Dear merchant,

As you know, our industry of merchant card processing is ever changing and very complex. There are constant changes to security standards and regulation as set forth by Visa and Mastercard directly that affect how we handle your merchant account and ultimately how you process credit cards.

Routinely throughout the year Visa and Mastercard will make changes to their security policies and the way that information is reviewed and communicated to them. This year is no exception. In the past it has always been in the best interest of BNG Holdings, Inc. for the sake of our clients to absorb and mitigate the increased costs associated with these changes. This year is no different in regards to the frequency and variety of changes and the interest to mitigate risk and cost as much as possible.

Our goal as your processor is to provide the best possible technology solutions at the most affordable costs possible to give you the options you need to grow your business. Technology such as EMV, NFC, and Apple pay capable terminals, customized websites with e-commerce and financial software integration as well as POS systems and mobile solutions. To stay ahead of the curve takes a lot of innovation and makes the task of staying within the parameters of reporting and compliance of the card associations an even more daunting task.

As these compliance procedures are implemented by the associations there are more compliance checks and changes to the processes and procedures that we have to follow. This also requires more expertise in our staff which require more skilled and higher paid individuals. As a result of these changes and the increased cost of a growing and knowledgeable staff there may be a change in the discount reflected on your merchant statement. You may see a change of .09% for interchange plus merchants and .09% on the qualified rate only for merchants priced on a tiered structure. This is equivalent to $0.09 for every $100 dollars that is processed. This is the absolute smallest possible increase needed to reflect the recent changes in the industry. By continuing service with us you are saying you agree to the above changes to your merchant processing account.

As we move forward we are committed to growing our infrastructure to provide you with the best service and solutions in the industry. We aim to continue to keep ahead of the curve on security standards as well as the highest functioning and simplest solutions in technology for your business to help you grow in to the future.

If you have any questions or concerns pertaining to these changes please contact us at your convenience either by email or by phone. You can email to [email protected] or you can call us at 888.777.5659. As always, we appreciate your business immensely and look forward to a prosperous and successful future. Thank you again.

Sincerely, BNG Holdings, Inc.