Tap2Local

What is Tap2Local?

Tap2Local allows your business users to accept payments through tap to pay, payment links, and QR codes directly within your Mobile Banking experience. And with Jack Henry’s open banking solutions and reconciliation-first infrastructure, your institution can automatically reconcile payments with accounting systems like QuickBooks and Xero. This enhances accuracy and ensures compliance while delivering a seamless experience for your business users.

Tap2Local allows your business accountholders and sole proprietors to accept card payments directly from their mobile phone, eliminating the need for additional hardware and making it incredibly convenient for businesses to manage sales both in-store and on the go. We support all four card brands: Visa, Mastercard, American Express and Discover. In addition the Tap to Pay functionality is fully realized on both Apple iOS and Android ecosystem.

Imagine you own a bakery and you sell goods in your store, at the farmer’s market, and weekend catering. Rather than taking your store’s card machine (or a backup card reader) and trying to get it set up and connected at an event like the farmer’s market, you could simply use your phone to accept card payments right in your mobile banking experience.

How does it work?

Tap2Local uses mobile technology and card networks to facilitate payments for business. It allows three different payment options that gives your business accountholders the flexibility that their business needs. Payment Links and QR codes provide the ability to support a card not present experience for the payer.

1. Tap to Pay: Customers can tap their physical card or virtual card (Apple Pay, Google Pay) directly to the business’s phone.
2. Payment Links: Businesses can generate and send unique payment links to customers that then allow the customer to pay via their card in a web experience later.
3. QR Codes: Businesses can display a QR code on their phone screen. This works on mobile, web, and desktop devices.

Product Catalog

Product Catalog allows merchants to create, manage, and sell their inventory directly within Tap2Local. Merchants will be able to build out their catalog by adding individual products with key details such as a name, base price, description, and category. This moves the app from a simple keypad-entry terminal to a more robust point-of-sale solution.

This feature is seamlessly integrated into the existing payment flow. Merchants will be able to select products and add them directly into the cart, enabling merchants to easily mix pre-defined products and custom amounts in a single, transparent transaction.

Revenue Share

Under the Tap2Local Revenue Share Program, revenue generated from your Tap2Local processing volume is shared between you and Jack Henry, rewarding both parties for driving adoption and usage.

The Tap2Local Revenue Share Agreement is available now within the brand new Marketplace, located within Banno People. This agreement allows your institution to earn passive revenue through a new non-interest fee income stream as your SMBs adopt and use Tap2Local.

To take advantage, you must first assign the new Can modify contract permission to the appropriate groups within Banno Admin. This permission enables team members to execute contracts and agreements directly within the Marketplace. Here’s how to enable the new permission:

1. Log in to Banno People.
2. Navigate to Users & Groups.
3. Select the group that should have access to execute contracts.
4. Scroll to the People permissions and select the Can modify contract checkbox.
5. Click Save changes.

Once the permission is active, an authorized admin can navigate to the Marketplace, review, and execute the Tap2Local Revenue Share Agreement, unlocking this opportunity for your institution immediately.

Costs

Tap2Local will come at no cost and low lift to our financial institutions. However, end users will incur market-competitive fees. Please note that these fees are subject to change over time.

See below for current fees:

• In person completed card payment fee: 2.60% + $0.15
• Online completed card payment fee: 2.90% + $0.30
• International card payments: 3.60% + $0.15
• Card account update fee: $0.25
• Dispute fee: $15.00
• Completed RTP transaction fee: $0.30

Card settlement timing

Tap2Local offers true next day card settlement, meaning that transfers created before the card brand cutoff times are credited to the SMB owner’s wallet the next banking day. We take advantage of the last settlement cutoff available to us with each card network.

Cutoff times by card brand

Card transactions contain more granular statuses in transfer.source.cardDetails{}:

• confirmed: successful authorization; eligible for next batch and next banking-day funding.
• settled: transaction has settled with user; wallet will be credited by 1:00PM ET on a banking day.
• completed: funds have been credited to the merchant wallet.

Transfers created before these times are typically credited to the merchant’s wallet the next banking day. Once the transfer status is completed, funds are available for transfer from the merchant’s wallet.

Moov Ticket Integration into Banno Support

For institutions with Tap2Local enabled, the following features are available for use within Banno Support (iOS and Android):

• Direct Ticket Creation: Employees with the Manage Moov tickets permission can create Moov tickets directly from a conversation.
• Real-Time Status Updates: Moov ticket updates automatically appear as internal notes within the relevant Banno Support conversation.
• Detailed Views: Tickets are now clickable, providing access to full ticket transcripts and specific details.
• At-a-Glance Tracking: The case list now includes a Moov tag, displaying the ticket number and current status for quick review.

All of these enhancements will appear for any institution that’s live with Tap2Local, and no additional contract or support ticket is required.

Automated Reconciliation

Tap2Local is built on Moov’s reconciliation-first infrastructure. This streamlines the settlement process and eliminates the need for manual reconciliation for business users. Payments accepted through Tap2Local automatically sync with the business’s accounting software, such as QuickBooks and Xero. This will help businesses reconcile their daily card payment activity, with refunds and chargebacks immediately debited from the merchant’s wallet.

What about security?

Tap2Local and our award winning digital platform has a number of security features to protect business accountholders. First, during the enrollment process, businesses have to answer a series of security questions and complete an identity verification to ensure eligibility and legitimacy.

Once signed up for Tap2Local, businesses can manage payment disputes directly within the app. Additionally, there are various fraud monitoring tools available. A business can be deactivated from accepting payments if suspicious or fraudulent activity is detected.

Explore the full Tap2Local Due Diligence Documentation. Please contact support for the password.

How do I get started?

Getting started with Tap2Local is designed to be a straightforward process for your financial institution.

Since Tap2Local is a feature built into the Banno Digital Platform, there is no core configuration or GL setup required on the financial institution’s end.

Your business accountholders will be able to enroll directly from their app dashboard. The enrollment process is simple for the business owner, who will have to provide key business details, agree to the merchant agreement, and be verified for eligibility before they can begin to accept payments immediately.

Sole Proprietorships Account Codes

Financial institutions can automatically grant Tap2Local access to qualifying retail users, specifically primary owners of sole proprietorships. The system identifies these individuals by matching their profiles to specific account type codes.

To authorize additional business categories or modify permissions, an administrator with the necessary credentials should:

1. Log in to Banno People.
2. Navigate to Tap2Local > Settings.
3. In the Sole proprietor account codes section, select Edit.
4. Select the identifier codes that qualify as sole proprietorships.
5. Click Save changes.

Once confirmed, eligible users will see the enrollment prompt on their Banno Online and Banno Mobile dashboard.

Frequently Asked Questions

Have questions about Tap2Local? Check out our Frequently Asked Questions page that covers its functionality and experience, operational details, and more.

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