Common use of Description of the Program Clause in Contracts

Description of the Program. The Program enables processors, acquirers and Merchants to process Transactions in multiple currencies, in order to enable Merchants to offer and sell goods and services to Cardholders in the currency which they select, thereby improving the customer experience and helping Merchants sell more. The Program comprises Dynamic Currency Conversion also known as Pay in Your Currency. Using Dynamic Currency Conversion, the Merchant prices its goods and services in its local currency (e.g. AED) and after a Cardholder has made the decision to purchase and presents his Card for payment, the systems in use under the Program determine if the Card is eligible for DCC. The Cardholder is then presented with the option at the Point of Sale, to complete the Transaction in the Currency, in which the Card is denominated (e.g. Euro) and is shown the conversion rate and Transaction amount in both currencies (e.g. AED and Euro) in order to assist him in making a decision. If the Cardholder “opts in” and decides to complete the Transaction in the currency of the Card, the Transaction is authorized and submitted to the Card Associations for clearing and settlement in the currency of the Card (e.g. Euro). However, upon settlement by the Card Association to the Acquirer, the Transaction is converted back into the Acquirer’s settlement currency (e.g. USD), so that the Acquirer can pay the Merchant what it expected to get paid, i.e. the original price of its goods and services, in its local currency (less of course the Acquirer’s and Card Associations’ usual processing fees). The Cardholder is billed the exact amount, in his local currency, as shown on the receipt that he signed (or accepted electronically) at the Merchant.