By agreeing to use direct debit services if made available to you as part of the Services provided by Nium, you agree to these Direct Debit Terms and any applicable direct debit network rules. Capitalized terms not otherwise defined in these Direct Debit Terms have the meanings given in the Nium Direct Services Agreement or the Terms and Conditions for Business Customers, as applicable.
I. Direct Debit in Countries excluding the United States.
In countries except for the United States, the following terms shall apply to debits via a direct debit network made (a) to your Nium Account from your bank account with a third-party financial institution; or (b) from your Nium Account to a bank account at a third-party financial institution.
A. Direct Debit Instructions. To use direct debit, you shall provide Nium with instructions which authorizes Nium and/or our financial partners, using a direct debit network, (i) to receive funds to your Nium Account from an external bank account; or (ii) to send funds from your Nium Account to an external bank account (“Direct Debit Instructions”). Direct Debit Instructions will be processed in accordance with the rules and timings set forth by the applicable direct debit network and/or our financial partner (as applicable).
B. Bank Account Eligibility and Details. To receive funds via direct debit to your Nium Account, your Direct Debit Instructions must include your bank account details at a third-party financial institution, which may include but are not limited to, the name of your bank, the bank account number, routing number for your bank account, and the type of account, for example, checking or savings. You represent and warrant that your bank account is legitimate, open, and in good standing, and you understand that we will require you to verify your bank account details before you can initiate direct debit transactions. You agree to promptly update us if there are any changes to your bank account details.
Your bank account must be able to accept debits denominated in the currency indicated in the Direct Debit Instructions. You confirm that you are the only person required to authorize and you agree to authorize the direct debit from your bank account, such as in the form of a direct debit mandate, or, if applicable, you confirm that you have obtained the authorizations of all required parties to authorize the direct debit in accordance with the rules of the applicable direct debit network.
C. Sufficiency of Funds; Unpaid Direct Debits. It is your responsibility to ensure that there are sufficient funds available in your bank account or Nium Account, as applicable, in order to execute on your Direct Debit Instructions. Direct debits will be processed in accordance with the rules and general timings of the applicable direct debit network. The debited amount will be reflected in the debited bank account after a successful debit in accordance with the timing of the applicable direct debit network.
Where you have insufficient funds in your Nium Account or where access to your Nium Account has been suspended or terminated, we reserve the right to return a Direct Debit Instruction as unpaid in accordance with the rules of the applicable direct debit network rules. In the event that we process a Direct Debit Instruction that you are unable to pay via your Nium Account for any reason, you will remain liable to us for the applicable direct debit amounts.
D. Direct Debit Authorization. Each time you choose to fund your Nium Account via direct debit, you authorize us and/or our Financial Partner to debit your bank account up to such amount pursuant to your Direct Debit Instruction, including any applicable taxes and fees. Your authorization under these Direct Debit Terms will remain in full force and effect until the later of (i) the closure of your Nium Account, or (ii) payment of all fees and other amounts you owe under the applicable services agreement between you and Nium.
E. Correction of Errors. In addition to authorizing debits to the bank account, you also authorize us to credit your bank account if necessary to correct an erroneous direct debit in the amount necessary to correct the error. If we make an error when executing a Direct Debit Instruction, we will refund you the amount paid in accordance with applicable direct debit network rules and, if provided for under such rules, the direct debit guarantee. If you receive a refund you are not entitled to, you agree to pay it back Nium immediately.
F. Fees Chargeable. If your bank rejects a direct debit transaction or if a direct debit transaction is subsequently disputed by you or your bank for any reason other than as a result of our error, we may charge you additional administration fees to investigate the issue.
G. Revoking Direct Debit. Subject to applicable direct debit network rules, we may revoke your ability to use direct debit at any time for any reason, including if (i) we are unable to debit your bank account or Nium Account, as applicable, for any reason; (ii) you have requested a direct debit refund of any amount that has been properly paid, or if determined in our discretion that any errors in the direct debit transaction were caused by you; (iii) you breach these Direct Debit Terms or any applicable services agreement; (iv) we determine your use of direct debit may cause us to breach or incur liabilities under the applicable direct debit network rules or our obligations to our Financial Partners; or (v) requested by a direct debit network.
H. Amending or Cancelling Direct Debit Instructions. You can amend or cancel a Direct Debit Instruction by providing Nium with written notice in accordance with the timelines notified to you in the direct debit mandate, or by arranging it through your bank.
