Prepaid Card Program
Global Acceptance
Certified with MasterCard®, Visa and /or Star to provide global coverage
1. Overview
This document is intended to provide our recommendations in order to successfully launch a Co-Branded Partner branded
prepaid solution. This document should be considered as a ‘Work in Progress’. It will evolve as we learn more about the
opportunity and the details relating to the Program.
This document will become part of the Project Initiation Document (PID) - the document which outlines all details required
to deliver the Co-Branded Partner Prepaid Program.
2. Co-Branded Partner
The Co-Branded Partner prepaid card is an option offered to Co-Branded Partner e-wallet users as an option for
withdrawing funds from their e-wallet. Co-Branded Partner is looking to provide an alternative solution that offers a better
and integrated solution, offering their cardholders a better experience.
The card will only be sold to Co-Branded Partner account holders who have already been through a detailed KYC process in
order to use the e-wallet. The card would be a general spend card, denominated in USD and would be open to people of all
nationalities.
Co-Branded Partner will offer customer service via its existing service centers and systems through integration into the
DIXIPAY systems or through the provision of the API to Co-Branded Partner, allowing them to service the cardholder via their
phone based customer service team.
3. Brief outline of requirements
The card would be launched in as soon as is possible during the course of 2013.
As a minimum, the card should include the following:-
• Chip and Pin reloadable Visa / MasterCard card (USD / EUR) with a custom card design
• 3 year expiry
• Personalized KYC Product
• Open Loop
• Sold via the branded partner website
• Serviced by the DIXIPAY Card Management & Processing System.
• Reloadable via a transfer from the cardholders e-wallet.
• 24/7/365 lost and stolen number.
• POS, ATM and ecommerce enabled.
Further discussions will take place to discuss and agree the exact required functionality of the card/program; from our initial
discussion my understanding is that the following features are required;
Card Application - the customer will make the application for the card through the Co-Branded Partner website, and the
card will be personalized and shipped out to the card holder.
Once the card holder receives the card they would need to activate the card and load funds to it by performing a transfer
from their e-wallet account.
DIXIPAY would suggest that we offer Card Activation and PIN retrievals via the following channels:
Online: The cardholder logs in to their DIXIPAY account and selects an option to activate the Card, and is immediately
supplied with their PIN number online.
Call Centre: Cardholder calls the DIXIPAY Call Centre and the Card is activated by the operator. The PIN is issued to the card
holder by SMS or email.
Telephone: Customer calls the IVR (Interactive Voice Recognition) number to activate the card and the PIN will be issued
via the IVR at the end of the call. This would be a UK based number.
DIXIPAY believes that we are the only company that can deliver PIN numbers instantly via all 3 channels as outlined above.
DIXIPAY has committed to considerable capital expenditure in terms of procuring its own HSM (Hardware Security Module)
boxes, thus allowing us to control the PIN delivery direct to the Cardholder on activation from any channel.
4. Required Card Types
Personalized KYC’d Card
This Card will have the Cardholders name embossed or indented onto the front of the Card. This is then posted to the
registered address of the Cardholder. This card has a maximum balance of circa $10,000
5. Loading of Cards
Card will only be loaded via a transfer from the cardholders e-wallet.
6. Benefits to Co-Branded Partner
Revenue opportunities – Co-Branded Partner will be in control of the margin applied to each feature within the program.
Co-Branded Partner will need to consider these charges carefully – DIXIPAY is happy to offer advice based on our
experience. By utilizing the feature-rich data and reporting suite within OBI, Co-Branded Partner will be able examine all
aspects of the charging structure, amend charges and measure what happens when charges are decreased or increased as
per profitability/usage. This data can be used to tailor cardholder offers.
P2P – This will create a greater sense of community and allow the Cardholder to be part of the “Co-Branded Partner
Community”.
Low Cost and Profitable – limited initial set-up costs incurred by Co-Branded Partner whilst enhancing revenue.
Spend/Marketing –Co-Branded Partner will have access to all cardholder transactional history/data; this data can be used
to drive marketing. Reports produced for Co-Branded Partner can detail all retail spend by cardholder age, gender, the
location of the merchant and the merchant category code.
7. Features and Benefits to Cardholders
Loading – funds can be loaded directly onto the card very quickly by transferring funds out of their Co-Branded Partner e-
wallet.
Accessibility – anyone of a legal age can obtain a Prepaid Card as card applicants do not require a bank account or any
previous credit history (subject to standard identification checks, as enforced by the relevant Financial Services Authority).
