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Paymer

The Paymer service (www.paymer.com) is a software and hardware system designed to manage payment obligations in the form of electronic cheques payable to the bearer. The service supports the issue, verification, splitting, merging and redemption of such checks.

As a means of digital payment, a Paymer cheque has a certain face value and consists of a number and a code of random length. The cheque entitles the bearer to receive a part of the collateral that was deposited (or declared) by the issuer while registering obligations on the Paymer system.

The cheque can be kept on any storage device and can be transferred between users by any method they prefer (by e-mail, fax, telephone, etc.). Users can print out cheques as paper coupons (e.g., WM cards) to transfer them directly to a merchant as payment for products or services, including purchases made via the Merchant service. They can also be stored on PCs as a file to be later transferred to partners via the Internet.

Paymer cheques are managed using software agents. Currently, there are two available agents, with either one keeping track of a particular collateral type.

The obligation agent keeps track of issuers’ obligations that do not imply the placing of collateral under the agent’s management. This agent acknowledges the fact that the issuer has provided a certain obligation and undertakes to fulfil it when redeeming the cheque. Thus to create a cheque of the Obligation type, it is sufficient to register any obligations towards the holder of a created check with the agent.

The e-currency agent keeps track of obligations and collateral in the form of various e-currencies (WMZ and WMG). The collateral may be placed under the agent’s management both immediately after a cheque is created, and with a certain delay that must not exceed the redemption period. The e-currency agent allows you to automatically transfer reserved assets to the cheque bearer’s account when the cheque is redeemed.

Only personal passport holders or merchant passport holders that have specified their WMID during registration with the Paymer system may issue cheques using an e-currency agent.

Except for creating cheques, all other cheque operations are free of charge. When cheques are issued via the Obligation agent the fee equals 1% of the issue amount per service year and not less than 0.1% for minimum service periods. For issues which collateral is transferred to the system using an e-currency agent, the fee does not exceed 1% and depends on the volume of the transferred assets (see the table).

The following capabilities are available to each user of the Paymer system:

The Paymer service (www.paymer.com) is a software and hardware system designed to manage payment obligations in the form of electronic cheques which are payable to the "bearer". This service supports the issue, verification, splitting, merging, and redemption of such cheques.

As a means of digital payment, a Paymer cheque has a certain face value and consists of a number and code of random length. The cheque entitles the bearer to receive a part of the collateral that was deposited (or declared) by the issuer while registering obligations on the Paymer system.

The cheque can be kept on any storage device and can be transferred between users by any method they prefer (by email, fax, telephone, etc.). Users can print out cheques as paper coupons (e.g., WM cards) and these can be used for direct transfers to a merchant as payment for products or services, including purchases made via the Merchant service. They can also be stored on a PC as a file and later transferred to another party via the Internet.

Paymer cheques are managed using software agents. Currently, there are two available agents and each one track a particular collateral type.

The obligation agent keeps track of issuers’ obligations that are not placed as collateral under the agent’s management. This agent acknowledges the fact that the issuer has provided a certain obligation and undertakes to fulfil them when redeeming the cheque. Thus, to create a cheque of the Obligation type, it is sufficient to register any obligations towards the holder of a created cheque with the agent. This is similar to a digital IOU.

The e-currency agent keeps track of obligations and collateral in the form of various e-currencies (WMZ, WMG). The collateral may be placed under the agent’s management[control] at either the immediate point the cheques are created or in the future, with a certain delay that must not exceed the redemption period. The e-currency agent allows for the automatic transferring of reserved assets to the cheque bearer’s account when the cheque is redeemed.

Only holders of a personal passport or merchant passport whom provided their WMID during registration with the Paymer system may issue cheques using an e-currency agent.

Except for the creation of cheques, all other cheque operations are free of charge. When cheques are issued through the Obligation agent, the fee equals 1% of the issue amount per service year and not less than 0.1% during the minimum service periods. For issues which collateral is transferred to the system using an e-currency agent the fee does not exceed 1% and depends on the volume of the transferred assets (see the table).

The following features are available to each user of the Paymer system:

The Paymer system uses advanced encryption technologies to ensure the proper security of all customers’ funds.

