Terms of Service for PayNow - Zilch

General Information

1. WHO ARE WE?

Zilch Technology Limited is a company Registered in England and Wales with company number 11488502 and VAT number GB 304734032. The registered office address is: 111 Buckingham Palace Road, London, SW1W 0SR.

Zilch Technology Limited is authorised by the Financial Conduct Authority under the Payment Services Regulation 2017, FRN 1033706, for the provision of payment services.

Zilch Technology Limited is authorised and regulated by the Financial Conduct Authority, FRN 843421.

Zilch provides customers the freedom to shop anywhere in the world (online or in-store) when they pay using the Zilch card and earn up to 8% cashback in Zilch Rewards on debit or spread interest free repayments over six weeks up to three months on credit.

2. WHAT ARE THESE TERMS?

These terms and conditions (‘terms’) apply to your general usage of Zilch and specifically to your Pay Now account (‘PayNow’). Your PayNow account is a debit account and is not a credit account. If you also sign up for a Zilch Pay Later account, you will be provided separate terms and conditions for that account.

Your Zilch PayNow Account is not intended for everyday use as a payment account and cannot be used for day-to-day transactions such as receiving income, setting up regular payments to pay bills, or making or receiving transfers to or from third parties. The Zilch PayNow Account is limited to the functionality described in this agreement, and as noted in Condition 6, there are restrictions on your ability to make transactions.

PayNow transactions supercharge your debit spending – and so are not eligible for Section 75 of the Consumer Credit Act as the purchase is deemed a debit transaction.

Please read this agreement carefully before you make an Application for a PayNow account or make a transaction. This agreement tells you who can open an account, how the PayNow account works, how you and we may change or end this agreement, what to do if there is a problem and other important information.

We have a frequently asked questions section on both our App and Website that provides explanations about the Zilch Card, how to use it and this agreement. Please view the FAQs by clicking here. The FAQs are for guidance only and are not legally binding. If you do not understand any part of this agreement or you think that there is a mistake in this agreement, please contact us to discuss.

3. WHO CAN OPEN AN ACCOUNT?

You can open an Account with us:

resident in the UK (excluding the Isle of Man and the Channel Islands);
18 years of age or older and have full legal capacity to enter into a contract; and
have a valid debit card issued in the UK that is not a credit card, corporate card or proxy card.

You cannot open an Account with us:

on someone else’s behalf
if you have an Account already; or
if there is any reason why Zilch is unable to grant you an account under the laws that apply to us, or if we have previously closed an Account in your name due to suspicious activity.

Before we accept your application, we will carry out relevant identification verification checks and if those checks are not satisfactory we may decline your Application. Upon acceptance of your Application, we send an email to you to accept it and confirm that we have entered into this agreement with you. You will also be issued a Zilch Card.

4. HOW DOES ZILCH WORK?

When you open a Zilch PayNow Account, we will provide you access make purchases using the Zilch Card which can be used to make payments 24 hours a day 365 days a year.

When you initiate a PayNow transaction using your Zilch Card, Zilch automatically debits the amount equal to the value of the transaction from your selected payment source to fund the payment for your purchase using the Zilch card. If you do not have funds on your payment source, we will decline the transaction. We only accept debit cards as a payment source.

Once you have initiated a PayNow transaction, you are not able to cancel it.

For every PayNow transaction we will issue you up to 8% cashback in Zilch Rewards depending on the retailer. There are no costs for making a PayNow transaction (however, we may charge an exchange rate when making non-sterling purchases – see below). Our best deals are always available in our app/website where you can search for thousands of retailers. Once you have found your retailer, you will see the live rewards rate available for that retailer. Just enable your card and follow the given link through to the retailer’s website to complete your purchase and earn those rewards.

If we don’t have your chosen retailer available, you can PayNow Anywhere to earn rewards at our Anywhere rate. Or just preset Tap&Pay for PayNow, and earn rewards at our Tap&Pay Rewards rate. Live Anywhere and Tap&Pay rewards rates are always visible in the app/website.

Rewards rates are only guaranteed for 2hours after initiating the transaction. Whilst we aim to keep reward rates stable and to bring you the best reward rates – reward rates are subject to change. Our app/website will always show the latest rates available and any limits on usage. The Zilch card has the following transaction spending limits:

Monthly spend limit of £5,000.00
Individual transaction limit of £2,000.00
Daily transaction limit of £2,500.00

If you make a non-sterling purchase whilst in the UK at a merchant store, or make a purchase abroad and choose to pay in local currency, we will automatically convert this at the prevailing Scheme FX rate provided to us via relevant scheme (ie Visa or Mastercard). This exchange fee will be shown to you in the App before you finalise your PayNow transaction. We will not add any other costs.

