VCpay Terms and Conditions

Last updated: 06/10/2017

1. DEFINITIONS

1.1. In this document the following words shall have the meaning ascribed to them:1.1. In this document the following words shall have the meaning ascribed to them:

1.1.1. “Applicable Law” means all laws applicable in the jurisdictions in which you or the Bank operate, and includes any present or future constitution, decree, judgment, legislation, order, ordinance, regulation, statute, treaty, directive, rule, guideline or code, practice or practice note issued by any relevant Authority;

1.1.2. “Authority” means any government, governmental, administrative, fiscal, monetary, Central Bank, judicial, regulatory, self-regulatory or government owned or controlled body, department, commission, authority, tribunal, agency or entity to whose jurisdiction any Party or the Terms and Conditions may be subjected;

1.1.3. “the Bank” means Grindrod Bank Limited, a public company registered in South Africa as a bank in terms of the Banks Act 94 of 1990, registration number 1994/007994/06, and an Authorised Financial Services Provider – FSP Number: 6317;

1.1.4. “Disclosures” means the disclosures required in terms of the Financial Advisory and Intermediary Services Act 37 of 2002, accessible on the VCpay website or via the links under clause 18;

1.1.5. “EasyPay” means EasyPay (Pty) Ltd, registration number 1983/008/597/07;

1.1.6. “Fee Schedule” means the schedule of Fees available on the VCpay website and as stipulated in clause 15;

1.1.7. “Fees” means the fees and charges payable by you to us in accordance with the provisions of clause 8 below and the Fee Schedule;

1.1.8. “Merchant” means any person or entity to whom you may offer payment through the use of a Virtual Card;

1.1.9. “Personal Credit Card” means  a credit card issued to you by another bank;

1.1.10. “Pre-funded Account” means the bank account which will be opened in your name at the Bank, which account will be pre-funded by you as described herein to facilitate the creation of Virtual Cards;

1.1.11. “Request” means a request by you to us, using VCpay, to create a Virtual Card;

1.1.12. “Terms and Conditions” means the terms and conditions of use in respect of VCpay as set out in this document and as may be amended, varied or added to from time to time by us;

1.1.13. “Transaction” includes, but is not limited to, any transaction undertaken using a Virtual Card for the purposes of paying for goods or services, via card not present transactions,  or transacting using any other channel;

1.1.14. “VCpay” means the mobile virtual card application brought to you by Net1 which allows you to, inter alia, request a Virtual Card;

1.1.15. “Virtual Card” means a unique Net1 Virtual Prepaid MasterCard;

1.1.16. “you”, or “your” means the person or persons who have downloaded or used VCpay; and

1.1.17. “Net1”, “we”, “us”, or “our” means Net1 Mobile Solutions (Pty) Ltd , registration number 2006/009851/07, a duly registered limited liability company in South Africa and Authorised Financial Services Provider – License Number 46067,and/or our holding company, affiliated or associated companies, our successors or assignees or the Bank.

2. INTRODUCTION

 

2.1. We have made VCpay available for you to download and install.

2.2. After successful installation of VCpay and subject to the further terms herein contained, you will be able to, inter alia, –

2.2.1. fund the Pre-funded Account;

2.2.2. submit Requests; and

2.2.3. perform Transactions at Merchants with a Virtual Card.

3. ACCEPTANCE BY YOU OF THESE TERMS AND CHANGES THERETO

3.1. By downloading, installing and/or using VCpay, you unconditionally and irrevocably –

3.1.1. agree to be bound by the Terms and Conditions; and

3.1.2. provide your consent for us to conduct such third-party database and other checks as may be required in terms of the laws of the Republic of South Africa to regulate our relationship.

3.2. IF YOU DO NOT AGREE TO THESE TERMS AND CONDITIONS, DO NOT ACTIVATE OR USE VCPAY.

3.3. Any changes to the Terms and Conditions will be communicated to you via e-mail, sms or updated on the VCpay website. By continuing to use VCpay after such changes, you unconditionally and irrevocably agree to be bound by the Terms and Conditions, as amended.

3.4. As we are required by law to communicate certain changes and updates to the Terms and Conditions to you, any communication in this regard will not be subject to any opt out clause you may have communicated to us or any third party.