I. No Liability. Nium is not liable to you for any losses suffered by you due to any Direct Debit Instruction failing to be processed for any reason other than due to our error.
II. ACH Debit Authorization Agreement – United States.
Transactions transmitted through an automated clearing house (“ACH”) shall be subject to the applicable the laws of the United States and ACH Operating Rules (the “ACH Rules”) of the National Automated Clearing House Association (“NACHA”). You agree to comply with and be bound by the ACH Rules. We can reject an ACH transaction if it is not in compliance with the ACH Rules or applicable laws.
A. Entries. To use direct debit, you shall provide Nium and/or its Financial Partners with instructions which authorizes Nium via the ACH (i) to receive funds to your Nium Account from an external bank account; or (ii) to send funds from your Nium Account to an external bank account (“Entries”). Entries will be processed in accordance with the rules and timings set forth by the ACH Rules and/or our Financial Partner (as applicable).
B. Bank Account Eligibility and Details. To receive funds via direct debit to your Nium Account, your Entries must include all information required by the ACH Rules, including but not limited to your bank account details at a third-party financial institution, which may include but are not limited to, the name of your bank, the bank account number, routing number for your bank account, and the type of account, for example, checking or savings. You represent and warrant that your bank account is legitimate, open, and in good standing. You understand that we will require you to verify your bank account details are accurate and valid before you can initiate direct debit transactions. You agree to promptly update us if there are any changes to your bank account details.
Your bank account must be able to accept debits denominated in the currency indicated in the Entries. You confirm that you are the only person required to authorize and you agree to authorize the direct debit from your bank account in accordance with the ACH Rules. You agree to maintain such authorizations and provide proof of such authorization immediately upon request.
C. Sufficiency of Funds; Unpaid Direct Debits. It is your responsibility to ensure that there are sufficient funds available in your bank account or Nium Account, as applicable, in order to execute on your Entry. Direct debits will be processed in accordance with the rules and general timings of the ACH Rules. The debited amount will be reflected in the debited bank account after a successful debit in accordance with the timing of the ACH Rules.
Where you have insufficient funds in your Nium Account or where access to your Nium Account has been suspended or terminated, we reserve the right to return an Entry as unpaid in accordance with the ACH Rules. In the event that we process an Entry that you are unable to pay via your Nium Account for any reason, you will remain liable to us for the applicable direct debit amounts.
D. Direct Debit Authorization. Each time you choose to fund your Nium Account via direct debit, you authorize us to debit your bank account up to such amount pursuant to your Entries, including any applicable taxes and fees. Your authorization under these Direct Debit Terms will remain in full force and effect until the later of (i) the closure of your Nium Account, or (ii) payment of all fees and other amounts you owe under the applicable services agreement between you and Nium.
E. No Notification; Correction of Errors. After you authorize an Entry, you will not receive a separate notice from us of the amount, timing of the debit, or any other information about the debit, before we process and debit your account. To determine if a transfer has been credited to your Nium Account, you can review the transactions on your Nium Account.
In addition to authorizing debits to the bank account, you also authorize us to credit your bank account if necessary to correct an erroneous direct debit in the amount necessary to correct the error. If we make an error when executing an Entry, we will refund you the amount paid in accordance with. If you receive a refund you are not entitled to, you agree to pay it back Nium immediately.
F. Reinitiation of Debit Entries. If we are unable to collect the amount of any debit due to insufficient funds in your bank account, then we may reinitiate that debit in the same amount up to a maxiumum of two (2) additional times in accordance with the ACH Rules.
G. Fees Chargeable. If your bank rejects a direct debit transaction or if a direct debit transaction is subsequently disputed by you or your bank for any reason other than as a result of our error, we may charge you applicable fees.
H. Revoking Direct Debit. We may revoke your ability to use direct debit at any time for any reason, including if (i) we are unable to debit your bank account or Nium Account, as applicable, for any reason; (ii) you have requested a direct debit refund of any amount that has been properly paid; (iii) you breach these Direct Debit Terms, the ACH Rules, or any applicable services agreement; (iv) we determine your use of direct debit may cause us to breach or incur liabilities under the ACH Rules or our obligations to our Financial Partners; or (v) requested by NACHA or our bank partners.
I. Amending or Cancelling Entries. You can amend or cancel an Entry by providing Nium with written notice in accordance with the timeline provided by the ACH Rules, or by arranging it through your bank.
J. No Liability. Nium is not liable to you for any losses suffered by you due to any Direct Debit Instruction failing to be processed for any reason.