Transaction platform Absopay does not even name an imprint

A shady payment service provider called Absopay Internet commerce is booming even more in the Corona crisis than before. Many customers are using contactless shopping and ordering goods online where payment service providers are indispensable. This is convenient for customers because a few clicks are enough to trigger the payment process. In practice, however, problems occur from time to time even with reputable payment service providers. For example, you can quickly receive a collection letter if you charge back your money – for example, because the goods were not delivered. There are fundamental problems with dubious providers of payment processing models.
In Germany, consumer advice centers and an authority called BaFin regularly warn against dubious businessmen. From the perspective of the „Bundesanstalt für Finanzdienstleistungsaufsicht“, there are a number of warning signals that indicate that a financial service provider is dubious. These warning signals include an unclear product, non-transparent exit options, required foreign transfers, uncertain costs and commissions, unclear contractual partners, a registered office abroad, no traces of the company on the Internet or a missing imprint on the company‘s website.
A payment service provider called Absopay seems to fulfill several of these negative criteria. Its website contains only an e-mail address, but not even an imprint with details of its legal form and registered office. Even on Facebook, the windy company is not represented.
BaFin expressly warns against financial companies that have difficulty explaining their services in detail. Only if potential customers have really understood the product and are convinced of its benefits should they consider contacting the provider. It is also dangerous if a website reveals nothing about exit options from a business relationship and the specific terms of contracts. This can result in considerable financial disadvantages. Caution is always advised with money transfers to non-European countries and unclear costs and commissions for the financial service provider. If the provider is a foreign company, such as a Limited or Corporation, it may be difficult for the state supervisory and law enforcement authorities from the customer‘s country to access it. Foreign providers are also particularly difficult to enforce civil claims against the responsible parties.
The alarm sirens should always sound when it is not possible to find out who the possible contractual partner actually is. BaFin calls on people not to do business with providers who do not provide any meaningful information and about whom hardly anything can be found on the Internet. The names of providers and products should always be checked with search engines on the Internet. Even appealing websites offer no security if there is no other information about the company. Companies that claim to be internationally active have a corresponding resonance on the Internet. If, apart from the company website, no other articles can be found that refer to the company, extreme caution is advisable. One should also search the Internet for the company address to determine whether one is possibly only dealing with a letterbox company. According to the German Financial Services Supervisory Authority, there are objective criteria for deciding whether you should enter into a business relationship with a financial services provider or not.
This is where the transaction platform Absopay comes into play, whose operator is apparently headquartered in the USA. However, one does not find out more details because the company‘s website does not contain an imprint. It is only through online research that one comes across an ABSO PAY INC. that is supposed to manage the Absopay brand. The business area includes software-based financial services. It apparently involves mobile wallet software for managing addresses for money transactions and providing credit and debit card information. The business also provides contactless payment processing services for credit and debit card transactions with retailers via mobile devices. Also offered is user authentication using blockchain-based technology for cryptocurrency mobile payment transactions.
In any case, the operators of the Absopay platform do not lack self-confidence. They grandiloquently consider their services to be the „last word in payments“ and write: „From point of sale to payroll, the Absopay platform transforms the way business owners transact with their customers and pay their staff.“ People who join this „global community“ are promised access to a world beyond banking. Customers are made the biggest promises: merchants who use Absopay are supposed to receive their customers‘ funds in real time and thus no longer have to wait days for their earnings. Lower processing and acquisition fees, fully flexible deposit and withdrawal options, reduced chargebacks and improved cash flow are promised. Merchants are also expected to be able to use Absopay to pay their employees in real time. Again, all sorts of things are promised, such as automated commission payments, the elimination of paper checks and trips to the bank. Of course, the anonymous Absopay operators are also staging themselves to be technically up to date: „Our API makes it easy to integrate with your app or ecommerce platform. The secure Absopay debit card and app work with your point of sale, shopping cart, ApplePay, GooglePay and more.“
The website of the questionable payment service provider does not contain an imprint, but it does contain extensive instructions about a strange cardholder agreement. According to this, disputes between customers and Absopay are to be resolved by a shady arbitration procedure instead of in ordinary courts. You can read about this in capital letters on the website: „THIS CARDHOLDER AGREEMENT CONTAINS AN ARBITRATION CLAUSE. PLEASE READ THIS PROVISION CAREFULLY, AS IT AFFECTS YOUR LEGAL RIGHTS. IT PROVIDES THAT ANY CLAIM RELATING TO YOUR ACCOUNT MAY BE RESOLVED BY BINDING ARBITRATION. YOU ARE ENTITLED TO A FAIR HEARING, BUT THE ARBITRATION PROCEDURES ARE SIMPLER AND MORE LIMITED THAN RULES APPLICABLE IN COURT, AND ARBITRATION DECISIONS ARE SUBJECT TO VERY LIMITED REVIEW. CLAIMS MAY BE ARBITRATED ONLY ON AN INDIVIDUAL BASIS. YOU EXPRESSLY WAIVE ANY RIGHT THAT YOU MAY HAVE TO ARBITRATE A CLASS ACTION. IF EITHER PARTY CHOOSES TO ARBITRATE A CLAIM, NEITHER PARTY WILL HAVE THE RIGHT TO LITIGATE THAT CLAIM IN COURT OR TO HAVE A JURY TRIAL ON THAT CLAIM, OR TO PARTICIPATE IN A CLASS ACTION OR REPRESENTATIVE ACTION WITH RESPECT TO SUCH CLAIM.“
Everything suggests that potential customers need to take a close look at the business model and company behind Absopay.