Global Currency Account Terms of Service

Updated 2nd April 2020

These Global Currency Accounts Terms of Service (the “Terms of Service”) govern your use of Global Currency Accounts, a foreign currency payment solution for online merchants and for other businesses (the “GCA Service”) provided as a supplemental service by CanadianForex Limited o/a OFX (“OFX”). In these Terms of Service, “you” and “your” refers to you, and “we,” “us” and “our” refer to OFX. By using the Service, you agree to be bound by these Terms of Service, the User Agreement and all other agreements, terms, policies and guidelines applicable to the GCA Service (which together for purposes of these Terms of Service will be referred to as the “Terms”). If any inconsistency exists between these Terms of Service and the User Agreement, these Terms of Service shall control. Capitalized terms not defined in these Terms of Service have the meanings set forth in the User Agreement.

1. Service Description

The GCA Service allows you to receive electronic payments. Payments may be received by you via transfers of funds initiated by (i) certain companies such as online marketplaces that facilitate the sales of goods and services by you; or (ii) other companies including vendors or other third-party payors that you have invoiced or otherwise charged for goods or services you have provided or will provide (collectively, companies making payments received by you as part of the GCA Service are referred to in these Terms of Service as “GCA Payors”).Funds received and credited to your Global Currency Account (“GC Account”) will be held until withdrawn or transferred to a third-party by you. Your GC Account will not support the receipt of multiple currency denominations. You must elect a single currency for each GC Account. OFX supports GC Accounts in the following currencies: U.S. dollar, Euro, British Pound, Canadian dollar, Australian dollar, Hong Kong dollar and any other currency that OFX may enable from time to time. The GC Account is not a bank account and is subject to certain limitations and restrictions, as described in greater detail in Section 12.  

2. Eligibility

To register to use the GCA Service you must have a registered OFX User Account with us. You must be a business entity authorized to do business in the province or territory in which you conduct business. You must be approved by OFX to use the GCA Service. OFX reserves the right to reject any application for use of the GCA Service, for any reason.

3. Account Set-Up

a. Registration.

To create a GC Account and use the GCA Services you must submit additional information to us. We will review your application and upon approval we will enable access to the GCA Service and activate your GC Account.

b. Verification.

To comply with applicable laws, we may request additional documents or information to verify your identity, the nature of your business or the source of funds, including without limitation government-issued identification, invoices for goods or services delivered or received by you and payment confirmations from a GCA Payor. Such information or documentation may be used in conjunction with any other information collected by OFX in relation to your OFX User Account. Failure to provide such information or our inability to verify the accuracy of the information provided could result in denial of your application to use the GCA Service, suspension of your use of the GCA Service and/or revocation of your Account Credentials. You agree that all information provided to us will be accurate and complete.

4. Account Credentials

Upon approval, you will be provided with a unique account identification number, a bank routing number and other relevant account details (collectively, the “Account Credentials”) to be used only to enable inbound payment to your GC Account from GCA Payors. Account Credentials may only be disclosed to GCA Payors for the sole purpose of receiving payments from such GCA Payor. You may not sell, transfer, sublicense, or disclose your Account Credentials to any third party, other than a GCA Payor. Account Credentials must be protected and kept secure. You agree to notify OFX immediately if you know of or suspect unauthorized use of your Account Credentials. OFX may revoke your Account Credentials upon immediate notice to you at any time for any reason in OFX’s sole discretion.

5. Receiving Funds

a. Approved Marketplaces.

Where the GCA Payor is an online marketplace, only those marketplaces that are approved by OFX in its sole discretion may send funds to your GC Account. Payments sent by online marketplaces or payors that are subsequently not approved by OFX at its discretion will be declined and returned to the payor. You may request a list of online marketplaces that are approved to send funds to your GC Account by contacting us at onlinesellers@ofx.com.  

b. Funds Acceptance.

