The Prepaid Press - AJB Partners with First Data for Currency Conversion

05/24/2013

AJB Partners with First Data for Currency Conversion

Payment Service Provides New Revenue Source to Retailers

ATLANTA, GA and TORONTO, CANADA (April 19, 2012) AJB Software Design, Inc., provider of integrated payment solutions, and First Data Corporation, a provider of electronic commerce and payment processing, say that retailers across the globe are now processing international payment transactions, using First Data's Dynamic Currency Conversion (DCC) service. They say DCC provides US merchants with a way to entice increasing numbers of international consumers.

According to the US Department of Commerce, international visits to the US is expected to grow by 36 percent between 2010-2016, which would result in more than 81 million visitors by 2016. First Data's DCC service is offered in various countries and regions around the globe with the newest market being Canada, which is expected to launch within a few months.

AJB's payment processing application suite now allows merchants to implement First Data's DCC service. DCC is a currency and payment service that allows merchants to offer international Visa, MasterCard and branded payment cardholders with the option to execute purchases in their local currency.

AJB's payment processing application suite includes Flexible Integrated Payment System (FIPay) and Retail Transaction Switch (RTS). FIPay provides the in-store system component responsible for integrating the PIN pad device into First Data's DCC solution. AJB's Retail Transaction Switch (RTS) provides real-time authorizations to First Data for the DCC transactions.

"AJB has over 18-years experience integrating payment-based vehicles into other payment products," said Pat Polillo, vice president of Sales at AJB. "Our products have proven to be a flexible, stable and capable set of solutions for tier-1 retailers. We are pleased to be working with First Data on a number of initiatives, including its market-leading DCC solution."

"Our organizations remain steadfast and focused on developing and delivering valuable products and services that drive value to both merchants and consumers alike," said T. Michael Black, Jr., vice president, International Currency Solutions, First Data. "Partnering with AJB to integrate our global DCC solution into the AJB suite of products is a great example of how our two companies provide innovative solutions to our mutual customers."

Without DCC, the companies say consumers can be charged up to seven percent of the total transaction cost on top of an undisclosed rate of exchange. Consumers do not know the exact cost of their purchase until the transaction is revealed on their credit card statements. With DCC, consumers have the choice to pay in the local base currency or their own currency. DCC provides consumers with full transparency into the details of the transaction helping them make an educated and informed decision. Consumers instantly know the precise amount they are paying in their local currency. There are no hidden fees or surprise currency exchange adjustments when they receive their credit card statements, and they receive a credit card receipt that will match the transaction amount posted to their credit card statement.

"DCC provides an important value-added service and ancillary revenue stream for merchant service providers with strong presence in tourist and corporate travel destinations," said David Fish, senior analyst, Mercator Advisory Group. "It can also provide an attractive revenue stream for merchants that serve tourists, potentially offsetting a portion of their overall expense of managing the point of sale and the payment process."

Source: First Data; AJB Software Design