Noca Launches Payment System to Rid Online Merchants of Transaction Fees

Former Visa Executives Team Up to Serve E-Commerce and Media Sites Squeezed by Credit Card Processing Fees

MOUNTAIN VIEW, CA--( - February 9, 2009) - Noca Inc., a startup founded by former Visa executives to address the high costs associated with credit card processing, today launched the beta version of its payment system that virtually eliminates transaction fees for online merchants. At the heart of Noca's system is Secure Check™, a convenient, safe way for consumers to pay for content, digital media, physical goods and other purchases using their bank accounts directly from a merchant's site. With the harsh economy squeezing businesses and concerns growing around recent credit card data breaches, Noca brings end-to-end encryption to a payment solution that merchants can implement within an hour without the expense and risks of processing credit cards.

Unlike credit card companies, which charge high fees (known as "interchange") in order to maintain a complex web of banks and processors, Noca operates with no such cost structure and can pass on the savings to merchants. Also, since consumers pay Noca-enabled merchants directly from their bank accounts via the Automated Clearing House (ACH) Network, the means and motive for credit card fraud are removed. More than 135 million Americans use the ACH Network for direct deposits, utility bills and e-commerce purchases. (source: NACHA)

"Noca amounts to an economic stimulus plan for online businesses," said Pankaj Gupta, founder and president of Noca. "Exorbitant payment processing fees have been a pain for merchants offering goods that carry low margins or sell at low price points. Secure Check lets merchants increase their profit margins and free up cash. It also gives consumers the choice to pay for purchases in the same way they already pay their bills."

How Merchants Get Started With Secure Check

Noca makes it easy for merchants to dramatically reduce payment processing and chargeback fees tied to credit cards, curb fraud and attract more customers.

-- Retailers with U.S. bank accounts can register for a merchant account
online at
-- A merchant can then begin accepting payments with Secure Check in less
than an hour by inserting a few lines of code into their site. Noca
provides seamless integration with shopping cart software. An application
programming interface (API) is available for merchants who require deeper
-- Merchants have real-time access to all transactions using a secure web
service interface.
-- There are no setup or maintenance fees.

"Unlike the legacy players in the credit card business, Noca is a new breed of payment company that appreciates the challenges and needs of online merchants," said Jim Diamond, CEO of, which provides management tools for youth sports organizations. "Noca's price is unbeatable, getting integrated with my shopping cart was a cinch, and I was up and running in no time. I'm excited to work with them and to offer my customers this innovative new payment option."

How Secure Check Works

Consumers can pay with a single click using Secure Check without risking credit card or Social Security numbers.

-- Upon reaching the checkout page of a Noca-enabled merchant, the
customer selects "Bank Account" as the payment method.
-- While still at the merchant's site, the customer will be presented
with an online check with the payment amount pre-filled. In addition to
completing the fields for name, address and check number, the customer
provides their email address as well as the account and routing numbers
found at the bottom of a physical check from their bank account. Noca does
not share customer or bank account information with the merchant.
-- After submitting the secure online check to complete payment, Noca
emails the customer with a link back to a customized portal at
where they can view the details of the transaction.
-- In subsequent visits to any Noca-enabled merchant, the consumer can
verify their bank account and complete payment with a single click, and
track all their transactions at

Data Security at Noca

Noca provides end-to-end encryption and has stringent safeguards to guard against data breaches. All data is stored at a secure, offsite data center that is certified Payment Card Industry (PCI) compliant. All data is encrypted at rest and in transit. Access to Noca servers in the data center is made using encrypted network channels and with strict access control policies. Additional information about Noca's security measures can be found at

Noca plans to introduce real-time verification to guarantee merchant funds, as well as a rewards program that puts consumers in control of the incentives they earn.

About Noca

Noca Inc. is a payments startup founded by former Visa executives to eliminate transaction fees while giving consumers an easy and secure alternative to pay online and earn rewards. The company is funded by angel and group investors, including former PayPal executives. Noca is based in Mountain View, Calif. For more information, go to or call 650-376-2088.