Only inbound payments sent from a qualified business account through the automated clearinghouse system (“ACH”), or the international equivalent electronic transfer system for the applicable currency, will be accepted and credited to a GC Account. GC Accounts may not be funded by wire transfers, cash or checks. Inbound funds must be received in the currency supported by the particular GC Account. Any attempted payments to a GC Account through an unsupported payment method or currency will be rejected and returned to the payor. Funds received through the GCA Service will be held in your GC Account until transferred by you, unless you have selected the Auto Conversion feature (defined below).

c. Rejected Payments.

If an inbound payment is rejected or declined, a bank or other third-party provider may assess a fee in relation to the rejection. In addition, OFX may, in its discretion, assess a fee on you to cover the investigation costs and expenses.  You acknowledge and agree that any fees, costs or expenses associated with a declined or rejected payment will be borne by you or the payor. In no event will we be responsible for any fees, costs or expenses assessed by a third party in relation to a rejected or declined payment.
d. Delivery Issues. The payment and delivery of funds to your GC Account, including the timing of receipt of the funds and the amount of funds delivered, is controlled solely by the GCA Payor and be subject to the GCA Payor’s terms and conditions. Any issues or disputes with the delivery, non-delivery or timing of the delivery must be resolved directly with the GCA Payor and are not the responsibility of OFX.

6. Transferring Funds

You may only transfer funds from a GC Account by initiating a Transaction using our Transfer Service. Transactions can be booked by telephone or via the OFX website. For information regarding Transactions, including but not limited to the terms and any fees applicable to booking and processing Transactions, please refer to the User Agreement. You also may take advantage of our automatic booking feature which enables automatic currency conversion and transfer of funds upon receipt from a GCA Payor (“Auto Conversion”).

If you elect to use Automatic Conversion, we will convert your funds immediately upon receipt from a GCA Payor and transfer such funds to your designated recipient account. You acknowledge that the exchange rate used for Automatic Conversion will be based upon the rate that we receive from our bank service provider at the time that the conversion is initiated Exchange rates fluctuate due to external market conditions, therefore the exchange rate used for conversion of your funds will vary for each transfer and Auto Conversion is not a hedge against fluctuations in interest rates.

The exchange rate assessed on your Transaction will be disclosed on your receipt and in your transaction history. Automatic Conversion is a “standing instruction” and once selected will remain the default method for a period of 12 months or until cancelled by you. To discontinue your use of Automatic Conversion, please contact Customer Service. Your use of Automatic Conversion will not be cancelled or discontinued until confirmed in writing by OFX.

7. Recalled Payments

We do not accept any liability for returns or recalls initiated by you or by a GCA Payor. If you receive a payment that is recalled and returned to the payor for any reason, you are solely responsible for the full amount of the returned payment (including any fees incurred by us as a result of the return payment). In the event a GCA Payor debits or recalls funds that have been credited to your GC Account, you hereby indemnify us in respect of any such deductions, together with any costs or expenses incurred by us in connection with dealing with the debit or recall requests. We reserve the right to collect from you any loss by us resulting from a recalled payment.

8. Account Balance

Any funds held in a GC Account (your “Balance”) represent an unsecured claim against OFX and are not insured by the Canada Deposit Insurance Corporation or any other deposit protection scheme. OFX may comingle and hold your Balance with the Balances or funds of other OFX customers in one or more pooled accounts held by us at one or more banks (“Pooled Account”).

We will have sole discretion as to the maintenance and establishment of Pooled Accounts and you will not have any right to or be entitled to draw funds from any Pooled Account. All funds received for the benefit of consumers are held separately from OFX’s corporate funds and will not be used for operating expenses or for any other business purposes. Additionally, OFX will not voluntarily make these funds available to creditors in the event of bankruptcy. You will not receive any interest or other earnings accrued on your Balance or any other funds held in a Pooled Account. In consideration of your using our Services, you irrevocably assign to us all rights and legal interest to any interest or earnings attributable to holding your Balance in a Pooled Account.

9. Negative Account Balances

Negative account balances  not permitted. If for any reason your GC Account reflects a negative balance, you must immediately send funds to us to restore a positive balance. A negative balance represents an amount you owe to us. If you fail to rectify the negative balance, we may suspend or terminate your access to our Services (including, without limitation, the GCA Services) and/or take legal action to recover the outstanding amount.  Under no conditions will OFX extend any credit to you.

