ROME, N.Y. -- Fastrac Markets, through a deal with National Payment Card LLC, has created the Fastrac Gasoline Discount Card, which will allow its enrolled "guests" to receive at the pump an immediate 5-cents-per-gallon discount on all gasoline purchases. Fastrac is offering its gasoline discount card to guests at all of its 43 locations in upstate New York.
"At a time when the price of gasoline sets record highs with each passing day, we wanted to find a way to provide our guests with a reason to visit our stores and deepen the bond we have built with them. The National Payment Card technology [image-nocss] provided the means to do that quickly and the Fastrac Gasoline Discount Card program is going terrific," said Randy Case, Chief Information Officer of Fastrac Markets, Rome, N.Y. "Our industry is under siege from the high cost of gas and the transaction fees we pay. With the paradigm change in the payments segment created by the National Payment Card technology, merchants like Fastrac Markets can make a stand, save money and reward their guests for their continued patronage."
The National Payment Card solution is an electronic funds payment service bureau that interfaces with merchant point-of-sale (POS) systems. The National Payment Card PIN based payment system processes transactions through the Federal Reserve Automated Clearing House (ACH) resulting in lower merchant fees and a self-funded loyalty program that provides immediate savings to consumers. Specifically, the program benefits retailers by helping them save on the interchange fees credit card companies normally charge on each transaction. The merchant can then use some of the savings to entice customers by passing some of that savings along to them at the pump.
When the sale is made, an electronic check is debited from the customer's account and is processed through the Federal ACH System that handles billions of transactions per quarter. The vendor settlement is the next business day. The system is cheaper, costing only a fraction of what most retailers normally pay in merchant service fees, because the funds come directly from the consumer's bank account, removing the middlemen in the credit card and debit card networks altogether.
"Our payment solution is a disruptive technology for the payments industry. It's a win-win for the merchant and the consumer and a way for all involved to save money and break the stranglehold the credit card companies have on all of us," said National Payment Card president and CEO Joe Randazza. "With gas as high as it is and with transaction fees the single largest cost for operators, we are determined to see the technology provide both consumer relief and a way to bring profit back to the merchants."
National Payment Card's charge to merchants is a flat-fee of 17 cents per transaction. Those figures represent a 60-80% savings over the current standard processing fee.
Based in Coconut Creek, Fla., National Payment Card is a marketer of ACH decoupled card-based payment systems. The company's primary product is the Payment Card, a retailer-branded program that provides consumers access to funds in their checking accounts so they can pay for goods or services. The Payment Card is not a credit or debit card that is linked through the national banking networks, but rather utilizes a user ID for consumer authentication and is processed through the National Payment Card ACH Payment Card network. A Payment Card can be a loyalty card, a membership card or driver's license. The company's technology is now being deployed in 13 states and approximately 350 convenience/retail outlets, it said.
National Payment Card is a member of the EFT Network, which is a part of the Electronic Check Council of NACHA, the rule-making body for all electronic funds transfers made through the ACH.Members help make our journalism possible. Become a CSP member today and unlock exclusive benefits, including unlimited access to all of our content. Sign up here.