Kang Fintech Solutions (KFS)
Merchant Policy
Effective Date: February 2025
1. Introduction
Kang Fintech Solutions (KFS) is committed to providing secure, reliable, and innovative payment solutions to its merchants. This Merchant Policy outlines the terms, conditions, and responsibilities governing the relationship between KFS and its merchants. It ensures compliance with international standards, regulatory requirements, and best practices in payment processing and merchant services.
2. Objectives
The primary objectives of this Merchant Policy are to:
- Establish clear guidelines for merchants using KFS payment solutions.
- Ensure compliance with anti-money laundering (AML), counter-terrorism financing (CTF), and data protection regulations.
- Protect merchants, customers, and KFS from fraud, financial crimes, and reputational risks.
- Promote transparency, fairness, and trust in merchant transactions.
3. Scope
This policy applies to all merchants (individuals, businesses, or entities) who use KFS payment solutions, including but not limited to:
- Online and in-store payment processing.
- Mobile payment solutions.
- Point-of-sale (POS) systems.
- E-commerce integrations.
4. Merchant Onboarding
KFS implements a robust merchant onboarding process to verify the identity and legitimacy of all merchants. The onboarding process includes:
4.1 Application Submission
Merchants must submit a completed application form, providing accurate and up-to-date information about their business.
4.2 Documentation Requirements
Merchants are required to provide the following documents:
- For Individual Merchants:
- Government-issued ID (e.g., passport, national ID, or driver’s license).
- Proof of address (e.g., utility bill or bank statement).
- Tax Identification Number (TIN).
- For Business Merchants:
- Certificate of incorporation or business registration.
- Proof of business address.
- Tax Identification Number (TIN).
- Ownership structure and details of beneficial owners (individuals owning 25% or more of the business).
- Identification documents for authorized representatives.
4.3 Risk Assessment
KFS conducts a risk assessment to categorize merchants into low, medium, or high-risk levels based on factors such as business type, industry, transaction volume, and geographic location.
4.4 Approval Process
- Low-risk merchants: Approved after basic verification.
- Medium-risk merchants: Subject to additional documentation and review.
- High-risk merchants: Subject to enhanced due diligence (EDD) and senior management approval.
5. Merchant Responsibilities
Merchants are required to adhere to the following responsibilities:
5.1 Compliance with Laws and Regulations
- Comply with all applicable laws, including AML, CTF, and data protection regulations.
- Ensure all transactions are legal and legitimate.
5.2 Accurate Business Information
- Provide accurate and up-to-date business information during onboarding and throughout the relationship with KFS.
- Notify KFS of any changes to business details (e.g., ownership, address, or contact information).
5.3 Fraud Prevention
- Implement measures to prevent fraud, such as secure payment processing systems and customer verification tools.
- Report any suspected fraudulent activities to KFS immediately.
5.4 Customer Data Protection
- Protect customer data in compliance with data protection laws (e.g., GDPR, CCPA).
- Use encryption and secure systems to store and transmit customer information.
5.5 Transparent Pricing
- Disclose all fees, charges, and terms of service to customers clearly and transparently.
6. Payment Processing and Settlement
KFS provides secure and efficient payment processing services to merchants. The following terms apply:
6.1 Transaction Processing
- Payments are processed in real-time or near real-time, depending on the payment method.
- KFS reserves the right to delay or withhold payments in cases of suspected fraud or non-compliance.
6.2 Settlement
- Settlements are made to the merchant’s designated bank account within [insert timeframe, e.g., 1-3 business days].
- Settlement amounts are subject to applicable fees and charges.
6.3 Chargebacks and Disputes
- Merchants are responsible for managing chargebacks and disputes in accordance with KFS’s dispute resolution process.
- KFS may deduct chargeback amounts and associated fees from the merchant’s account.
7. Fees and Charges
Merchants are subject to the following fees and charges:
- Transaction Fees: A percentage of each transaction processed through KFS.
- Monthly Fees: Recurring fees for account maintenance and access to KFS services.
- Chargeback Fees: Fees applied to cover the cost of processing chargebacks.
- Other Fees: Fees for additional services, such as POS devices or custom integrations.
All fees and charges are disclosed to merchants during onboarding and in the merchant agreement.
8. Prohibited Activities
Merchants are prohibited from engaging in the following activities:
- Illegal or fraudulent transactions.
- Money laundering or terrorist financing.
- Selling prohibited goods or services (e.g., illegal drugs, counterfeit goods, or weapons).
- Misrepresenting business activities or customer transactions.
KFS reserves the right to terminate merchant accounts and report prohibited activities to relevant authorities.
9. Monitoring and Reporting
KFS implements ongoing monitoring systems to ensure compliance with this policy. This includes:
9.1 Transaction Monitoring
- Automated systems to detect unusual or high-risk transactions.
- Manual review of flagged transactions by the compliance team.
9.2 Suspicious Activity Reporting (SAR)
- Reporting suspicious activities to the relevant financial intelligence unit (FIU) or regulatory authority.
9.3 Periodic Reviews
- Regular reviews of merchant accounts and transaction patterns.
- Updates to merchant information as required.
10. Termination of Merchant Accounts
KFS may terminate a merchant account for the following reasons:
- Non-compliance with this Merchant Policy or applicable laws.
- Engagement in prohibited activities.
- Failure to resolve chargebacks or disputes.
- Providing false or misleading information during onboarding.
Merchants will be notified of account termination and provided with a reason for the decision.
11. Dispute Resolution
Merchants may raise disputes or complaints with KFS through the following channels:
KFS will investigate and resolve disputes in a fair and timely manner.
12. Policy Review and Updates
This Merchant Policy is reviewed annually or as needed to ensure compliance with changing regulatory requirements and industry standards. Updates to the policy are communicated to all merchants.
13. Contact Information
For questions or concerns regarding this Merchant Policy, please contact:
Address:
Kang Fintech Solutions
Bamenda, North West Region, Cameroon
By adhering to this Merchant Policy, KFS and its merchants can build a secure, transparent, and mutually beneficial partnership.
Kang Fintech Solutions (KFS)
Empowering Financial Innovation in Cameroon.