Security – the Cardholder does not need to divulge their credit card or bank account details when applying for a card. Once
a customer has received their Card further protection exists as the ‘card balance/account’ cannot go overdrawn. If a card
were lost/stolen the card has protected liability. The cardholder is protected when purchasing online as the Card is not
connected to a traditional bank account or identity.
Instant notification – the Cardholder can be notified by SMS once funds have been loaded onto their Card.
Balance check – the Cardholder can check their balance via our automated telephone system (IVR), by SMS or by the
internet.
Lock/Unlock facility – in addition to load and balance enquiries via SMS, a Co-Branded Partner Cardholder can also utilize
the ‘Lock’ and ‘Unlock’ functionality. This facility allows the Cardholder to ‘temporarily lock’ their Card, at any time,
remotely. The Card can then be simply ‘unlocked’ via the same method to allow for use again.
8. Flow of Cardholder Funds
Funds are deposited onto a Prepaid Card by bank load from the Co-Branded Partner e-wallet trust account, via a ‘Trust
Account’ i.e. a bank account that DIXIPAY has restricted rights to (view only). Co-Branded Partner does not have the ability
to physically withdraw any funds. These funds are then transferred to the Scheme (Visa) bank account for settlement. This
account would be a DIXIPAY re Co-Branded Partner account.
Funds Follow Diagram
Settlement Bank
Scheme Settlement Account
PCI
Client
API Calls
Compliant re Issuer re Client
Loads Monthly
Data Report
Processing Net
Daily
Sweep Revenue
Due
Funds from
e-wallet Trust Issuer Client
Account re Client Account
Float / Funding Bank
Card Usage
These cards will have full access to the global MasterCard® and Visa networks, cards are accepted at over 26 million
locations worldwide and over 1 million ATM’s. Cards can also be utilized for ‘card non-present’ transactions wherever the
MasterCard® or Visa brand is displayed/accepted.
Customer Service
DIXIPAY will provide a bespoke CRM system, designed specifically to support all customer service requirements related to a
Co-Branded Partner Prepaid card and can furthermore provide appropriate training and support to Co-Branded Partner staff.
By utilizing API, Co-Branded Partner can access relevant cardholder information in real-time. They can load an account,
block and unblock a Card, review recent card transactions, view recent loads from all load sources and resolve customer
relates issues and queries. Cardholders can also request assistance via the customer web portal (My Account),
and of course via our automated telephone system (IVR). In our experience the vast majority of Cardholders prefer to use
SMS or IVR to resolve their query. We also offer a 24 x 7 Lost and Stolen phone
9. API allow the following
Data Center Financials Card status
Authorizations Float Balance Cards Nearing Expiry
Balance Adjustments Program Recon Inactive Cards
Balance Summary Total Card Spent Signups
Card Sales Activations FX Loads
Loads
Global Load Network
• Country specific
Internet Functionality
• Card signup
• Access account
• SMS functionality
• Change account details
• Check balance
• Change PIN
• Load funds
• View transaction history Multi-Currency
• Send funds to
• Load funds via Credit or Debit Capability
secondary card
Card
• Block & Unblock
• Send funds to any other Card
• Card usage
• Receive funds
• Card secured and protect by
– Card number
– PIN
– Poison Image
• Branding engine that allows the
corporate client to change
content, look and feel to match Card Management System
any brand • Full back office support for
managing the portfolio
• Full security control for access
management
Managing the DIXIPAY program
By utilizing DIXIPAY’S suite of API’s, Co-Branded Partner will be able to fully manage their cardholders from within the
current Co-Branded Partner website infrastructure. Current features include:
• Create new cards and replacement cards (damaged/lost)
• Check current balances
• Check transactions – report on where customers spend their money
• In store EPOS card loads
• Integration of the ‘My Account’ functionality seamlessly into Co-Branded Partner portal
• Allow cardholders to transfer money (P2P)
• Activate cards via IVR/Online/Customer Services
• Retrieve PIN and request PIN reminder
• Update cardholder details
• Load cards
• Void loads
• Customer Service Portal to manage cardholder data
Mobile Money Management – SMS
DIXIPAY’S SMS services can be categorized into 3 distinct segments; Card Management, Premium and Featured.
