A Bright Future For Refund Management - BankMobile ...bankmobiledisbursements.com/wp-content/uploads/sites/4/...A bright future for Refund Management YOUR TEAM 3 • same leading disbursement

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A Br ight Future f or Ref und Management ®

April 2016

Andrew Crawford SVP, Campus Services and Operations Lutz Braum Chief Marketing Officer

©2016 Higher One, Inc. All rights reserved.

2 2 ©2016 Higher One, Inc. All rights reserved.

Benjamin Fromm

VP, Relationship Management Randy Hawkins

VP, Relationship Management Kati Kennedy

VP, Relationship Management

Andrew Crawford

SVP, Campus Services & Operations

Casey McGuane

Chief Operating Officer

A bright future for Refund Management YOUR TEAM

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• same leading disbursement service • delivered by the same team of experts • revitalized by a new name • and a new student account called BankMobile Vibe


Introducing BankMobile Disbursements

Following the close of the sale to Customers Bank, Higher One’s disbursement business will become BankMobile Disbursements offering

BankMobile Refund Management® Service

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• Answering your most frequently asked questions • Update on Department of Education compliance • Enhancements for administrators and student selection process • Introducing BankMobile Vibe and support materials • Timeline and next steps • Questions

Today’s discussion



Your questions answered on higherone.com/regs

• Do we need student consent to transmit directory information to a third-party servicer? – Student consent is not needed to transmit directory information

– Student consent is required to open an account and to send a card

– Higher One always has required student consent before opening an account. We have never opened an account on behalf of a student without their consent and we will never do so

– In addition, we have never required students to open a financial account in order to receive their refunds. Students have had and will continue to have choices in how they want to receive their refunds and are never charged a fee to receive their refunds



• There are lots of rules around Tier 1 arrangements. Can you simplify it? – There are very few changes for institutions with Tier 1 arrangements

– Tier 1 arrangements come with clearer guidelines and offer more student protections than Tier 2 or non-covered arrangements

• Tier 1 service providers are precluded from offering credit financial products to students

• Students may be targeted for credit offers with Tier 2 arrangements • The Department of Education specifically created this rule to protect students,

and it is in students’ best interests to have these protections



• What are the operational changes for my institution? – There will be no change to:

• The process of sending demographic files (with the exception of no longer being able to send SSNs in whole or in part)

• The refund file and wire process

• Disbursement timelines (the 14 day rule)

• Our model of personal service

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Department of Education compliance timeline

7/1/16 9/1/16

Majority of the regulatory changes become effective.

7/1/18

Requirement to publicly post the contract and pricing terms between institutions and Tier 1 and Tier 2 servicers becomes effective.

Requirement to complete ED due diligence attestation.

As your third-party servicer, we will provide you with support to facilitate and manage all changes.


9/1/17

Requirement to publish account and fee information becomes effective.


Enhancements for administrators

New HigherOneSupport.com – based on direct feedback from you! New name coming soon – BankMobileAdminSupport.com

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Better navigation & more user friendly

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Reports are now listed in order of the functions you use most

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New refund selection process for students

§ 668.164(d)(4)(i)(B)(2) 1) Must present prominently as the first option, the financial account belonging to the student. 2) Servicers must list and identify major features and commonly assessed fees of the financial account. 3) Transparent, clear, fact-based and neutral refund selection process, with an emphasis on electronic choices

There will be major changes to the online refund disbursement selection process for students.

We plan to roll out the new and fully complaint refund selection process on or before July 1, 2016 across all client institutions.

Provision Change Update


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Selection Process

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• All students will receive a Refund Selection Kit with a Personal Code to validate identity • An inactive debit card will no longer be included, with the exception of those

institutions with student ID programs

The new Refund Selection Kit

New URL: RefundSelection.com Deposit to a

student’s existing account listed 1st ©2016 Higher One, Inc. All rights reserved.

H igher One: BankMobi le Disbursement s:

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From: [school name] Subject: Your financial refund choices from [school name] are waiting! Dear [first name] You may have received a bright green envelope from [school name], announcing that they are partnering with BankMobile Disbursements to deliver your refund. BankMobile Disbursements is committed to delivering great customer service and providing you with clear choices—as well as quick, easy and secure access to your money. If you did not receive your green envelope yet, you can make your choice right now by following

these simple steps: 1)Go to Refundselection.com 2) Enter your Personal Code [ABCD-1234-5678] 3) Select how you’d like to receive your money. Thank you, [school name] and BankMobile Disbursements


Personal Code is also sent via email (after the Refund Selection kit is sent)


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Informs students that opening a financial account is not required to receive their refund Fund transfer is initiated at

the same time for all choices

URL for the fee schedule is included with the account choice.

Financial account belonging to the student is presented prominently as the first option

Major features and commonly assessed fees are listed and identified


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Deposit to Existing Account

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Paper Check

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Opening an Optional Account

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Introducing BankMobile Vibe


Introducing BankMobile Vibe!