3.5. You will ensure that your personal details (including contact details) are kept up to date.

4. NATURE OF A REQUEST

 

4.1. Each Request shall constitute an unconditional and irrevocable instruction and authorisation from you to us to create a Virtual Card in accordance with the details supplied by you at the time of the Request.

4.2. Upon receipt of a valid Request, we will create a Virtual Card in accordance with the specific information supplied in such Request

.4.3. We do not check or ascertain whether or not there are funds available in the Pre-funded Account before we create and issue a Virtual Card and no funds are deducted from the Pre-funded Account at the time of the creation of a Virtual Card.

4.4. By creating and issuing a Virtual Card we make no representation whatsoever that such Virtual Card will be accepted by a Merchant.

4.5. We may refuse to process any Request which we believe may violate these Terms and Conditions or any Applicable Law.

4.6. We shall not be liable for any loss or damage of whatsoever nature that you may suffer as a result of a Virtual Card being created based on incorrect particulars supplied by you in a Request.

5. TRANSACTING WITH A VIRTUAL CARD

 

5.1. A Virtual Card can only be used to perform card not present Transactions up to the value at which the Virtual Card was created and subject to a R50,000 per Transaction limit or such other limit as may be set in terms of Applicable Law. A singular transaction exceeding R50,000 or any limit set in terms of Applicable Law may not be split to circumvent the applicable limit.

5.2. A Virtual Card can be used by you at any Merchant which supports MasterCard “card not present” Transactions.

5.3. You are responsible for all Transactions initiated and fees and charges incurred by the use of VCpay and/or a Virtual Card. If you permit another person to have access to VCpay or Virtual Card numbers, it will be deemed that you have authorised such use and you will be liable for all Transactions and fees and charges incurred by those persons. You are wholly responsible for the use of each Virtual Card according to these Terms and Conditions.

5.4. Merchants may preauthorise a Transaction for the purchase amount plus up to 20% (twenty percent) or more to ensure there are sufficient funds available to cover tips or incidental expenses incurred. Any preauthorisation amount will place a “hold” on the available funds in your Pre-funded Account until the Merchant sends us the final payment amount of your purchase. Once the final payment amount is received, the preauthorisation amount on hold will be removed. It may take up to 30 (thirty) days for the hold to be removed. During the hold period, you will not have access to the preauthorised amount.

5.5. We may limit the value or number of Virtual Cards you may request.

5.6. You may not use a Virtual Card for any illegal Transactions and in particular not for gambling activities outside the borders of South Africa.

5.7. You do not have the right to stop payment on any purchase or payment Transaction performed with a Virtual Card.

5.8. If you use a Virtual Card to perform a Transaction in a currency other than South African Rand (“ZAR”) – the amount deducted from your Pre-funded Account will be converted by MasterCard International Incorporated into ZAR.

5.8.1. The exchange rate between the Transaction currency and the billing currency used for processing international Transactions is a rate selected by MasterCard International Incorporated from the range of rates available in wholesale currency markets for the applicable central processing date.

5.8.2. Such rate may vary from the rate MasterCard International Incorporated itself receives, or the government-mandated rate in effect for the applicable central processing date.

5.8.3. The election will be entirely at the discretion of MasterCard and you will have no claim against us in relation thereto.

5.8.4. We will charge a currency conversion fee at the rate set out in the Fee Schedule.

5.8.5. The value of any foreign transactions performed using a Virtual Card may count towards your discretionary allowance of R1,000,000 per calendar year for foreign exchange or such other limit as may have been granted by the South African Reserve Bank. It is your responsibility to ensure compliance with all Applicable Law governing foreign exchange, as may apply to individuals.

5.9. You should obtain a receipt from Merchants at the time you perform a Transaction with a Virtual Card. You agree to retain, verify, and reconcile your Transactions and receipts.

5.10. We are not responsible for the delivery, quality, safety, legality or any other aspects of goods or services that you purchase from others with a Virtual Card. All such disputes must be addressed to and dealt with directly with the Merchant from whom those goods or services were procured.

6. THE PRE-FUNDED ACCOUNT

6.1. In order to open the Pre-funded Account you will be requested to provide us with certain personal information or documents used for verification purposes in terms of the Financial Intelligence Centre Act, No. 38 of 2001 (“FICA”). You undertake to immediately provide us with all such information or documents required by us from time to time, in compliance with FICA.