Cheque verification

With cheque verification, the product or service merchants can make sure that the cheque account information and denomination are valid before they accept the cheque as payment. To verify the cheque, all you need to know is its number and enter these details into the relevant field on the Verify page. If the entered number is correct, after clicking “Verify” you will be redirected to a window displaying the verified cheque denomination and the name of the issuer. Cheque details remain valid and unchanged. Click the issue name link to get information about the issue parameters and the type of collateral.

Changing cheque details

You may change the details of any valid Paymer cheque. Cheque details are usually changed by a new holder that has received the cheque as payment for goods or services. Changing cheque details allows you to prevent its use or redemption by the previous holder.

To change cheque details, go to the Change number and code page of the service, enter the cheque number and code in the form fields and click "Change". Next confirm the operation by clicking "Change" which makes new cheques valid. It is very important to save the new cheque details immediately as the Paymer service does not support getting the numbers and codes of issued cheques a second time.

If you cheque the "Change the Number and Code of a Paymer check for residual amount" box you will be able to specify the number and code length of a new cheque.

Changing cheque details

You may change the details of any valid Paymer check (cheque). Check details are usually changed by a new holder that has received the cheque as payment for goods or services. Changing cheque details allows you to preventing its use or redemption by the previous holder.

To change cheque details, go to the Change number and code page, enter the cheque number and code in the form fields and click “Change”. Next confirm the operation by clicking “Change” which makes new cheques valid. It is very important to save the new cheque details immediately as the Paymer service does not support getting the numbers and codes of issued cheques a second time.

If you cheque the “Change the Number and Code of a Paymer check for residual amount” box, you will be able to specify the number and code length of a new cheque.

Cheque split

Any holder of a Paymer check (cheque) may split it into two cheques with the same total value. To perform this operation, enter the initial cheque number and code in the form fields on the Split page, enter the Turing number, and click “Split”. Enter the denomination of the new cheque at the next page, and click “Split” again. After this the user will be provided will numbers and codes for the new cheques. If the “Change the Number and Code of a Paymer check for residual amount” box has not been checked on the Split start page the details of the initial cheque remain unchanged, while its denomination is reduced by the split amount.

Cheque multi-split

If the cheque holder wants to split it into multiple cheques of equal denomination the a user-friendly way to do it is to use the multi-split function. This type of split allows you to get the required number of cheques of the specified denomination in one operation, keeping the residual amount of the initial cheque. You can also specify the number of characters for the number and the code of the new cheques.

After you have entered the required information on the Multi-split page and clicked “Split”, you are provided links to the new check details. To receive this information select from the available file formats HTML, CSV or XML. You should save this data and click “Confirm”. New cheques become valid only after confirmation. Please note that the Paymer service does not support getting the numbers and codes of cheques issued a second time.

Merging two cheques

Two cheques can be merged on the Merge page. You can transfer the total amount to either cheque (in this case, the original cheque is canceled). To complete this kind of transaction, enter the numbers and codes of the merged cheques, and choose to transfer the total amount to the first Paymer, the second Paymer or a new Paymer that will be created during the next step. Then enter the Turing number and click “Consolidate”. The next page displays the result of the consolidation operation that will be completed only after you click “Confirm”. If the merged cheque has new account information, you must save it immediately as the Paymer service does not support getting the numbers and codes of cheque issued a second time.

Cheque delivery

Paymer checks (cheque) can be delivered to a user by any preferred method. When there’s certain mistrust between the parties, or if an unsecured communication channel is used and cheque details might be obtained by third parties, it is reasonable to use the system's delivery service.

The Paymer system offers three methods for ensuring the safe cheque delivery of the cheque to the recipient.

  • Simple transfer by email. When the cheque is being transferred, its details are changed automatically and sent to the recipient’s e-mail address. New details are not provided to the sender.
  • Protected transmission. After the cheque is sent, its details are changed automatically. Only a new number is sent to the recipient’s address. The sender knows only a new code that they provide to the recipient after the latter has fulfilled its obligations.
    *Guaranteed delivery. After the cheque has been sent the service emails both the sender and the recipient providing them with the service web page URL where the parties can complete the transfer.
    It is faster to use the two last cheque delivery methods after authenticating on the Paymer system.

