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Contract sale Day Five / Mastercard changes impact to alarm billing  
January 5, 2022
Mastercard changes impact to alarm billing
          I received the following notice from my credit card processor.  Seems like this may apply to recurring alarm billing but wondering if having a contract in place is treated differently than say a monthly subscription box that you can cancel at any time.  The processor provided no additional information.   Does this apply to our industry and if so, I assume sending an electronic copy of the contract will suffice for #1.  #2 & #3 – how to meet this if subscriber is still under contract – cancellation instructions???
                      MC is implementing new requirements as it relates to merchants utilizing subscription/recurring billing models.
               The revised standards effective 03/22/2022 state:
1. Merchant  must send electronic notification of subscription terms at time of enrollment
2. Merchant  must send electronic receipt, including cancellation instructions
3. Merchant must provide online or electronic cancellation method
    Effective 9/22/2022, Merchant must clearly disclose terms of subscription and capture cardholders affirmative acceptance at point of payment.
                  Thanks for any clarity you can provide on this.
          Yes, this does affect the alarm industry because you bill RMR for monitoring and service and you have automatic renewal provisions as well as credit card and AHC authorizations that continue until the customer cancels.
          The Standard Form Agreements will come with the new requirements.  A summary of the requirements are below.
          I asked Tom Aronica, CEO of SkyBank Financial [listed on The Alarm Exchange under the category Financial Services : Automated Accounts Receivable & Invoicing – Biller Genie.  Contact Tom for credit card help
          Here is his response:
          Biller Genie complies with the latest guidance from Mastercard for merchants using a subscription/recurring payments model or negative renewal option.  As you might expect, Biller Genie handles all of this automatically with our auto-pay features which eliminates the need for dealers having to worry about getting the proper authorizations though manual paper processes.  We also provide a free guide on how to properly authorize credit card transactions.
Thomas J. Aronica, CPP
Chief Executive Officer
3550 Biscayne Blvd
Suite 704
Miami, FL 33137
D: 786-360-6391
F: 800-958-4250
O: 800-617-9980 x6001
MasterCard summary:
          Overview of new requirements

Effective as indicated, the following revised Standard will apply to negative option billing merchants that offer
a free or low-cost trial period of a digital good (such as streaming service, club membership, website access, or
software license) and then automatically enroll the cardholder into a subscription plan at the end of the trial
period (referred to as negative option billing).
• No less than three days and no more than seven days before the end of trial period, or whenever terms and
conditions will change, the merchant must send a reminder notification to the cardholder that the
subscription plan will commence if the cardholder does not cancel.
This notification must include the basic terms of the subscription and instructions about how to cancel. This
reminder can be completed by email message or any other electronic method.
NOTE: This requirement will not apply to high risk negative option billing merchants that offer a free or
low-cost trial period of a physical good such as dietary supplements and healthcare products and then
automatically enroll the cardholder into a recurring billing/subscription plan at the end of the trial period.
For additional information about the requirements for high risk-negative option billing merchants, refer
to Section 5.4.1 of the Transaction Processing Rules.
In addition, the following requirements will apply for all subscription merchants:
• Merchants must clearly disclose the basic terms of the subscription at the point of payment and capture the
cardholder’s affirmative acceptance of such terms. The disclosure must include the price that will be billed
and the frequency of the billing (for example, "You will be billed USD 9.95 per month until you cancel the
subscription."). Merchants that utilize a negative option billing model must also disclose the terms of the
trial, including any initial charges, the length of the trial period, and the price and frequency of the
subsequent subscription (for example, "You will be billed USD 2.99 today for a 30-day trial. Once the trial
ends, you will be billed USD 19.99 each month thereafter until you cancel.")