6.2. We shall be entitled to restrict or terminate your use of VCpay (including but not limited to the amounts to be transferred to your Pre-funded Account and Transaction values) so as to meet the legal requirements and restrictions imposed on us and the Bank by FICA.

6.3. The Pre-funded Account may be funded –

6.3.1. from your Personal Credit Card;

6.3.2. through EasyPay (using your unique EasyPay Reference Number);

6.3.3. from your personal bank account by electronic funds transfer (using your mobile number as a reference) ; or

6.3.4. in such other manners as may be made available by us from time to time.6.4. The value available in the Pre-funded Account is limited to the funds which have been transferred to your Pre-funded Account.

6.5. You are responsible for keeping track of your Pre-funded Account available balance. Merchants generally will not be able to determine your available balance. It’s important to know your available balance before performing any Transaction with a Virtual Card. You may access your available balance by accessing VCpay.

6.6. Any funds transferred to your Pre-funded Account will be kept for your benefit in the Pre-funded Account.

6.7. No interest will be earned on the funds in the Pre-funded Account.

6.8. You may request a refund of funds available in the Pre-Funded Account. A refund will be processed (after deduction of our normal fees and charges in this regard) to you within a reasonable period after you have, in writing, nominated a valid bank account for such purposes and a supporting bank stamped statement or bank letter has been submitted to us showing that you are the named holder of the nominated bank account.

6.9. The Pre-funded Account is not transferable and will be closed upon termination of your use of VCPay.

7. SECURITY

7.1. You will select a PIN once you have registered to use VCpay. You will need your PIN to access VCpay.

7.2. You should not write down your PIN. Never share your PIN with anyone. When entering your PIN, be sure it cannot be observed by others.

 

8. FEES AND CHARGES

8.1. We levy no charges for downloading of VCpay. However, such download may be subject to fees levied by your network operator.

8.2. No fees are charged for the creation of Virtual Cards.

8.3. You are liable for the payment of the Fees set out in the Fee Schedule under clause 15 below.

8.4. We shall be entitled to change or increase the Fees due to us in accordance with the Terms and Conditions by such amounts and at such intervals as we may in our sole, but reasonable discretion, determine. You will be notified of such changes or increases via e-mail, sms or an update on the VCpay website.

8.5. If, at any time, you do not accept an increase to such Fees, you shall be entitled to terminate your use of VCpay in accordance with the provisions of clause 10 below.

8.6. You hereby irrevocably and unconditionally authorise us to withdraw all Fees due to us by you from your Pre-funded Account.

 

9. RISK AND LIMITATION OF LIABILITY

9.1. If we do not properly complete a Transaction from your Pre-funded Account in accordance with the Terms and Conditions, we may, subject to the further terms herein contained, be liable for losses or damages suffered by you as a result. We will however under no circumstances whatsoever be liable:

9.1.1. If you fail to update your personal information or breach any other term herein contained;

9.1.2. If you do not have enough funds available in your Pre-funded Account to complete the Transaction;

9.1.3. If a merchant refuses to accept your Virtual Card;

9.1.4. If an electronic terminal where you are performing a Transaction does not operate properly;

9.1.5. If you have given access to VCpay and/or your PIN to any other person;

9.1.6. If there is a hold on your funds subject to legal process or other encumbrance restricting their use;

9.1.7. If we have reason to believe the requested Transaction is unauthorised;

9.1.8. If circumstances beyond our control (such as, for example, fire, flood, or computer or communication failure) prevent the completion of the Transaction, despite reasonable precautions that we have taken; or

9.1.9. for any other legal reason.

9.2. Notwithstanding anything to the contrary contained herein:

9.2.1. We will not be liable for any loss or damage which you may suffer from any cause whatsoever unless it is conclusively proven that such loss or damage was caused by our intentional conduct or gross negligence.

9.2.2. We shall be not liable to you for –

9.2.2.1. any special or indirect damages whether within your contemplation or not; and/or

9.2.2.2. loss of income or profit, howsoever arising.

9.2.3. Our aggregate liability to you from whatsoever cause arising shall not exceed R2, 000.00 (two thousand Rand).

10. TERMINATION OF USE

10.1. You shall be entitled to terminate your use of VCpay by providing us with written notice of such termination.

10.2. If your mobile device is lost or stolen, or if you decide to change your mobile device, or if you change your phone number, your access to VCPay shall terminate as soon as we are notified of such event.