BankMobile Vibe is one of the most student-friendly accounts on the market and provides strong student protections put in place by ED regulations • Free ATM access at 43,000 ATMs in the U.S. • Free photo check deposit • Free photo bill pay • Free Money Meter budgeting tool • Free Snapshot (mobile spending tool) • Free Passport recognition program • Free card on/off switch • Free checks • No NSF/overdraft fees • Zero Liability Protection • No offers of credit or overdraft protection • No minimum opening deposit required • No minimum balance requirement • Available to all students (upon ID verification)


Account fees changes effective in June under BankMobile

Elimination of a number of fees: • PIN fee • NSF fee • Out-of-network ATM balance inquiry • Teller withdrawal fee • International transaction fee • Personal check order Fees we don’t charge: • Monthly fee for students • Speaking to live agent • Overdraft fee

NEW FEE SCHEDULE

Out-of-network ATM withdrawal: $2.50

Card Replacement: $10.00

OPTIONAL SERVICES

Domestic Wire: $25.00

Expedited Bill Pay: $4.95

GreenDot® Reload@Register: up to $4.95


BankMobile Vibe

FEES

Monthly Fee $0 for students $0 for students

Minimum Opening Deposit $0 $0

In-Network ATM Withdrawal Fee $0 $0

Out-of-Network ATM Withdrawal Fee $2.50 $2.50

Out-of-Network ATM Balance Inquiry Fee $2.50 $0

Out-of-Network ATM Transaction

Decline Fee $2.50 $0

Teller Withdrawal Fee $3.5% $0

Card Transaction NSF Fee $0 $0

NSF Fee $29 $0

PIN Fee $0.50 $0

FEES

Card Replacement Fee $20 $10

International Transaction Fee 3% $0

Personal Check Order Fee $7.95 $0

Official Check Fee $8 $0

Stop Payment Fee $24 $0

Return Deposit Item Fee $7 $0

Domestic Wire (Outgoing) Fee $25 $25

Expedited Bill Pay Fee $4.95 $4.95

Reload @ the Register™ Cash

Load Fee Up to $4.95 Up to $4.95

Account Research Fee $25/hour $0


Expanded nationwide ATM access

• The largest surcharge-free ATM network

• Students can get cash where they shop

• No fees for withdrawal or balance inquires

• ATM locator: www.allpointnetwork.com

• Available at more than 55,000 locations worldwide • ATMs are conveniently located at frequented shopping locations • Locations include, but are not limited to the locations listed below:

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• Allpoint network to go live for all accountholders on May 4, 2016.

• With the move to provide anywhere access, Higher One will no longer maintain a specialized fleet of campus ATMs effective May 4, 2016.

• Customized signage will be available for you in the coming days to help educate your students that they now have more standardized access to a nationwide network of ATMs.

• There will be an opportunity for your campus to continue to manage your own ATM on

campus through a preferred vendor outside of our program. If interested, your Relationship Manager can provide you with more detail on preferred pricing for Higher One clients and contact information.


Expanded nationwide ATM access

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BankMobile Vibe

• The OneAccount will become BankMobile Vibe in June • Existing accountholders will have no change to card and account number • New account holders will receive a new BankMobile Vibe card or co-branded card

Co-branded cards

Generic cards

Replacing ‘Higher One’ with ‘BankMobile Vibe’

New look and feel to reflect branding replacing ‘My One’ with ‘BankMobile Vibe’


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• BankMobile Disbursements educational materials are now available on the online Storefront!

• Customizable. Choose from a variety of posters, handouts & images.

• All materials can be easily ordered at no charge.

http://marketing.higherone.com/store

More materials specific to students’ refund choices

coming in June!


Educational materials for students


11 x 17 Posters

Available now on the online Storefront http://marketing.higherone.com/store


8 ½ x 11 Handouts



Electronic images


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Avoid student confusion with some spring cleaning! Please eliminate all old materials. Places to check include:

On your website In your Financial Aid office In your Bursar's office In your Orientation literature On bulletin boards

In June, you can expect more pieces to be added that include visuals of refund delivery choices for your students.


Removal of all out-of-date materials

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– We’ll be conducting webinar

training for frontline staff in June

– Higherone.com/regs will

continue to be a resource • Recording of this webinar • Summary guide you can pass

along

– New Compliance Handbook


Administrator training and resources

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Summary timeline

Nationwide ATM network goes live for students

BankMobile Vibe launches!

New refund selection process

Download new educational pieces in the Marketing Storefront

New ED rules in effect Contracts disclosure

requirement in effect

Join BankMobile at NACUBO!

Introducing BankMobile

OneAccount fees dropped

Closing of acquisition

Student accountholders notified of nationwide access to ATMs

Publish account & fee info

New enrollment process begins

4/4 5/4 6/17 by 6/30

by 6/30

7/1 7/16 9/1 9/1/17


Complete ED due diligence attestation

7/1/18

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QUESTIONS? [email protected] Higherone.com/regs

mailto:[email protected]

Documents

A Bright Future For Refund Management - BankMobile ...bankmobiledisbursements.com/wp-content/uploads/sites/4/...A bright future for Refund Management YOUR TEAM 3 • same leading disbursement