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Table of Contents

Lead Story

Untangling the legal side of acquiring


Industry Update

NACHA seeks input on QR codes

It's anonymous mobile payments for Amazon

Accord reached on EMV liability shift

Breach exposes 2.4 million cards

Selling Prepaid

Prepaid in brief

The promise of prepaid MDC

New approach urged for cross-border enforcement


The new PCI SSC guidelines: Separating the cloud from the fog

Kurt Hagerman
FireHost Inc.

Get ready for the mobile revolution

Michael Gavin
Merchant Warehouse


Street SmartsSM:
Think like an aggregator

Dale S. Laszig
Castles Technology Co. Ltd.

Impact of EMV and NFC on acquiring

Jim Bibles
Aperia Solutions

Training customized for you

Bill Pirtle
C3ET Credit Card Consortia for Education & Training Inc.

Company Profile



Meet The Expert: Ross Federgreen

New Products

Versatile storefront, mobile merchant app

AprivaPay Plus
Apriva LLC


Conform, with style


Readers Speak

Resource Guide


A Bigger Thing

The Green Sheet Online Edition

May 13, 2013  •  Issue 13:05:01

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NACHA seeks input on QR codes

The Council for Electronic Billing and Payment, a committee of NACHA - The Electronic Payments Association, is prepared to embark on an evaluation of the quick response (QR) code guidelines it released in December 2012, and it seeks participation from the payments industry. The CEBP said evaluation of the QR Encoding for Consumer Bill Payment Guidelines will last from May 1, 2013, to June 30, 2014.

The guidelines identify standards for using QR codes in both biller direct and consolidator/aggregator billing and payment models. Recommendations include the size of QR codes, what data the codes should contain and how that data should be formatted in the code. The document describes ways QR codes can be employed, such as to view bills, make bill payments, and enroll consumers in e-bill and online banking services.

Industry evaluation of the guidelines, considered the second phase in the overall evaluation of the document, seeks to confirm the efficacy of the specifications contained in the guidelines, as well as clarify how QR codes should be used in billing and payment models and how they can be used to reduce costly bill payment exceptions.

How QR codes can reduce exceptions

Robert Unger, Accredited ACH Professional and Senior Director at NACHA, said via email that most bill payment exceptions occur due to user error, such as customers entering incorrect account information when setting up online banking accounts.

NACHA and the CEPB commissioned a 2012 study on exceptions that showed 0.58 percent of total bill payments in 2011, including check, automated clearing house, card and cash payments, could not be posted accurately upon their receipt by billers because of missing or incorrect data associated with the transactions. The report concluded that the costs of handling approximately 130 million exceptions in 2011 totaled $720 million for financial institutions.

Unger noted that such billing errors also cause reputational damage to financial institutions, but QR codes can help minimize that damage. "If the consumer scans the QR code - instead of entering the data - there should not be any data entry errors, thus no (or much fewer) exceptions when compared to customers who enter data themselves," he said. NACHA said the goal of the guidelines is to establish a single, standardized QR code format to be employed by financial institutions and billers that will provide "certainty for biller and banking clients" and ensure a "consistent experience for consumers." Payment businesses can register to participate in the evaluation at

For additional news stories, please visit and click on "Read the Entire Story" in the center column below the latest news story excerpt. This will take you to the full text of that story, followed by all other news stories posted online.

Notice to readers: These are archived articles. Contact names or information may be out of date. We regret any inconvenience.

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