any schedule or addendum to this Agreement, all of which are incorporated herein by reference, is entered into between Iowa State University, Office of the Treasurer (referred to as "ISU", "we", "us", or "our") and you, the undersigned Iowa State University Department or affiliate (referred to as "Merchant", "you", "your" or "department"). The Office of the Treasurer will administer the process so that you will be capable of accepting payment card payments. We also will facilitate the transfer of funds arising from the use of Cards by your customers ("Cardholders") for which we have agreed to settle. To receive these services, we, Iowa State University, Office of the Treasurer, and you, the department, agree to the following terms and conditions:

Security and Privacy

You agree not to disclose or acquire any information concerning a cardholder's account without the cardholder's consent. You will not sell, purchase, provide, disclose or exchange card account information or any other transaction information. A link to the ISU Customer Data Privacy Statement located at must be provided on your site.

You may retain a payment card number for the duration of a payment card transaction. The payment card number must be destroyed at the conclusion of the transaction. It must not be retained. A payment card processor will return a reference number for the transaction. The reference number must be retained along with pertinent information describing the transaction for a period of not less than 18 months. This information must be stored using high security protection. You must not store payment card numbers on university servers after the transaction occurs. You, the department, will be responsible for any losses due to poor internal controls.


General Rules, Regulations and Guidelines:

The merchant account should be used only for transactions related to the sale of Iowa State University goods and services . A cash advance or withdrawal from your department to a cardholder, or to yourself, is not allowed. You may not accept money from a cardholder and subsequently prepare a credit draft for the purpose of creating credit to the purchaser's account.

You will, in good faith, develop, maintain, and post on your web site a fair policy for the exchange and return of merchandise and for resolving disputes over merchandise and/or services purchased with a payment card. If a transaction is for non-returnable, non-refundable merchandise, you will indicate this in the appropriate area on your web site and have a link to your return policy.

You will give proper credit for returns and adjustments by performing the proper function via the approved Third Party Transaction Vendor Administrative Interface. You will not, under any circumstances, pay any card refund or adjustment to a cardholder in cash.

You will provide Iowa State University or our processor, upon demand, with any information, evidence, assignments or other assistance needed for any billing dispute with a cardholder or any dispute with a cardholder over the nature, quality or performance of the goods or services or in connection with any return or rejection of such goods or services. You must comply with this request in a timely manner.


Payment Card Process Overview

1. The daily sales will automatically settle into the appropriate bank account designated by the Office of the Treasurer.

2. It is the responsibility of the department to complete an on-line credit memo (CME) within 24 hours of settlement and to reconcile the settlement amount to the payment card receipts. If the payment card payments are fed directly into the Iowa State University Financial Management System (FM), it will be the responsibility of the department to reconcile the settlement amount in FM to the payment card receipts. Any discrepancies are the responsibility of the department to reconcile. You will be provided the phone number of the help desk at our payment card processing organization.

3. It is the responsibility of the department to resolve all disputed claims ("chargebacks") as expeditiously as possible. The payment card organization (payment card processor for Visa /MasterCard or directly by Novus/Discover and American Express) will notify you, after their internal review is complete, about the nature of the dispute, who is lodging the dispute, and the amount in dispute. You will have a specified length of time (usually 30 days) to respond back to the payment card organization. You must respond in a timely manner with all of the information requested. If your response is judged as insufficient or untimely, your fund account specified on the Application to Process Internet Payments will be charged for the disputed item. There are instances in which the chargeback will occur before any notification is received by the university. In this instance, your fund account specified on the Application to Process Internet Payments will be charged for the disputed item. You then will receive copies of all the information via campus mail and you will have 30 days to dispute the charge. If the dispute is ruled in your favor, your fund account will be credited back the amount originally charged.

4. Your fund account will be charged by debit memo (DME) for all processing fees related to the transactions you process. This debit memo will contain the discount fees for Visa/MasterCard, Novus/Discover and any additional processing costs (i.e.: per item fees, additional equipment, etc.).


Should the Application to Process Internet Payments be approved, the merchant department agrees to notify the Director of Business Affairs (ph.294-4701) before selling any products or services not specifically identified therein. Once approved, the authority to process Internet payments will automatically expire December 31st of the year authorization is granted. Thereafter, the merchants may annually request renewal of authority to process Internet payments, subject to ECRC review and approval. By signing below, I certify that the merchant department has read and agrees to comply with the E-commerce Policy for University Departments and Affiliates.


DEO/Director Departmental Contact Person Office of the Treasurer
_________________________    _________________________    _________________________
Print Print Print
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Signature Signature Signature
Date: ____________________ Date: ____________________ Date: ____________________
Phone: ___________________ Phone: ___________________ Phone: ___________________
Email: ____________________ Email: ____________________ Email: ____________________


Merchant/Department Name: _____________________________________________________________

Fund Account Number: ___________________________________________