We will process the PayNow transaction instantly, but there are circumstances where third parties may require additional time to process the transfer. Therefore, it may take up to the next business day or sometimes even longer for the retailer to receive the transaction amount.

We provide our services via our website and mobile apps on both Android and Apple compatible devices and ensure that our apps remain compatible with all device types defined as supported by Android and Apple.

5. ZILCH REWARDS

Rewards. Rewards are loyalty points that you can earn on every PayNow transaction (whether in app with thousands of retailers, via Zilch Anywhere or Zilch Tap & Pay that can used to pay in full or as part payment of future purchases of goods and services at thousands of participating merchants via our app.

Rewards cannot be converted into cash or transferred to any bank or card accounts. You cannot assign, transfer or move Rewards. You cannot combine your Rewards with Rewards awarded to any other person. There are no exchanges or refunds on unused Rewards.

Earning Rewards. Each time you use Zilch to Pay Now, we’ll award you with Rewards at the then advertised reward percentage (Reward Rate). The amount of Rewards awarded will be determined as follows:

Purchase price x Reward Rate x 100, rounded down to the nearest whole number.

(For example: ((Purchase price of £500) multiplied by (Advertised Reward Rate of 2%)) x 100 = 1,000 Zilch Rewards. 1 Reward is the equivalent of 1 pence.

Other ways to earn reward. We may also provide Zilch Rewards for signing up to Zilch (once you have passed our know your client checks); where you refer a friend (or where a friend refers you) to Zilch and you make a qualifying purchase; or from time to time at our discretion, including as part of limited time offers.

You will not earn Rewards on any portion of any transaction that was made in connection with Rewards.

For example, if you enter into a Zilch Pay Now transaction with a purchase price of £100, while using 2,000 Rewards (the equivalent of £20.00), you will only earn Zilch Rewards on £80 of the purchase.

Refunds/Cancellations. If you have a purchase refunded or cancelled, we will cancel the Rewards earned for that purchase.

Rewards Expiry Date. Please note that Rewards expire 12 months from the date of the award unless otherwise stated.

Using Rewards against your PayLater Account. You can continue to earn Rewards from PayNow even if you are behind with payments on your PayLater account. You can use rewards to pay amounts due on your PayLater Account. You will not be able to spend rewards if you are behind on payments on your PayLater account and we reserve the right to net Rewards against any PayLater amount if that account is more than 30 days past due.

Errors. If we have incorrectly added the wrong rewards – then please contact us so we can rectify the matter. We also reserve the right to remove Rewards that we’ve awarded to you due to a mistake of ours and can also remove your Rewards if you are in default under or violate this agreement and we determine that we need to stop further spend.

Changes to the Rewards programme. We can change the Rewards programme for any reason particularly to reflect the arrangements we have in place with Eligible Stores (for example, with regards to the percentage Rewards you are likely to earn on a per transaction basis given this is at the discretion of our Eligible Stores). Where possible, we will aim to give you at least 30 days’ notice of material changes but changes to individual retailers can change quickly and our live rates will always be available in our app/website.

Fraud and abuse of Zilch Rewards. If we have reasonable grounds to believe that you have engaged in any fraud or material abuse related to Zilch Rewards, such as seeking to obtain an advantage through unfair or deceptive means, we may take actions which we reasonably consider appropriate in the circumstances, and this may include immediately stopping the award of further Rewards and/or forfeiting your existing Rewards.

Termination of the Rewards programme. We can terminate the Zilch Rewards programme at any time by giving you at least 30 days’ notice but will give you up to 60 days from such date to use any unused Rewards.

6. USING THE ZILCH CARD

We will consider transactions to be authorised by you when you use the App or Website to provide the Zilch Card details to an Eligible Store, or Tap & Pay, to purchase goods and/or services from them.