10.3. We reserve the right to cancel your usage of VCpay at any time, without prior written notification, if you have violated any of the Terms and Conditions or in the event that we reasonably suspect that you have used VCpay to commit fraud, and/or have engaged in fraudulent conduct with the use of VCpay.

10.4. We may, at our sole discretion and without prior notice to you, permanently terminate or withdraw any of the functionality of VCpay, in whole or in part.

10.5. We may, at our sole discretion and without prior notice to you, temporarily suspend, in whole or in part, the use of VCpay in order to perform any maintenance or repair work or for any other reason that requires the temporary suspension of the functionality of VCpay.

10.6. Notwithstanding your cessation of use of VCpay, you will remain liable for any Transactions requested and/or processed prior to such cancellation.

10.7. If your use of VCPay is terminated we will, subject to the provisions of Applicable Law and standard industry practice, refund the available balance in the Pre-funded Account (after deduction of our normal fees and charges in this regard) to you within a reasonable period after you have, in writing, nominated a valid bank account for such purposes and a supporting bank stamped statement or bank letter has been submitted to us showing that you are the named holder of the nominated bank account.

11. WARRANTIES

11.1. You warrant as on date of acceptance of these Terms and Conditions and throughout your use of VCPay that –

11.1.1. you are older than 18 and legally entitled to access and use VCpay;

11.1.2. you have, and will continue to have all necessary consents to use VCpay;

11.1.3. you have capacity to be bound by the Terms and Conditions;

11.1.4. you are, and will remain, in full compliance with any and all Applicable Law;

11.1.5. you will refrain from directly or indirectly, entering into prohibited transactions in terms of the Executive Orders issued by the U.S. Department of Treasury Office of Foreign Assets Control , pertaining to the Republic of South Africa;

11.1.6. in the performance of the Terms and Conditions, and in connection with your activities in relation to VCPay, no payments of money or anything of value will be offered, promised or paid, directly or indirectly, to any official, or public or political officer, to induce such person to use its influence with government or instrumentality to obtain an improper business advantage for us;

11.1.7. you will immediately report to us any information that may indicate that there has been a payment of money or anything of value offered, promised or paid, directly or indirectly, to any foreign official, or public or political officer as described in 11.1.6 above (hereinafter referred to as “an Improper Payment”);

11.1.8. you will comply with all exchange control regulations and it is recorded that nothing herein contained should be construed to absolve you from excise and custom duties;

11.1.9. you will not participate in lotteries organised outside of South Africa, or purchase foreign exchange to participate in any gambling, including internet gambling. Furthermore, you will not use your Virtual Card to facilitate payments for these activities.

11.2. Although we will always try to ensure the functionality of VCpay is available, VCpay is provided “as is”. Subject to the Consumer Protection Act 68 of 2008 as read with any of its Regulations (collectively “the CPA”), we make no warranties, representations, statements or guarantees (whether express, implied in law or residual) in this regard.

11.3. Subject to the CPA, we do not warrant that VCpay and the information it contains, will –

11.3.1. meet your requirements or expectations;

11.3.2. be uninterrupted, timely, secure or error free;

11.3.3. meet any particular measure of accuracy, completeness or reliability, performance or quality;

11.3.4. be free of viruses or any other data or code which has the ability to corrupt or adversely affect the operation of your mobile device, computer, data or network.

12. INDEMNITY

12.1. You indemnify us, the Bank and our other authorised service providers and their affiliates against any third party claims, damages or costs (including reasonable attorney’s fees) caused by or attributable to your –

12.1.1. acts or omissions;

12.1.2. use of VCpay; and/or

12.1.3. breach of the Terms.

 

13. OUR INTELLECTUAL PROPERTY

13.1. We own or are licensed to use all intellectual property rights in all materials, text, drawings and data (collectively “the Materials”) made available via VCpay.

13.2. Any unauthorised reproduction, distribution, derivative creation, sale, broadcast or other circulation or exploitation of the whole or any part of the Materials is an infringement of our rights.

13.3. We own or are licensed to use the VCpay trademarks, names, logos and service marks (collectively “Trademarks”) displayed on VCpay whether registered or unregistered. You must get our permission in writing if you want to use any Trademarks.

