June 2019In this issue:
- Updated Agreements
- Industry News
- Christy's Retiring!
- Independence Day
- Make Payments on your Website
- Payroll Fraud Rises
- Using Wire Drawdown
Did you know?The majority of cyber-attacks are started with a phishing email. The best ways to avoid phishing attacks are to never click unknown links and to never send sensitive information that has been requested via email.
Customer Support TipsPlease be sure that you and your customers are using the most current versions of all documentation. Instructions are available online underneath Documentation > Agreements.
ACH RulesStay up-to-date with the most current NACHA Rules. The NACHA Rules are available for FREE online by simply setting up a Basic User account. Click here.
Kotapay CalendarTexas Payroll Conference
San Antonio, TX
Apex Align Conference
Kotapay Moved to a New Location!
We're excited to announce that Kotapay has moved into a new location! While the new building is only a short distance from our previous building, it will go a long way to free up space for our growing Kotapay staff! Check out our new Kotapay Insights page to see the new space!
Updated Customer Authorization Agreement
|Please ensure you are using the most updated version of the Customer Authorization Agreement (dated 4/19 on page 5). Previous versions of the agreements (dated 1/19) will no longer be accepted after June 28th, 2019. If an outdated or incomplete agreement is submitted, the contract will be pended and batches will not be processed until current and complete paperwork is received.
To view the most up-to-date version, simply log in to our website, under the Documentation tab > Agreements.
You do not need to re-send any agreements for your existing clients; these changes only affect future contract submissions.
Industry News: Enforcement Actions Against Payroll Processors
Money transmitter licensing and regulation have become a hot topic within the payroll industry. The language within the recent enforcement actions implies that if a payroll processor holding any client funds, for any period of time and for any reason, they may be subject to money transmitter licensing requirements.
Christy Stock is Retiring!
Christy Stock is retiring from Kotapay at the end of June! She has dedicated 25 years to the organization as the Operations Manager. She has played an important role in many initiatives at Kotapay, helping to shape the company into what it is today. She was involved in the company's first-ever Internet file transfers many years ago. Christy’s knowledge of our customers and the industry is unmatched and will surely be missed by both employees and customers.
Please join us in congratulating Christy on this monumental decision and wish her well on her next adventure!
Upcoming Holiday Hours and Non-Processing Days
Independence Day is a non-processing holiday as the Federal Reserve Banks and Kotapay will be closed. ACH transactions cannot be dated for July 4th. To avoid additional charges, please allow an extra day for processing.
Add a Pay-Now Button to Your Website
Kotapay will design and build a custom payment portal to allow you to accept credit card or ACH payments via your website. Get started!
Payroll Fraud Continues to Rise
The number of fraudulent transactions submitted to Kotapay continues to increase. Kotapay will always try to identify and stop fraud, but as the processor, it is your responsibility to cover the lost funds so it’s important to be diligent and know your customer.
Are You Collecting Enough Information from Your Customers?
To avoid potential fraud losses and ensure you are conducting business with legitimate customers, we recommend collecting the following information from your customers:
Set Limits Using Wire Drawdown
Kotapay’s wire drawdown service allows you to apply rules for your clients when a drawdown should occur. This rule can be a specific dollar amount that once exceeded, would automatically trigger a wire drawdown. For example, the rule is that your client can submit a payroll up to $25,000, therefore any payroll batch exceeding $25,000 would automatically trigger a drawdown request for those payroll monies.
In addition to this service working for Payroll Direct Deposit, rules can also be applied for Tax Payments, Vendor Payments and Net Pay Impound. Contact the Support Department to get started using this wire drawdown service.