Restrictions on making transactions. We will authorise the transaction unless:

it is a Prohibited transaction such as Gambling sites/Lottery sites. A full list of prohibited merchant category codes is available on our website. We also reserve the right to block merchants to protect you and the usage of your card where we have seen high levels of fraud.
you do not have an active CPA or your CPA fails when we attempt to debit your nominated debit card;
we are concerned about the security of the Zilch Card and/or Zilch Account;
we suspect your Zilch Account is being used for fraudulent or illegal purposes;
we suspect it is not you attempting to authorise a transaction;
we believe you have broken your agreement with us;
when we attempt to debit your chosen debit card, your debit card issuer declines the transaction;
we are unable to satisfactorily verify your identity; or
we need to decline the Transaction in order to comply with the law.
Exceeds acceptable use. We will always aim to keep you up to date on our latest acceptable use rules – but this information will always be available in our app.

If we decline a transaction we will inform you of the reason for doing so as soon as possible after the event, provided we are not are not prevented from doing so by law.

7. REFUNDS AND DISPUTES

Dispute. If you have a dispute with a Merchant in respect of a transaction, or the goods and/or services you purchased, you should contact the Merchant directly in the first instance and attempt to resolve the issue.

If you have been unsuccessful, we may be able to raise a chargeback with the merchant on your behalf. Full details are available in our FAQ section of our website.

Refunds. Any refunds received in respect of debit transactions you have made will be credited to your Default Debit Card.

8. CONTINUOUS PAYMENT AUTHORITY

CPA. When you complete your Application we will ask you to provide us with at least one Continuous Payment Authority (CPA) for a debit card you are authorised to use. We will use this to authorise each transaction. We may allow you to register more than one debit card with us and if we do:

(a) you can select which debit card is your preferred option for us collecting payment from you (which will be your Default Debit Card); or
(b) if you do not select a default card we will automatically use the first debit card you registered with us (which will be your Default Debit Card).

It is important that you ensure your chosen debit card has sufficient funds to make payment as otherwise you may be charged returned payment fees by your card issuer.

Cancelling your CPA. You can cancel the CPA either by contacting the bank that issued your debit card, by removing your debit card details in our app or by contacting us. If you cancel the CPA either, you will need to provide us provide us with another CPA for another debit card in order to make any future PayNow transactions.

9. OTHER KEY INFORMATION

Account Default Settings. You can use the App and Website to set defaults for your use of the Zilch Account under both the Zilch Account Agreement and the Zilch Regulated Credit Agreement.

Agreement Duration. This agreement has no fixed or minimum duration and will begin on the date that we email you to confirm that your Application for a Zilch Account has been accepted.

Commercial Offers and Fee Free Transactions. From time to time we may make various promotional offers available to you from our Eligible Stores and other organisations we have agreements with. Such offers may be subject to additional terms and conditions which we will make available to you.

Statements. You can view an up to date statement of your Zilch Account, including all your purchases, payments, refunds you have made at any time by logging into the App or Website. We will make statements available on a monthly basis.

Termination. You can terminate this agreement if you only have a PayNow account at any time by giving us notice that you wish to do so. If you have both a PayNow and a PayLater account, you will need to have repaid all amounts you owe us in accordance with the PayLater account to close both accounts.

10. CHANGES TO THIS AGREEMENT

Change in your detail. You must let us know promptly if any of your contact details change including, but not limited to, your address, phone number (mobile and landline) and email address. Please also let us know if your name changes (e.g. due to marriage, or any other legally recognised name changes). You can inform us of such changes by using the “chat” function on our App or Website or by calling us on +44 (0)20 3405 9775.

Changes to the agreement. We may change this agreement at any time by giving you two months’ prior notice in writing for any of the following reasons:

to comply with anticipated legal, financial or regulatory changes;
to make changes in the way we provide services to reflect changes in the financial system, technology or systems we use;
to reflect alterations in the nature and extent of the service which we are able to provide to you having regard to our systems capabilities and to market practice and to the level of customer demand;
to ensure the pricing of your Zilch Account is appropriate for your risk profile if your risk profile changes meaning that there is an increased risk that you may not be able to repay the money you owe us;
to respond to actual or expected changes to our costs in providing the Zilch Account;
to ensure that our business is run prudently;
to reflect any corporate change which affects us; or
to rectify errors, inconsistencies, ambiguities or omissions in the Conditions.

You will be deemed to have accepted the changes if you do not notify us before the proposed date that the changes are due to take elect that you do not accept the change.

If the change is not to your disadvantage we may make the change immediately and notify you of the change as soon as possible.

If you object to the changes you can notify us that you do not wish to accept the changes and that you wish to end the agreement in accordance. This will mean that our agreement with you will end.

