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Table of Contents

Lead Story

Fintechs: friends or foes?

Patti Murphy


Industry Update

News Briefs

Selling Prepaid

ETA sets forth recommendations on prepaid rule

Mixed forecast for open-loop prepaid cards


Why every MLS needs to know how to cross-sell

Barry Davis

Don't leave alternative payments on the table

Dale S. Laszig
DSL Direct LLC

A solid niche for cash advance products

Steven Feldshuh
Merchants' Choice Payment Solutions East


Street SmartsSM:
Never sell a merchant account again

Aaron Nasseh
Finical Inc.

Portfolio rationalization

Adam T. Hark
Preston Todd Advisors

The real reason so many newbies fail

Jeff Fortney
Clearent LLC

Company Profile

Apogee Payment Systems LLC

New Products

Automated, out-of-the-box cash discount program

XeroPoint. Cash Discount Program
Processing Solutions Inc.


Persuasion in practice


Letter from the editors

Readers Speak

Tapping into your super-user base

Resource Guide


A Bigger Thing

The Green Sheet Online Edition

August 28, 2017  •  Issue 17:08:02

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New Products

Automated, out-of-the-box cash discount program

Product: XeroPoint. Cash Discount Program

New Orleans-based Processing Solutions Inc. has created XeroPoint., a comprehensive cash discount program designed to offset merchant processing fees and pricing. The solution includes a XeroPoint.-enabled POS device, cash discount signage, continuous training and support and optional PSI sales partner training, the company stated.


"In our discussions with merchant level salespeople, we saw a need to put margin back into the industry to create a win-win for merchants and agents," said Derrick Hess, Managing Partner at PSI. "Our authorized PSI sales partners are putting hundreds of basis points per merchant back into their portfolios while virtually eliminating processing fees for business owners."

Hess added that merchants with average tickets between $10 and $100 can benefit from the program, and agents appreciate the ability to demonstrate the program's ease of implementation and profitability.

Fully deployed, fully vested

"XeroPoint. is ready to go, out of the box, and PSI-authorized resellers are fully vested on day one," Hess stated. "When you sign a merchant on the XeroPoint. program, we send them everything they need and provide 24/7 support." Hess added that XeroPoint. terminals are deployed with cash discount software, required signage and receipt disclaimers at no cost to participating resellers and merchants.

Following are additional program benefits the company described:

Benefits beyond just processing

Cash discount programs have been implemented in Europe and at U.S. gas stations for decades, Hess noted. Many national, state and local governments, including departments of motor vehicles, municipal courts, educational institutions, and the Internal Revenue Service have implemented service fees. Unlike most credit card surcharging programs, cash discount programs use the same national guidelines.

Participating merchants post a uniform service fee for all sales. Consumers who pay with a method other than cash will incur a 4 percent service charge, which is automatically calculated by the XeroPoint. terminal and appears as a line item on the customer's receipt. The service charge is waived for customers who pay with cash, checks and prepaid products at checkout. There have been few objections to the small upcharge, and some merchants have reportedly offset up to 99 percent of payment card processing fees by implementing the program, PSI representatives stated.

Card brand rules, compliance

The XeroPoint. Cash Discount Program is fully automated, in compliance with card brand regulations, Hess said. Required signage states that all consumers will pay a 4 percent service fee, which will be waived for those paying with cash. The proprietary software automatically adds fees to noncash transactions. This is distinct from credit card surcharge programs, which are more complicated to implement and have rules that vary in different states and territories, the company emphasized.

"Credit card surcharge programs are required by law to state that customers paying with credit cards pay more than customers who pay with cash," Hess stated. "XeroPoint. alternatively rewards cash-paying customers and is fully compliant with Visa, Mastercard, Discover and American Express guidelines, with built-in pricing conducive to card brand guidelines."

Hess said the program is continually updated to maintain full compliance with evolving regulations. In the unlikely event that cash discount programs lose favor with regulators, PSI offers an array of cost-effective, interchange-plus pricing programs, he added.

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

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