Sending by email

To email the checking go to the Send by email menu item; on the opened page, enter the transferred cheque number and code and click “Transfer”.

In the next window please specify the following:
  • the amount to be transferred (the amount transferred by default equals to the cheque denomination);
  • the recipient’s email;
  • the sender’s email;
  • the note specifying the transfer purpose (payment, gratuitous transfer, etc.);
  • the protection period. Upon expiry of the protection period, the check, if not used by anybody, will be returned to the sender’s email (this parameter is optional).

The initial cheque becomes invalid after clicking “Transfer”. If the transfer amount is less than the initial cheque denomination, a new cheque is created for the residual amount. As defined by the user, cheque details remain unchanged or new check details are provided, if the _“Change the Number and Code of a Paymer check for residual amount” box has been checked. The cheque recipient is sent an e-mail with the transferred cheque number and code (these details are not disclosed to the sender).

If the recipient does not change the cheque details before the protection period expires, the cheque is returned to the sender’s email, with the code and the number being changed automatically.

Protected transmission by email

This cheque delivery method features enhanced security as it does not excludes transmit both the number and code in a single message. To send a cheque using this method, go to the Protected transmission->Transmit menu item. On the opened page, enter the transferred cheque number and code, click “Transfer”, and specify the following in the next window:

  • the amount to be transferred (the amount transferred by default equals the check denomination);
  • *the recipient’s email;
  • the sender’s email;
  • the note specifying the transfer purpose (e.g., payment, gratuitous transfer, etc.);
  • number of characters in the new cheque number and code (if necessary);
  • the protection period. Upon expiry of the protection period, the cheque, if not used by anybody, will be returned to the sender’s email.

The service generates new details after clicking “Transfer”. If the transfer amount is less than the initial cheque denomination, a new cheque is generated for the residual amount with either new or unchanged details as defined by the user.

After sending is confirmed, the service emails the number to the recipient and the code to the sender. If the sender has not provided their email they needs to copy a new code from the sending confirmation page.
To use the cheque the recipient must fulfill their obligations to the sender and accept the code from the sender.

If the deal between the parties was not closed the sender may return the cheque upon the protection period expiration. To do that enter the cheque code on the Rollback page and click "Rollback".

Guaranteed delivery

There is another method to deliver cheque which features even more enhanced reliability. When the instructions are included this method will guarantee that losing funds is completely impossible.

To transfer a Paymer check (cheque) using this method go to the “Safe delivery→Transmission”:https://www.paymer.com/wa3/default.aspx?t=pass&lang=en-US page, enter the cheque number and code, the Turing number, accept the terms and conditions of the Agreement on Processing of Digital Messages, and click “Transfer”.

In the next window enter the amount to be transferred (the amount transferred by default equals to the check denomination), the recipient’s email, the sender’s e-mail, the transfer purpose in Note field, and then click “Continue transfer”. Next the Paymer service generates the transfer code that is used to control the transaction. Be sure to keep this code as losing it will make cheque transfer impossible.

The initial cheque becomes invalid after clicking “Confirm”. If the transfer amount is less than the cheque denomination, a new cheque is created for the residual amount with either new or unchanged details as defined by the user. The recipient is emailed a message with the transferred cheque amount and URL of the page where they can get the cheque. At the same time, the sender is emailed a message with the URL of the page where they can confirm or roll back the cheque transfer.

To complete the cheque transfer do the following:
  1. Recipient’s actions: go to the page specified in the message, make sure that the transferred cheque is the correct amount, copy (save) the cheque code and number. Please keep in mind that this page can be viewed only once.
  2. Sender’s actions: go to the Control page, enter the transfer code and click “Control” (or just click the link specified in the email). After that make sure that the recipient has viewed and saved the cheque details (whether the cheque has been viewed is specified in “Status” field), and click “Confirm”.

It is only after this point that the new details previously saved by the recipient become valid.