Card Management
DIXIPAY has a number of Card Management SMS commands available to cardholders. Card Management SMS services
provide the Cardholder with a convenient, 24 x 7, method of managing their Card via their mobile phone therefore
providing Co-Branded Partner cardholders with enhanced user experience but can also open up an incremental revenue
stream for Co-Branded Partner. Current commands are detailed below;
Balance - the most popular function of the platform, Cardholders simply send ‘Balance’ and then the last four digits of their
Card to a short code, their balance is returned within seconds
Share - an incredibly useful function, allowing Cardholders to transfer money from their Primary Card to another Co-
Branded Partner Primary cardholder in matter of seconds
Activation - an easy to use feature reducing call center usage and allowing the Cardholder to easily activate their Card using
their mobile handset
SMS Block - a feature which allows the cardholder to apply a temporary block on their card, temporarily preventing
transactions. This can be useful if a customer believes they have misplaced their card, but do not wish to cancel their Card
SMS Unblock - this function reverses the Blocked status on their Card
Lost - a quick and easy way for a cardholder to report that their Card has been lost (a replacement card is automatically
produced)
Stolen - this allows a Cardholder to register that their card has been Stolen (a replacement card is automatically produced)
10. Project Activities
Once the Co-Branded Partner project commences, a detailed project plan will be created (see sample below). This needs to
be agreed with key staff to ensure that all internal and external resources are appropriately allocated and deployed. A
Project Office will be established and processes complying with PRINCE II international project management standards will
be followed.
Below is an indicative timeframe of the main activities that need to occur to deliver the project. Note: a standard project
implementation will take approx. 14/16 weeks from signing of contract. It may be possible to reduce this timeline to 8/10
weeks but this is dependent on the complexity of the program and the time taken to confirm scheme approval with Visa /
MasterCard.
)
DIXIPAY Project Management
Contract / Scope DIXIPAY & Co-
Definition Branded Partner
DIXIPAY Kick-off
Card Design DIXIPAY & Co-
Branded Partner
Issuer Bank Card Setup DIXIPAY & Issuer Bank
Processor Configuration DIXIPAY & Processor
Visa Approval DIXIPAY with Issuer
Bank & Card Bureau
Card Production DIXIPAY & Card
Bureau
User Acceptance Test
Project Completion
Key Activities
Listed below are the key activities required during the set-up and delivery of the program. Within each stage there are a
number of mutual milestones that both DIXIPAY and Co-Branded Partner will need to meet in order to complete the
program within the defined timeframes.
Agree Terms & Initial Sign-Off
Contractual terms agreed
Contract signed
Card design approved by client
Cardholder terms and conditions agreed
Marketing & Requirements Agreed
Marketing material agreed
Scope out technical interface requirements and API requirements
Daily balance and reconciliation requirements agreed
PIN requirements agreed
Technical Integration & Testing
The technical integration between processor and DIXIPAY
Report requirements identified and fulfilled
Card testing completed
DIXIPAY completes card testing (ATM, POS, Internet)
API and integration testing
Finalize Requirements
KYC procedures finalized and signed-off by issuing bank
Training completed
Financial settlement completed, including direct debit for fees to client etc
Production Testing
Code moved test environment to Production
Final card/SMS/Website testing before handover to Co-Branded Partner
Project go-live
Cards available for delivery
Customers begin to use cards
11. DIXIPAY Platform infrastructure
DIXIPAY has direct relationships with a number of strategic operational partners in the Prepaid and Telecommunications
industries. These partners are collectively responsible for delivering the DIXIPAY portfolio of products.
Platform infrastructure
Acquiring
Network
Uploading
IVR
SMS
Web Site
12. Our proposal
Our proposal is designed to provide Co-Branded Partner with a fully functional prepaid card program that offers Co-Branded
Partner prepaid cardholders a number of options and benefits;
• A Personalized fully KYC’d prepaid card - this card will have higher load and spending limits than the non KYC’d cards.
• P2P (person to person) fully integrated program allowing personalized, KYC’d cards to transfer e-money between Cards
instantly
The Co-Branded Partner Prepaid card solution is not directly linked to a bank account; hence the card can be issued to
anyone, irrelevant of credit history. The card acts as a virtual account where funds can be accrued.
These funds can then be used for online and POS purchases or for ATM cash withdrawals worldwide.
All card activities will be managed by Co-Branded Partner, as outlined later in this document.
The DIXIPAY platform allows Co-Branded Partner to offer a prepaid card that will be superior to any other consumer card
available today. The structure and behavior of the card will be dictated by Co-Branded Partner however, DIXIPAY can design
and build a card program that allows Co-Branded Partner customers to:
• View real-time transactions online or on their mobile phone via the card account
• Withdrawal cash from ATM or shop online or in store using the card
• View and manage their account(s) online in real-time,
• Manage and control their prepaid card by SMS via their mobile handset
• Instantly transfer funds between cards (P2P) via mobile, IVR or online
DIXIPAY believes that no other prepaid card program can deliver this diverse spectrum of rich functionality and most
importantly, it is up and running and being used today.