10. Account History

When payment is received in your GC Account, we will send a funds notification confirmation to the email address associated with your GC Account. We do not provide periodic account statements; however, you can view a history of your transactions (including current balance, funds received and transferred/withdrawn as well as related fees and exchange rates) by logging into your OFX User Account. If you notice any errors or unauthorized transactions in your account history, please contact us immediately by email: corporatenorthamerica@ofx.com, or by or phone on +1 855 680 0745.

11. Taxes

You are responsible for determining all taxes or duties that may be assessed, incurred or apply to the payments made or received to or from your GC Account, including but not limited to any value-added, sales, use or withholding taxes (“Taxes”). It is your sole responsibility to remit any such Taxes to the appropriate government tax authorities. You also are responsible for any applicable reporting requirements, including without limitation reporting in accordance with laws related to customs or foreign currency controls. 

In compliance with applicable law, we may be required to make certain reports to tax authorities regarding your Transactions or payments received in connection with the GCA Service.

12. Restrictions on Use of Services

a. No Outbound Payments.

The GCA Service and the corresponding GC Account is not a banking product or bank account and cannot be used by you as a bank account. Funds are held on your behalf in your GC Account pending subsequent payment instructions.  No depositor-creditor relationship is established between you and OFX, and funds held in your GC Account represent an unsecured claim against OFX. Outbound payments by you are strictly prohibited. You are not permitted to authorize withdrawals using Account Credentials or otherwise initiate an outbound funds transfer using your Account Credentials other than by initiating a Transaction in accordance with Section 6 of this Terms of Service.

b. No Personal Use.

The GCA Service is intended for business-related and commercial activities only. You are not permitted to use the GCA Service for personal, family or household purposes. OFX will block funds from any individual or for suspected or actual use for personal, family or household purposes.

c. Unsupported Business Activities.

You may not use the GCA Service or accept payments in connection with the following business activities, products or services: 

    Category Description
    Financial Services Money transmitter, payday lenders, collection agencies, credit counselling or repair, unlicensed mortgage consulting, bill payment services, check cashing, FX exchanges, shell banks, money orders, currency exchanges or dealers, prepaid access.
    Virtual Currency or stored value Sale of stored value or credits maintained, issued or accepted by anyone other than the merchant. Virtual currency that can be monetized, resold or converted.
    Counterfeit goods Unauthorized sale of or resale of brand name or designer products or services; sale of goods or services that are illegally imported or exported.
    Gambling Lotteries; includes online gambling (including poker), lotteries (including sale of lottery tickets), games of chance (including sweepstakes and raffles), sports forecasting, fantasy sports leagues with cash prizes or odds-making, betting and off-track betting.
    High-Risk Regulated Products or Services Illegal drugs, drug paraphernalia, controlled substances, marijuana dispensaries and related businesses or any substances designed to mimic illegal drugs; e-cigarettes and e-liquid; pharmacies that operate solely via online or mail order; weapons and munitions; gunpowder and other explosives; arms dealers; toxic, flammable, and radioactive materials; products and services with varying legal status on a state-by-state basis; adult entertainment.
    Intellectual property or proprietary rights infringement Sales, distribution, or access to counterfeit music, movies, software, or other licensed materials without the appropriate authorization from the rights holder; any product or service that directly infringes or facilitates infringement upon the trademark, patent, copyright, trade secrets, or proprietary or privacy rights of any third party; use of OFX intellectual property without express consent from OFX; use of the OFX name that marks inconsistent with OFX’s Terms and Conditions or in a manner that otherwise harms OFX or the OFX brand; any action that implies an untrue endorsement by or affiliation with OFX.
    Any other category of product or service that OFX decides to prohibit in its sole discretion, including any category identified in our Acceptable Use Policy.

13. Default Rights

a. Security Interest;

Set-Off Rights. As a security for the performance of your obligations under these Terms of Service, you hereby grant OFX a security interest and lien on all funds for Transactions we process for you through the GCA Service, including funds received or credited to your GC Account. In the event you fail to pay any amount owed to us or our affiliates, including any negative balance, we may without prior notice to you, satisfy or partially offset any such unpaid amounts (together with any fees or expenses incurred as a result of non-payment) by deducting the total unpaid amount or a portion thereof from funds added to or held in any of your GC Accounts.

b. Collection Costs. 

