This Schedule 5 sets out the terms and conditions specific to you using Zapp and Pay by Bank (if we have agreed to you using these payment methods).

The specific terms defined in this schedule 5 (clause 1.1) will be more important than any conflicting terms defined in the glossary. Remember, these defined terms in this schedule 5 only matter here and won't affect the glossary's meanings.

In case the rest of the bold terms are unfamiliar to you, a comprehensive glossary is available for reference here. The glossary provides explanations and definitions for better understanding of the terms used throughout the schedules. 

1. DEFINITIONS 

1.1. In this schedule 5, the words and phrases set out below have the meanings shown wherever they appear in bold type. 

2.1. As well as your other obligations set out in the agreement, you must do the following in connection with your use of Zapp and Pay by Bank:

2.1.1. Only use the merchant button provided by the operator, or a button which has equivalent functionality and performance, and keep to the related requirements in the documentation.

2.1.2. Only claim funds from us for valid transactions for goods or services which you are supplying (or which are provided by a third party you are acting as an agent for) to the relevant customer.

2.1.3. For all transactions, issue fully itemised receipts which keep to all applicable laws, and any requirements specified in the documentation.

2.1.4. Accept transaction data as evidence (but not conclusive proof) of a transaction for the purposes of investigating and settling any dispute relating to Pay by Bank.

2.1.5. Only use Zapp data for the purposes of processing the relevant transaction and completing the order that transaction is for. You must not use Zapp data for any other purpose.

2.1.6. Comply with and settle disputes relating to Pay by Bank in line with the Zapp Consumer Disputes process (which we will tell you about).

2.1.7. Follow the Brand Guidelines and User Experience Guidelines.

2.2. You must not make any claim relating to transactions directly against the operator or its agents.

3. MIT MANDATES

3.1. If you set up an arrangement with a customer to collect regular payments from their account, the MIT mandate for that arrangement must confirm the following:

3.1.1. The value of the payments and the dates you will collect them.

3.1.2. If the value of the payments may change, how the change to the payment will be calculated. 

3.1.3. The expiry date of the MIT mandate, after which you will not collect payments.

3.1.4. That the customer can cancel the MIT mandate at any time, with instructions on how to cancel it.

4. OPEN BANKING PAYMENTS VIA GOCARDLESS

4.1 DNAP may use GoCardless or another approved third-party provider to facilitate Open Banking Payments. By offering or using Open Banking Payment functionality, the merchant acknowledges that the relevant Open Banking Payment is dependent on the systems, processes, authentication requirements and availability of GoCardless, the customer’s bank and other relevant third parties.

4.2 DNAP is not responsible for the acts or omissions of GoCardless, the customer’s bank or another third-party provider in connection with an Open Banking Payment, except to the extent that loss arises directly from DNAP’s fraud, negligence or breach of the agreement.

4.3 DNAP may change, replace, suspend or discontinue a third-party provider used for Open Banking Payments where reasonably required for operational, risk, security, legal, regulatory, commercial or supplier-management reasons.

4.4 The merchant must not represent that an Open Banking Payment is guaranteed, irrevocable or protected from fraud, dispute, recall, return or non-payment. The merchant remains responsible for its contract with its customer, the supply of goods or services, fulfilment, cancellation, refunds, customer communications, fraud prevention and compliance with applicable law.

4.5 An Open Banking Payment may require the customer to be redirected to the customer’s bank and to complete strong customer authentication or another authentication process required by the customer’s bank or the relevant provider. Completion of authentication, authorisation or an initiation request does not guarantee that a payment will be received, settled, retained or available to the merchant.

4.6 The merchant must promptly notify DNAP of any suspected fraud, unauthorised activity, error, dispute, recall, return, misdirection of funds or other irregularity relating to an Open Banking Payment, and must provide all information and co-operation reasonably requested by DNAP, GoCardless, a bank, a relevant acquirer, a regulator or another relevant third party.

4.7 Card-scheme Chargebacks are not available in respect of Open Banking Payments. A customer dispute, error or claim relating to an Open Banking Payment must be dealt with through the applicable refund, complaints, bank, GoCardless or other relevant-provider process.

4.8 The merchant must deal promptly and fairly with any customer request for a refund or complaint relating to goods or services supplied by the merchant. DNAP may debit, deduct, withhold, reverse or recover any amount from the merchant where DNAP is required or reasonably considers it necessary to do so in connection with a refund, dispute, recall, return, fraud investigation, legal or regulatory requirement, provider rule or customer claim.

4.9 The merchant remains liable for all refunds, returns, recalls, disputes, fees, losses, claims, costs and other Merchant Liabilities arising from or in connection with an Open Banking Payment, except to the extent caused by DNAP’s fraud, negligence or breach of the agreement.

4.10 Open Banking Payment functionality may be unavailable, delayed, interrupted, rejected or limited due to a failure, maintenance, outage, authentication issue, bank decision, GoCardless decision, connectivity issue, compliance measure, fraud concern, risk concern or another matter outside DNAP’s reasonable control. DNAP is not liable for any resulting loss, delay or failure except to the extent caused directly by DNAP’s fraud, negligence or breach of the agreement.

4.11 DNAP may suspend or terminate Open Banking Payment functionality immediately where required by GoCardless, a bank, a relevant acquirer, a payment scheme, a regulator, applicable law, security requirements or DNAP’s reasonable fraud, risk or compliance assessment.

4.12 In connection with Open Banking Payments, DNAP and GoCardless may each process personal data as independent controllers to the extent each determines the purposes and means of its own processing. The merchant must provide its customers with all notices and information required by applicable law in connection with the merchant’s use of Open Banking Payments, including the relevant GoCardless privacy notice where required.

4.13 Before an Open Banking Payment is initiated, the merchant must make clear to the customer that the customer will be redirected to the customer’s bank or another relevant authentication environment, that GoCardless or another approved provider may facilitate the payment, and that the customer’s payment is subject to the relevant provider’s and bank’s processes.

4.14 The fees payable for Open Banking Payments are those stated in the Merchant Application Form, an order, the applicable pricing schedule or a notice given under the agreement. DNAP may introduce or amend Open Banking Payment fees in accordance with clause 25 of Schedule 1 and the agreement.