Please note that the “Check viewed" flag can also mean that the cheque has been viewed not by the recipient but by a third party that has captured the transfer information when it was transmitted via unsecured communication channels. That is why before you confirm sending, it is reasonable to get in touch with the recipient and find out if they have opened the View cheque page.

To cancel the cheque transfer the sender only has to click “Roll back” on the Control page.

Cheque redemption

Redemption is the exchange of Paymer check (cheque) details for the underlying collateral. The type of agent used to issue the cheque will determine the redemption procedure.

Assets of E-currency type cheques are stored by the Paymer system. When these type of cheques are redeemed the user can immediately transfer an amount of WM title units to any WM purse that does not exceed the cheque denomination. The full or partial amount can be transferred to one or multiple purses.

The Paymer service is not responsible for storing assets of Obligation type cheques. This is why cheques of this type are redeemed by the issuer pursuant to the obligations declared while creating the issue. A holder of cheques of this type can seek for documentary proof of the obligations to be provided to the issuer for redemption (withdrawing assets to the bearer), or to a third party (e.g., to a court when resolving disputes or to the counter agent for closing a deal).

Redeeming E-currency cheques

To redeem a cheque of this type, go to the Redeem page, enter the cheque code and number, the Turing number, accept the terms and conditions of the Agreement on Processing of Digital Messages, and click "Redeem".

On the next page, enter the amount to be redeemed and the purse number, if necessary, edit the transfer note, and click “Redeem” again. At the new page, verify redemption parameters and purse holder information, save the number and code of a new cheque with the residual amount (if the cheque is redeemed partially and the “Change the Number and Code of a Paymer check for residual amount” box has been chequeed on the start page). After clicking “Confirm”, the Paymer service transfers the required amount to the specified purse.

Redeeming Obligation cheque

This type of obligation requires that the cheque holder is the only one that can initiate its redemption. In order to redeem this obligation it is necessary to provide the documentary proof of the issuer’s obligations. The issuer is then able to obtain this issue collateral from the issuer and to provide the cheque details in exchange.

To obtain the documents the a user must go to the Redeem page, enter the cheque number and code, and click “Redeem”. Upon receiving the message saying that cheques may be redeemed only by the issue owner, click the specified link. On the Get Document page enter the cheque number and code, and click the button. The next page provides links to the following documents in XML and HTML formats:

  • Issuer’s obligation;
  • Obligation against the presented cheque.

These documents verify that their bearer has the Paymer check (cheque) and is entitled to receive collateral against the issuer’s obligation.

To learn how holders of the Obligation type cheques can use such cheques see user guidelines for the Debt service, specifically Using Paymer checks for loan repayment.

An issuer user can redeem a cheque of the Obligation type on the Redeem page. To do so enter the cheque details and click “Redeem”. After that the cheque will become invalid.

Issuing Obligation cheques

To issue cheques using the Obligation agent, a user must login to the Paymer service site, select New Issue menu item, accept the terms and conditions of the Agreement on Issue of Digital Messages, select the Obligation agent and click "Create".

Next specify the following issue parameters:

  • amount (total face value of created cheques);
  • breakdown of the cheque denomination;
  • cheque validity period;
  • description of the issuer’s obligations (in this section, you must provide detailed characteristics of issuer’s assets: what products, services or cash assets, and in which amount as per the nominal issue unit, will be provided when redeeming the obligations);
  • cheque redemption method (e.g., direct transfer to an e-purse, bank transfer, product delivery, etc.).

When specifying the parameters, it is necessary to take into account the Paymer service fee, which equals 1% of the issue amount per service year and not less than 0.1%. It means that after the issue is created the value specified in the “Issue amount” field will be reduced by the fee amount. To eliminate calculation errors please specify all numeric parameters, click “Calculate”, and enter the resulting value in the “Amount” field. Issue is enabled after clicking “Create”.

After that the system will offer to start generating cheques. You can also perform this operation later in the Issues section by clicking the icon in the "Create check" column.

On the cheque generating page you should specify the following:
  • number of cheques in this issue (denomination of each cheque will be equal to the issue amount divided by number of cheques);
  • number of characters for the check number (varying from 8 to 30 digits) and for the code (varying from 12 to 99 digits).