Co-Branded Partner will be able to see all transactions across their prepaid card estate down to individual card level if
required. This provides Co-Branded Partner unrivalled, highly detailed marketing data.
Co-Branded Partner will have total flexibility to decide how it wishes to produce revenue from the card. For this reason,
consideration needs to be given to the transactional costs that DIXIPAY will charge their customers for loading cards, Point
of Sale purchases, ATM withdrawals and any other processing and transaction costs. DIXIPAY is very happy to assist Co-
Branded Partner with these decisions based on our experience. The adaptability of our technology platform ensures that
changes can be made at any time.
13 .Telephone System
DIXIPAY has implemented a cutting edge, VXML (voice XML) IVR (Interactive Voice Recognition) platform. This is another
bespoke system written in .Net which integrates directly with our database infrastructure. The IVR platform is constructed
so that new programs can be deployed rapidly. The IVR configurations for each program are database driven allowing the
latest TTS (Text To Speech) engines to process Cardholder information and welcome them by name. The IVR currently
allows the following functions for Cardholders, dependent on Program:
Activation
The activation process allows Cardholders to seamlessly Activate their Card over the IVR making it easier for the Cardholder
and reducing call center costs. The process takes seconds.
PIN Retrieval
Cardholders can use our PIN retrieval service built using secure HSM (Hardware Security Module) to decrypt PIN number,
cardholders are able to retrieve their PIN number.
Balance
This frequently used function allows a Cardholder to quickly and conveniently confirm the current balance. This is
particularly helpful when a cardholder is shopping and needs to check they have sufficient funds – it is a driver of card
usage.
P2P
This feature allows a Primary Cardholder to transfer money via their phone on the IVR instantly to another Primary
cardholder.
Block / Unblock
This feature allows Cardholders to place a temporary Block and/or Unblock on their card, preventing transactions.
Management Fee includes the following (this is an indication and is not an exhaustive list):
• Licensing of the technology Platform developed and supported by DIXIPAY
• Program support services
• Market information
• Product development, product upgrades, product and marketing support
• Quarterly review meetings with sales, marketing and technical departments
• Fraud Monitoring (management of chargeback process and Suspicious Activity Reports - SARS)
• Compliance with JMLSG
• AML
• PSD Payment Service Directive
• Banking Code of Practice
• Ongoing monitoring and applying to rules and regulations
• Inventory Management (Cards, Card Carriers, envelopes, activation stickers, T&C’s, additional
• inserts, dedicated marketing materials etc)
• Warehouse and dispatch systems, recording of stock, shipments and returns
• System Down Time reports (monitoring of the prepaid systems)
• Relationships management with Card Bureau and Processor, regulatory bodies)
• Dedicated Client liaison and Account Management
• Management of process partners
• Dedicated customer support
• Ongoing product development
• Maintenance and upgrade of the application platform
• Technical support
16. Why DIXIPAY
• Specialist provider of end-to-end prepaid, e-payment and mobile commerce technology solutions
• Proven technology that is designed specifically for prepaid resulting in greater flexibility and speed to market
• Flexible and robust IP for the Prepaid Industry ensuring you are running a stable and reliable program for your
customers
• Industry leading, dynamic reporting suite providing real-time cardholder information enabling Co-Branded Partner to
personalize marketing and therefore reduce costs
• Fee Manager technology designed specifically for the challenges faced with the prepaid space meaning that Co-Branded
Partner’s program will run with maximum profitability
• Dynamic IVR platform offering enhanced services to customers meaning that Co-Branded Partner can extend its
excellent service and reputation to it prepaid program and enhance customer experience
• Full suite of mobile commerce services ranging from balance enquiries, mini-statements, money transfer, card blocking,
PIN retrieval, card activation, exchange rates, purchase via SMS - real value to the Co-Branded Partner customer
• Experts with a proven track-record within the prepaid market. Reliable, stable prepaid technology along with valuable
consultancy . We are happy to pass on this experience to ensure the success of Co-Branded Partner program
• Systems have already been tested and scrutinized and Ceridian giving Co-Branded Partner peace of mind when working
with DIXIPAY
• PCI DSS compliant - security is a key priority for DIXIPAY and its partners
• Strong relationships with MasterCard and Visa - meaning we can move speedily to react to any market changes
• Bespoke solution can be delivered within 16 weeks of the contract being signed
17. In Summary
We would very much welcome a further meeting to go through this proposal in more detail as there will no doubt be areas
for discussion. We are committed to working with Co-Branded Partner to develop and deliver an exceptional prepaid
program and hope that Co-Branded Partner selects DIXIPAY as its preferred partner.