THE SALE HAS STARTED AND RUNS THROUGH JANUARY 14, 2022.  ORDERS ARE FILLED AS RECEIVED [UP TO 6 WEEK WAIT for sale orders - longer for update orders] ORDERS ARE FILLED AS RECEIVED [UP TO 6 WEEK WAIT for sale orders - longer for update orders]  
The Standard Form Agreements are all updated.  This year there are important updates.  All contracts should be updated this year.  One change is the inflation and supply chain delay provision; there are many others. 2022 updated contracts are ON SALE now; SAVE THOUSANDS DURING THIS SALE
    The Standard Form Agreements have been updated for 2022.  This year, because of unprecedented economic issues that have recently affected the alarm industry, all contracts should be updated.  Check with our Contract Administrator, Eileen Wagda, at 516 747 6700 ext 312 to see if your forms need updating.  Keep in mind that updates are free for 6 months and half price for 12 months from your original order date. Requests for updates will be processed after the new orders are processed.  The sale ends January 14, 2022; the sooner you order the sooner you will get the contracts.  Please do not call requesting priority unless you are a Concierge Client or have paid for expedited service.

How to order: order at - ordering is easy - order on-line during the sale and save thousands of dollars.  Need help ordering?  Call our Contract Administrator Eileen Wagda at 516 747 6700 x 312 for assistance. Concierge Clients can call our Concierge Program Coordinator Stacy Spector, Esq for assistance at 516 747 6700 x 304. Concierge Clients receive an additional 10% off the sale price.  You can join the Concierge Program before ordering to receive the discount and you should take advantage of this program.
    Contract sale runs through January 14, 2022, ending at midnight EST. The discount will be applied to orders received between now and January 14, 2022 by midnight*.  This will definitely be the best deal of 2022. When you place the order the full price will come up. We will apply the discount manually when we process the order.  Contracts will be delivered by email only.

Here's the deal:
    Buy 1 All in One Residential, Commercial or Fire All in One and get $100 off and $50 off Disclaimer Notice  save $150
    Buy 2 All in One forms and get $100 off first and $200 off second and $75 off Disclaimer Notice and $100 off rider and $100 off the Honeywell Notifier rider.   Save up to $575.
    Buy 3 or more All in One forms and get same as above and $300 off the third form and $400 off the fourth form.  Save up to $1275.00 [Residential, Commercial, Fire, Home Automation]
    Commercial Mobile Surveillance Lease $1000.  Save $250
    Fire All in One with Security Rider $1275.00. Save $300.00  Add the Commercial Fire All in One and the Commercial All in One and get $200 off each.  Save $700.00
    Qualifier Agreement $1200.00   Save $300.00
    Digital Sign And Display Sales, Hosting And Service  $437.50  save 50% $437.50
    Computer Consulting and Service   $437.50  save 50% $437.50
    Nationwide DIY with monitoring.  $3500.00    save $1000.00**
    Nationwide PERS with or without GPS tracking. $3500.00 Save $1000.00**
* Your order must be placed on line at and received by our office no later than January 14, 2022 by midnight EST.  Orders must contain valid credit card payment and be processed; you will receive confirmation.  Fill out the order form; the full prices will show and we will apply the discount before processing the order.  Orders arriving after sale ends will be processed at regular published rates.  Orders will be processed in order received.  Rush orders, delivered by email within 48 hours, add 15% - call Eileen to process.
Concierge Clients will receive their Concierge Program Discount on the Sale Price.  Sign up for the Concierge Program before placing your contract order to receive the additional discount.
** Does not include consultation or modification
     What's our Guarantee policy re updates?      
Free updates within 6 months of purchase***      
Half price within 6 months to 1 year***  
*** applies to original purchase only

To order up to date Standard Form Alarm /  Security / Fire and related Agreements click here:
CONCIERGE LAWYER SERVICE PROGRAM FOR THE ALARM INDUSTRY You can check out the program and sign up here: or contact our Program Coordinator Stacy Spector, Esq at 516 747 6700 x 304.
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Ken Kirschenbaum,Esq
Kirschenbaum & Kirschenbaum PC
Attorneys at Law
200 Garden City Plaza
Garden City, NY 11530
516 747 6700 x 301