11. WHAT YOU ARE RESPONSIBLE FOR?

You represent and warrant to us that in opening a Zilch Account with us you are not acting on behalf of, or for the benefit of, anyone else. Further, it is your responsibility to ensure that:

information you provided in your Application is complete and accurate and that you tell us about any changes to your details, including to your debit card details;
you co-operate with us in all matters relating to your Zilch Account, including complying with the terms of this agreement and following any instructions we may provide you about the use of your Zilch Account;
you keep your app up to date;
you keep the Zilch Card, the Zilch Card details and Zilch Account details safe and secure at all times and do not allow anyone else to use them;
you keep any Device that you use Zilch on (whether through the App, Website or e-wallet) safe and secure at all times;
you regularly check your Zilch Account for any unauthorised or unusual activity;
you provide us with such information and documents as we may reasonably require in order to make funds available for a transaction or in investigating any unauthorised access to or use of your Account, or any access to or use of funds in breach of this agreement, and ensure that such information is complete and accurate in all material respects;
you comply with all applicable laws, and do not use your Zilch Account, including making transactions, for any unlawful, fraudulent or improper purchases or activity;
you do not allow anyone else to access or use your Zilch Account or funds through your Zilch Account, or provide anyone else with your Zilch Account or login details;
you do not use any technology to damage, intercept or interfere with the products and services we provide;
you do not make any untrue or exaggerated statements on the App, Website or elsewhere that could damage our reputation;
you have authorised us to use a CPA and have sufficient funds in your chosen debit card account to make the payments you owe us under this agreement.
you do not open more than one Zilch Account with us.

You are liable for any fees or charges imposed by the bank your debit card account is provided by, except to the extent that such fees or charges arise as a result of our error.

12. UNAUTHORISED AND INCORRECTLY EXECUTED TRANSACTIONS

You must contact us immediately if:

you identify an unauthorised transaction on your Zilch Account;
the Zilch Card, Zilch Account username or password are lost, stolen or compromised;
any Device you use to access your Zilch Account or use the Zilch Card is lost, stolen or compromised, by calling us on +44 (0)20 3405 9775 or using the “Want to raise a dispute” button that is displayed in the App or Website when you view transactions on your Zilch Account.

If you identify any Transaction which you think has not been executed correctly (e.g. incorrect amount or duplicated transaction) you should contact us, and in any event within 13 months of the date of the transaction.

If we suspect any fraud, security issue or other suspicious activities in relation to your Zilch Account or any transaction, we will contact you via email for you to respond back via the app.

You will not be liable to us for unauthorised use of the Zilch Card after you have notified us as detailed in Condition 15. You will not be liable for unauthorised use of the Zilch Card prior to notification unless we can prove that:

you made the transaction;
you have acted with gross negligence, or intent, and failed to keep your Zilch Account and Zilch Card details safe; or
you gave someone else the Zilch Card details required to make a transaction, in which case you will be liable to us for the full amount of any transactions and associated transaction Fees incurred as a result.

You may not be responsible for a transaction if we have carried it out without complying with this agreement and our obligations under the laws that apply to the execution of such Transactions.

If you are not responsible for a transaction we will refund it to your Zilch Account unless you have acted fraudulently or with gross negligence.

13. OUR RESPONSIBILITY FOR LOSS OR DAMAGE SUFFERED BY YOU

We are responsible to you for foreseeable loss and damage caused by us. If we fail to comply with this agreement, we are responsible for loss or damage you suffer that is a foreseeable result of our breaking this agreement or our failing to use reasonable care and skill.

We do not exclude or limit in any way our liability to you where it would be unlawful to do so. This includes liability for death or personal injury caused by our negligence orthe negligence of our employees, agents or subcontractors; for fraud or fraudulentmisrepresentation.

We are not responsible to you for losses you suffer as a result of:

an Eligible Store, or their Payment Service Provider, not accepting the Zilch Card;
unforeseeable events outside of our control, including the acts of third parties;
actions we are obliged to take due to a legal requirement and/or by a regulator; or
any delays, failures, or any other loss or damage resulting from the transfer of data over communications networks and facilities, including the Internet, and you acknowledge that the services we provide (including providing you with credit) may be subject to limitations, delays and other problems inherent in the use of such communications facilities.

14. CLOSING AND SUSPENDING YOUR ZILCH ACCOUNT

This agreement, and your Zilch Account, will continue until terminated by you or us.

You or we may terminate this agreement at any time by giving notice to the other. We will be required to give you at least two months’ notice in writing but you may do so immediately via the App or Website or contacting us as long as your Zilch PayLater account is up to date.

