Specialized Use Case Rules
Soft descriptors formatting rules
Soft descriptors are the descriptions that appear on a cardholder or account holder's statement. They are truncated at 22-40 characters (depending on the issuing bank) and should reasonably identify the transaction to the account owner. TabaPay can hardcode this field for you, however some customers will need to dynamically populate and pass it through themselves in the Soft Descriptor field to meet network requirements. The table below shares the minimum requirements for statement descriptors.
To meet these requirements you may have to certify to pass the descriptor in dynamically. See our Soft Descriptors page for more details on formatting and passing through the soft descriptor
| Use Case | Statement Descriptor Format | Example |
|---|---|---|
| Person-to-Person | P2P Provider*Counterparty Dynamically passed in Soft Descriptor | Bilbo Baggins sends money to Frodo Baggins using Middle Earth's remittance platform: Sender, Bilbo, sees ME*Frodo Baggins Recipient, Frodo, sees ME*Bilbo Baggins |
| Account-to-Account (excluding brokerages) | BaaS Provider*Account Owner Dynamically passed in Soft Descriptor | Frodo Baggins loads his One Ring account held at Shire Bank: Sender, Frodo, sees OneRing*Frodo Baggins Frodo Baggins needs to offload his One Ring account to pay Recipient, Frodo, sees OneRing*Frodo Baggins |
| Employer Driven Early Wage Access Provider | Provider Name*MerchantA Dynamically passed in Soft Descriptor | Strider needs to ask his employer, the Grey Company, for an advance to pay the innkeeper for his drinks, using Prancing Pony payments Recipient, Strider, sees Prancing Pony*Grey Company |
| Direct to Consumer Early Wage Access Provider | Provider Name | Strider, too embarrassed to ask his employer, again uses Isildur Heirs Advance provider to settle his debts with the innkeeper (before he was reformed by his valient journey) Recipient, Strider, sees Isildur Advance |
| Corporate Funded Disbursements | Company Name | The Council of Elrond is sending money to Gimli to fight the Black Riders Recipient,Gimli, sees Council of Elrond |
| Marketplace company | Marketplace Company Name | Legolas sold 100 arrows on Etsy merchant and is receiving settlement for goods sold: Recipient,Legolas, sees Etsy |
Lenders
- Repayment from credit cards may not be supported
- Avoid charging cardholders processing fees (surcharges on debit are prohibited). Similarly, a third-party processor or bill service provider acting as a vendor to the merchant should not charge cardholders any fees)
- Limit retries of debiting cardholders with failed or NSF response code (Visa applies fines to excessive retries)
- Loans must not be Payday or Title Loans.
- Lenders must only engage in lawful lending activity in the applicable jurisdiction(s)
- Lenders should ollow responsible lending best practices such as transparency (i.e. clear loan pricing, non-deceptive marketing and communications, and adequate disclosures); responsible products that consider borrower’s repayment ability, effective APR rate, and fair underwriting factors; non-discrimination in lending practices; non-abusive collection practices
- Licensing information should be clearly displayed to users
Money Remittance Providers
State licenses should be clearly displayed to users
Banking as a Service Providers
Partnering financial institutions and FDIC disclosures must be clearly presented to users. BaaS providers cannot market themselves as a bank.
Updated about 1 month ago