13.4. You may use the Materials only to the extent necessary to enable you to use VCpay.

13.5. You may not –

13.5.1. use any robot, spider, scraper, deep link or other similar automated data gathering or extraction tools, program, algorithm or methodology for any unlawful purpose, including the unlawful access to, acquisition of, control over, copying or monitoring of VCpay; and/or

13.5.2. attempt to decipher, decompile, disassemble, or reverse-engineer any of the software comprising VCpay.

14. GENERAL

14.1. These Terms and Conditions are the sole record of the agreement between you and us in relation to VCpay. Neither of us are bound by any express, tacit or implied representation or warranty not recorded in these Terms.

14.2. These Terms and Conditions replace all prior written and verbal communications between us about VCpay.

14.3. We may assume that all electronic communications which reasonably appear to originate from you are in fact from you and the form in which we receive the communication is the same as when it was first sent.

14.4. We may send alerts, notifications and other communications to you by way of SMS, email or other electronic delivery mechanisms and you consent to receive communications from us in any such manner.

14.5. We may send electronic alerts to the cellular number or email address you have provided to us.

14.6. A certificate signed by any one of our directors will, unless the contrary is proven, be sufficient evidence of –

14.6.1. the date of publication and the content of the Terms and any amended Terms;

14.6.2. the date of publication and the content of earlier versions of the Terms; and/or

14.6.3. the date and content of any communication and notifications sent in terms of the Terms.

14.6.4. Your Pre-funded Account and your obligations under the Terms and Conditions may not be assigned. We may however cede and assign our rights under the Terms and Conditions.

14.7. Use of your Pre-funded Account and a Virtual Card is subject to all applicable rules and customs of any clearing house or other association involved in Transactions.

14.8. We do not waive our rights by delaying or failing to exercise them at any time.

14.9. If any provision herein contained shall be determined to be invalid or unenforceable under any rule, law, or regulation of any governmental agency the validity or enforceability of any other provision herein contained shall not be affected. The Terms and Conditions will be governed by the laws of the Republic of South Africa.

14.10. You consent to the jurisdiction of the Magistrate’s Court irrespective of the amount in dispute, provided that we shall be entitled to issue suit out of any court which would otherwise have had jurisdiction. In the event that we take legal action against you, you agree to pay our legal costs on an attorney and own-client scale as well as tracing agents, charges and collection fees.

NO CLASS ACTION, OR OTHER REPRESENTATIVE ACTION, JOINDER OR CONSOLIDATION OF ANY CLAIM WITH A CLAIM OF ANOTHER PERSON OR CLASS OF CLAIMANTS SHALL BE ALLOWABLE.

 

15. FEE SCHEDULE

15.1 App – free

15.2 Registration

  • Trial version – free
  • E17 (light) – free
  • Full FICA – free

15.3 Load Funds

  • EasyPay Deposit – R2.85 + up to 3% of the deposit value
  • EFT – 3% of deposit value
  • Bank Deposit – 3% of deposit value
  • Credit Card Load – 3% of deposit value

15.4. Dormancy Fee – R5.00 per month after six months of inactivity. The account is closed when the balance reaches R0.00.

15.5. International Transaction Fee – 2% of transaction value

15.6. Monthly Statements via email – Free

 

 

16. PROMOTIONAL RULES

16.1. Registration campaign – Receive 25% of the purchase value back in your VCpay account (up to a maximum of R25.00) when you spend R25.00 or more on your first purchase with VCpay. VCpay reserves the right to terminate or alter the promotion at any time without prior notice. Further information can be obtained from the Digital Marketing Manager, 4th Floor, Cnr Jan Smuts Ave & Bolton Road, Rosebank, Johannesburg, during office hours for the duration of the promotion.

16.2. Referral campaign – Receive R25.00 back in your VCpay account when a referred user redeems your code and completes their first spend on VCpay. At the end of each calendar month the top monthly referrer will have their earnings doubled. VCpay reserves the right to terminate or alter the promotion at any time without prior notice. Further information can be obtained from the Digital Marketing Manager, 4th Floor, Cnr Jan Smuts Ave & Bolton Road, Rosebank, Johannesburg, during office hours for the duration of the promotion.

 

17. FAIS DISCLOSURES

17.1 Disclosures in terms of the Financial Advisory and Intermediary Service Act 37 of 2002: