Administrator Guide: Managing Direct Banking (Payment Pad) Refunds

As a Property Management Company (PMC) utilizing Direct Banking via Payment Pad, it is essential to understand the operational workflow for fund movements and refunds. This guide outlines the roles of each entity and the protocols for resolving resident payment issues.

The Operational Framework

To ensure compliance and efficient fund management, the service operates under a clear division of responsibilities:

1. Dream Payments (The MSB): Dream Payments is the registered Money Service Business (MSB) and the merchant of record. They possess and control all funds during the processing window. The merchant agreement for payment processing exists directly between the PMC and Dream Payments.
2. The Property Management Company (The Merchant): The PMC is the primary beneficiary of the funds and holds the direct legal and financial relationship with the resident. The PMC is responsible for managing the resident ledger and issuing refunds once funds have been successfully disbursed to their accounts.
3. Property Vista (The Software Facilitator): Property Vista provides the digital interface for recording transactions. Property Vista acts solely as a software facilitator. We have no ownership, legal responsibility, or involvement in the financial agreement between the PMC and Dream Payments. We do not possess, hold, or move funds at any point in the transaction cycle.

The "Bill Payee" System: Why Payments Cannot Be Stopped

It is critical for PMCs and residents to understand that Direct Banking (Payment Pad) utilizes the Canadian Bill Payee system. This system differs significantly from Credit Cards or Pre-Authorized Debits (PADs):

• "Push" vs. "Pull" Mechanism: Unlike a PAD, where the merchant "pulls" money based on an agreement, a Bill Payment is a "push" transaction initiated by the resident.
• Open Access: In Canada, any individual with a bank account can add a registered Bill Payee (like "Payment Pad Inc.") and send funds to it at any time.
• No Stop-Payment Capability: Once a resident clicks "send" or "pay" within their banking portal, the transaction is considered final. Because the funds are pushed directly into the national clearing system, the transaction cannot be stopped, cancelled, or intercepted by Property Vista, Dream Payments, or even the PMC.
• The Only Path to Recovery: If a mistake is made, the funds must first complete their journey to the processor (Dream Payments) before any recovery process (Trace or Recall) can be initiated.

MSB Regulatory Compliance (Dream Payments Perspective)

As a regulated Money Service Business (MSB), Dream Payments is bound by strict anti-money laundering (AML) and "Know Your Customer" (KYC) regulations that dictate the refund process:

• Fund Matching Requirement: If a payment is "unmapped" (e.g., sent to an inactive building or closed profile), Dream Payments cannot legally disburse those funds to a merchant. MSB rules require a verifiable match between the sender's intent and the recipient's active profile.
• Privacy & Validation Guardrails: Dream Payments is legally prohibited from communicating directly with residents. Because Dream cannot validate a resident's identity over the phone or email, they can only release funds or provide status updates to the originating Financial Institution (the bank) or the contracted Merchant (the PMC).
• Irrevocability of Disbursement: Once Dream Payments has successfully disbursed funds to a PMC's bank account, the MSB's legal mandate for that transaction is complete. They have no authority to "pull back" funds from a PMC account to resolve a resident's overpayment.

Refund Resolution Protocols

When a resident requests a refund or a payment fails to reach your account, the resolution path is determined by the "funding state" of the transaction.

Scenario 1: Funds Successfully Disbursed to PMC

Condition: The transaction is marked as "Successful" and funds have been deposited into your bank account.

• Operational Ownership: The PMC.
• Action: Once funds are disbursed, they are under your control. Any refund requests must be handled internally by your accounting team. Neither Property Vista nor Dream Payments can "pull back" or reverse a successfully disbursed payment.

Scenario 2: Unmapped Funds (Inactive Building/Closed Profile)

Condition: A payment is sent to a building profile that is no longer active (e.g., due to a property transition or offboarding).

• Operational Ownership: Dream Payments (MSB) & Resident's Financial Institution (FI).
• Action: Dream Payments holds these funds in a secure clearing account. Because the destination account is closed, only the sender (resident) can trigger a recovery through their bank.

Recovery Methods:

Support & Escalation Paths

To streamline operations and reduce resolution times, please follow these communication channels:

• Resident Inquiries: PMCs should direct residents to their own Financial Institution for recalls. Dream Payments does not provide support to individual residents. Residents must not be given the escalation email address below.
• PMC Escalations (Dream Payments) - INTERNAL USE ONLY: For manual recovery requests or systemic funding discrepancies, the PMC's administrative team may contact Dream Payments directly.
  • Note: This email is for Property Management staff only. Requests sent directly from residents will be automatically rejected.
  • Email: pvrc_refunds@dreampayments.com
  • Required Subject Line: REFUND REQUEST: [Resident Last Name], [First Name], [Payment Date]
• Property Vista Support: Our team provides the software tools to view your transaction history. If you require specific details on the movement of funds or the status of a bank recall, these inquiries must be directed to Dream Payments as the MSB.

Expected Timelines for Planning

*Note: Internal refund timelines are subject to individual PMC accounting procedures and may be processed faster at the PMC's discretion.