Merchants who accept card payments are typically required by card brands to provide policies that clearly disclose certain business information and cardholder rights to prospective customers on all platforms, including web pages, apps, invoices, or contracts. The specific policy requirements may differ depending on the location where you operate, the card brands you accept, and your business model.

Formation Company Corp requirements:

Formation Company Corp conducts regular reviews of our merchants’ websites to ensure compliance with required policies. To avoid being flagged by our risk team, it is important to ensure that your website clearly discloses the following information to your customers.

  • Contact information
  • Pricing information
  • Refund or cancellation policies
  • Privacy policy
  • The shipping time frame for physical goods delivery.
  • Terms and conditions of service

Contact information

The following types of contact information are considered sufficient:

  • A listed email address
  • A listed phone number
  • A physical mailing address
  • Social media accounts

Pricing information

It is important to ensure that the pricing information is clearly displayed on your website prior to customers making a payment.

Custom pricing

In case your pricing is only provided in a customized contract or after generating an invoice, it is essential to make certain that customers acknowledge and accept the pricing. Moreover, it is necessary to ensure that your contact information, privacy policy, and refund/cancellation policy are easily accessible in the contract or invoice..

Members-only pricing

If your pricing and policies are exclusively visible to members on your site, it is essential to indicate that pricing is accessible upon login. It is also advisable to have your contact information, refund/cancellation policy, and privacy policy easily accessible on your website for both members and non-members.

Donation pricing

Non-profit organizations can use a donation page that provides preset donation amounts, as well as the option for donors to make a custom donation.

Mobile payments

In case your business accepts payments only via a mobile app or website, it’s crucial to ensure that all the e-commerce website requirements are either met within the mobile platform or provide links to those requirements on your complete website.

Refund and cancellation policies
It is mandatory to display your refund policy on your website, regardless of what it is, even if you don’t provide refunds. Your refund/cancellation policy should outline the following minimum details:

  • Whether you provide refunds or not
  • The conditions that need to be met to be eligible for a refund
  • Any fees associated with refunds or cancellations.

Privacy policy
Your privacy policy can be concise, but it must encompass the following elements:

  • The types of information you gather from your customers
  • How you use that information

Terms and conditions of service
A typical agreement of this kind generally covers the following sections:

  • Defining key terms and phrases
  • Outlining user rights and responsibilities
  • Describing appropriate and inappropriate usage, as well as potential misuse
  • Establishing accountability for online actions, behavior, and conduct
  • Addressing the use of personal data
  • Specifying payment details, including membership or subscription fees
  • Providing an opt-out policy that outlines the process for terminating an account (if available)
  • Stating a disclaimer or limitation of liability, which clarifies the site’s legal liability for damages incurred by users
  • Notifying users of any modifications to the terms.

Read more

Merchant Account Online

Cannot find your answer? Talk to us now