We may suspend or close your Zilch Account or decline transactions. We reserve the right to suspend, restrict or terminate your Zilch Account and this agreement, or decline any transactions, for any of the following reasons:

(a) you materially breach the terms of this agreement;
(b) you do not have an active CPA or your CPA fails when we attempt to debit your nominated debit card;
(c) we become aware of any suspicious or high-risk activity connected with your Zilch Account, a Store, or a particular transaction or series of transactions;
(d) we are concerned about the security of your Zilch Account or access to it;
(e) we discover that any information you have provided to us is false or incorrect;
(f) you attempt to execute one or more prohibited transactions;
(g) you are engaged, or we suspect you may be engaged, in fraudulent, money laundering, terrorism financing or illegal activity or we reasonably suspect the same; (h) you break an important term of this agreement or repeatedly break any term in this agreement and fail to resolve the matter in a timely manner after we have asked you to;
(i) you are abusive towards us or any of our employees or agents;
(j) your Zilch Account has been inactive for a period of at least six months and you have repaid us in full; or
(k) we reasonably believe that there is a need to do so to comply with any law.

15. CONTACTING EACH OTHER

How to contact us. You can contact our customer service team online, via the live chat on the App or Website, or write to us at Zilch Technology Limited, 111 Buckingham Place Road, London, SW1W 0SR or call us on +44 (0)20 3405 9775.

How we may contact you. If we have to contact you, we will do so by telephone or by writing to you at the email address or postal address you provided in your Application. We will all use in App messaging to inform you of offers/deals and changes to your services.

“Writing” includes emails. When we use the words “writing” or “written” in this agreement, this includes emails.

16. HOW WE USE PERSONAL INFORMATION.

We will only use your personal information as set out in this agreement and our Privacy Notice.

17. OUR CONTRACT IS WITH YOU

Only you and we have any rights under this agreement. This agreement is between us and you. No other person shall have any rights to enforce any of its terms and you cannot transfer any rights or obligations under them to anyone else.

We may transfer our rights and obligations under this agreement to another organisation. We will always tell you in writing if this happens and we will ensure that the transfer will not affect your rights under this agreement.

This agreement does not affect your statutory rights, including any rights that you may have in relation to defective goods, digital content, or services.

We will not be liable for our obligations under this agreement if we are prevented from carrying them out due to factors beyond our control including, but not limited to:

(a) acts of God, flood, drought, earthquake or other natural disaster;
(b) epidemic or pandemic;
(c) terrorist attack, civil war, civil commotion or riots, war, threat of or preparation for war, armed conflict, imposition of sanctions, embargo, or breaking off of diplomatic relations;
(d) nuclear, chemical or biological contamination or sonic boom;
(e) collapse of buildings, fire, explosion or accident;
(f) a banking system failure; or
(g) interruption or failure of utility service.

If a court finds part of this agreement illegal, the rest will continue in force. Each of the Conditions of this agreement operates separately. If any court or relevant authority decides that any of them are unlawful, the remaining Conditions will remain in full force and elect.

Even if we delay in enforcing this agreement, we can still enforce it later. If we do not insist immediately that you do anything you are required to do under this agreement, or if we delay in taking steps against you in respect of your breaking this agreement, that will not mean that you do not have to do those things and it will not prevent us taking steps against you at a later date.

18. ENGLISH LAW

This agreement, and all communications relating to it, shall be in English. This agreement is governed by English law and you can bring legal proceedings in respect of this agreement in the English courts. If you live in Scotland or Northern Ireland, you can also bring legal proceedings in respect of this agreement in the courts that are local to you. If you live in Northern Ireland, you can bring legal proceedings in respect of this agreement in either the Northern Irish or the English courts.

19. COMPLAINTS AND REPORTING PROBLEMS

If you wish to make a complaint, you can contact us at [email protected] or via the Zilch app. Our final response to your complaint, or a letter explaining why the final response has not been completed, will be provided within 15 business days after your complaint has been made, and in exceptional circumstances, within 35 business day. If we do not resolve your complaint to your satisfaction, then you can refer your complaint to the Financial Ombudsman Service, which is an out-of-court dispute resolution authority, within 6 months of the date we send our final response to you. The Financial Ombudsman Service can be contacted at:

Exchange Tower, London, E14 9SR;
Telephone: 0800 023 4567; or
Email: [email protected]