Verotel Merchant Newsletter - Feb 2006

Dear Merchant,

A quick update from the company that handles your credit card processing. This monthly newsletter will cover new developments at Verotel, new processing features and related matters of interest for our webmasters. Feedback is always appreciated, you can email feedback AT verza.com

Maestro Debit
Verotel is working closely with our acquirers to present you the ability to charge Meastro cards in April of 2006. Maestro is emerging as a dominant debit player in Europe (comparable to USA ATM card with Mastercard logo). Endusers will be able to pay online with their ATM pin. Direct debit transactions with pin are of course less susceptible to fraud and chargebacks which is always welcome.

Solo / Carte Blue
Verotel is seeking to add this UK and French payment option to the payment platform to offer endusers additional ways to pay for online content. More updates will be made available when we know a timeline for implementation.

Processing Infrastructure
In 2005, Verotel has invested heavily in redundant systems to ensure that transaction processing would be up and running as much as possible. We will continue to improve on this in 2006 with additional redundant internet connections that provide better connectivity (through improved peering) ensuring that all end-users have quick response times from the order pages. Most of this work will happen behind the scenes, but you will see improved order page response times this year! This effort is made in combination with additional security measures to protect our network against outside intrusion and DDOS attacks.

Verotel Glue
Verotel Glue will allow an end-user to renew his membership at a discounted rate at the point of cancellation by offering him/her a discount for staying on as a member. This feature will increase the average duration of a membership and thus the bottomline of most web-masters. This customer retention feature should go live within the next 2 months and we expect it will reduce your total number of cancellations and improve your profitability.

Double Check
This product has been tested extensively and is ready to go live within 2 weeks. With Double Check, the merchant can request additional information for an online check transaction (driver's license) Although this will result in lower signups from online check (direct debit) the reversals from this product will be much lower. Each merchant has different needs, and depending on those needs you can implement double check on your site or remain with the current direct debit product.

Domain Depot
There has been some confusion regarding Verza's new Domain Depot. In Q1, 2006 Verza will offer, under ICANN accreditation, the ability to register domain names (for cheap) First and foremost this will serve as lead generator for new processing business. You will be able to register .com, .net, .org, .biz and .info. At this point, there are no requirements for Verotel merchants to move their domain names to the Domain Depot, although we reserve the right to make you a good offer

Risk Management
Risk Management is a very important part of our business, and we rely not only on the good business practices of our merchants, but also on new risk management tools to make sure that every merchant is in compliance with Visa and Mastercard rules and regulations. If you have any doubt regarding new content, and or would like to have your content reviewed by our risk management department, please contact rm AT verotel.com. All new website registrations are subject to risk management and content review.

Streamlined Order Pages
Verotel is evaluating changes to the order pages. This project includes not only the look and feel of the order pages, but the technology and scripts behind the order process. Optimization of both these areas should result in fewer errors during the signup process and increased sales!

PayMaster
In 2005 you started receiving checks and payments from PayMaster, a wholly owned subsidiary of Verotel. In 2006, PayMasters's services will be expanded to include international Wire payments and additional payment options that will allow you to share your payments with other webmasters and/or business partners.

3-D Secure / Verified by Visa
Verotel is developing 3-D secure / Verified by Visa payment processing and will roll out this service in Q1 of 2006. This technology will place the liability of a transaction back to the card holder and the issuing bank if they are 'verified' The end result should be a dramatic decrease in chargebacks due to 'friendly' fraud and other claims of 'I did not do that transaction"

Kind Regards,
Verotel Merchant Services BV