Next you have to verify the information you have entered, accept the terms and conditions of the Agreement on Accepting and Processing of Digital Messages, and click "Generate".

When defining the number of cheques please keep in mind that their denomination is the quotient of the issue face value and the number of cheques, while the number of issued cheques multiplied by the denomination must be strictly equal to the issue amount. For instance, if the issue amount equals 1.01 and the breakdown equals 0.01, you can issue either only 1 cheque of the denomination of 1.01 or 101 cheques of the denomination of 0.01.

After the system generates cheques it is necessary to save their details. The service supports downloading numbers and codes of issued cheques as HTML, CSV and XML files.

Upon saving the obtained information in a reliable place the user must click “Confirm”. Only after this may the cheques be put in circulation.

Please note that:

  • unconfirmed details are invalid;
  • the service does not provide the numbers and codes of issued cheques a second time.

You can check data about your issues, their amount and residual amount on the Issues page. The info page which links from the issue name displays its current parameters and collateral information.

Issuing cheques of E-currency types

To issue cheques using the E-currency agent, the user must login on the PAYMER service site, select New Issue menu item, accept the terms and conditions of the Agreement on Issue of Digital Messages, select E-currency agent, and click "Create".

Next select the collateral placing method: while creating the issue (“Place cover funds immediately” checkbox), or after the issue is created.

Please note that in the first case a Paymer service fee is charged before the cheques are issued and is calculated using more advantageous fees. In the second case, the fee is charged off the issue amount at the rate of 1% per year. That is if the issue amounting to X is created cheques may be issued only for the amount equaling the amount of “X – fee”.

When creating uncovered cheques it is advisable to calculate the issue amount with the calculator that is available on the issue parameter input page.

After you have chosen the collateral placing method click Continue and specify the following:
  • issue amount (total face value of created cheques);
  • type of currency (collateral) in which the cheques will be issued;
  • cheques validity period;
  • maturity date – the period upon expiry of which the issuer undertakes to ensure redemption of all issued checks upon the first bearers’ request (this field is displayed if the issue collateral is placed after the issue is created).

After that verify the entered information and click “Create”.

Next a name resembling WMZ.20743.ECUR is assigned by the Paymer system for the issue; this name is made up according to the following rule: the first part denotes the issue currency; the second part is the issue number; while the third one denotes the agent type.

After this point if the issuer is ready to place the collateral immediately the service offers to place the collateral (click “Pay”). The collateral is transferred via the Merchant service. The amount to be paid consists of the issue face value, the Paymer service system fee, and the WebMoney Transfer fee.

After a new issue is created it is then possible to begin generating cheques. To do so click the respective icon in the “Create check” column in the list of issues.

On the resulting page specify the following:
  • number of cheques in this issue (denomination of each cheque will be equal to the issue amount divided by number of cheques);
  • number of characters for the cheque number (varying from 8 to 30 digits) and for the code (varying from 12 to 99 digits).

Next you have to verify the information you have entered, accept the terms and conditions of the Agreement on Accepting and Processing of Digital Messages, and click "Generate".

When defining the number of cheques please keep in mind that their denomination is a multiple of 0.01, while the number of issued cheques multiplied by the denomination must be strictly equal to the issue amount. For example if the issue amount equals 1.01 WMZ, and the currency breakdown equals 0.01 you can issue either only 1 cheque with the denomination of 1.01 WMZ or 101 cheques with the denomination of 0.01 WMZ.

After the system generates the cheques, it is necessary to get and save their details. The service supports downloading numbers and codes of issued cheques as HTML, CSV and XML files.

Upon saving the obtained information in a reliable place the user must confirm that they have obtained the details by clicking the Confirm button. After this the cheques may be put into circulation.

Please note two important points:
  • unconfirmed details are invalid;
  • the Paymer service does not support getting numbers and codes of issued cheques a second time.

You can check data about your issues, their amount and residual amount in the Issues section. The info page which links from the issue name displays its current parameters, information about the issue owner and collateral. On this page a user can also initiate the procedure for placing additional collateral (the function is currently under development).

System site Paymer