You agree to pay all outstanding amounts owed to us upon demand. Your failure to pay amounts owed to us or our affiliates under these Terms of Service is deemed a breach of these Terms, and you will be liable for any costs incurred to collect such amount, including any  fees of legal counsel, costs of arbitration or court proceeding, collection agency fees and/or applicable interest.

14. Termination of GCA Services 

We may suspend or terminate your use of the GCA Services at any time for any reason upon immediate notice to you. Any termination or suspension of the GCA Service will not relieve you of your obligations under the Terms, including payment of any chargeback, recalled funds, fees or other amounts owed to us or incurred through the date of termination. You acknowledge and agree that we have the right to recover, and you are responsible for the payment of any chargebacks, fees, costs and expenses assessed by a merchant or other third party for your activity prior to the suspension or termination of your use of the GCA Services. 

If your OFX User Account is closed or deactivated for any reason, your access to the GCA Services will also be terminated or suspended. Subject to our set-off rights, chargeback rights, and other conditions in the Terms, any funds held at the time of termination will be paid to your linked bank account or as otherwise directed by you. We will not be liable to you for compensation, reimbursement, or damages of any kind in connection with any termination or suspension of the GCA Service.

15. Dormant Accounts

If funds remain in your GC Account for an extended period of time, they may be deemed “abandoned” or “unclaimed” by you under your province's laws. To the extent required by applicable law, we will attempt to provide notice to you prior to the expiration of the relevant dormancy period. If you fail to contact us upon expiration of the notice period, if required by your province’s laws, we will deliver the funds to the applicable provincial government agency.

16. Additional Indemnity

In addition to your indemnity obligations under the User Agreement, you will indemnify, defend and hold harmless us and our affiliates (and their respective officers, directors, employees, agents and representatives) from and against any and all claims, costs, losses, damages, judgments, Tax assessments, penalties, interest and expenses (including reasonable attorneys’ fees) arising out of any claim brought by a third party that arises out of or relates to any payment received by you through the use of the GCA Service, including without limitation any dispute concerning products or service sold by you or transactional issues arising with GCA Payors.

17. Additional Representations, Warranties and Covenants

In addition to any warranties, representations or covenants you made to us under the User Agreement, you represent, warrant and covenant to us that in relation to your use of the GCA Service that: (i) any funds received by us constitute a payment for a commercial transaction related to the sale of goods or services; (ii) you are not using the GCA Service for personal, family or household purposes; (iii) you are in compliance with all applicable foreign tax legislation, including the U.S. Foreign Account Tax Compliance Act (“FATCA”) and agree that you will remain compliant; (iv) you will accurately represent your relationship with OFX and the nature of the Account Credentials to any GCA Payor; (v) any payments received through the GCA Service were not derived from the sale of illegal, unauthorized or impermissible goods or services in violation of the Terms; and (vi) utilizing the GCA Service to receive payments from a GCA Payor will not breach any agreements you have with such GCA Payor.

18. Modification 

We may modify these Terms of Service at any time by posting a revised version on our website or by otherwise communicating such amendments to you. Any modification to these Terms of Service will become effective upon posting or notice to you. You will be deemed to accept the modifications if you continue to use the GCA Service after the amended Terms of Service have been posted. We may, at any time and without liability, modify or discontinue all or part of the GCA Service.

19. Survival

The following sections of these Terms of Service, as well as any other provision that, in order to give proper effect to its intent, should survive the termination or expiration of these Terms of Service will survive such termination: Section 11 (Taxes); Section 13 (Default Rights); Section 15 (Dormant Accounts); Section 16 (Additional Indemnities) and this Section 19 (Survival).

20. Language

The parties each agree that these Terms of Service and all related documents are provided in English only. Les parties conviennent que les conditions de service et tous les documents s’y rapportant sont fournis en anglais seulement.