TranzactCard loses US banking services
Two months out from launch, TranzactCard has lost access to its US banking processors.
In BehindMLM’s published June 2023 TranzactCard review, we noted VISA cards acquired through Evolve Bank and Trust N.A. and CBW Bank. Solid is also part of the mix.
TranzactCard acknowledged its US banking issues in an email sent out on August 31st;
Our banking platform provider is currently experiencing issues. Consequently, customers are unable to fund their TranzactCard accounts. In the meantime, you can still make payments with your card and withdraw funds from your account.
On September 1st TranzactCard issued a follow up email, in which it abruptly announced it was “transitioning away” from its “present banking platform”.
Now is the time to transition away from our present banking platform and set up our own program — complete with our own unique BIN (bank identification number) with one or more direct community banks.
We anticipated making this transition sometime in 2024 — reaching this point earlier is no small feat!
TranzactCard blamed its banking problems on its US banking processors issuing it a “shared bank identifier with other fintech clients”.
This shared client structure has caused strain on our TranzactCard ecosystem as we onboarded more clients than anticipated.
Although occasional issues are to be expected, it has become clear that we have drastically outgrown our current banking platform.
TranzactCard went on to assure affiliates that, although they couldn’t add any new money, their “Visa cards will remain functional for outgoing payments and withdrawals.”
In another email sent out a few hours later, TranzactCard’s initial “VISA cards are fine” status changed again.
All active accounts and bank cards will be closed at the end of September. They will not be transferred to the new bank/s.
Funds can no longer be deposited into existing bank accounts.
Available funds must be spent or withdrawn from all Evolve/Solid bank accounts by September 30.
Founded in 1925, Evolve Bank and Trust bills itself as
a national best-in-class financial services institution that combines the expertise of a bank and the power of technology to offer our clients unique profitable solutions.
CBW Bank was founded in 1892 and operates out of Kansas.
Solid, founded in 2019, claims it has $81 million in funding and has processed 100 million API calls and $10 billion in transactions for over a hundred fintech companies.
It seems a little strange that these banking service providers would have issues processing a few $495 DBO payments.
MLM companies getting booted from banking services is typically a compliance issue. In a separate September 1st “corporate update” however, TranzactCard doubled down on blaming Solid.
Even though we are in pre-launch, the number and types of issues being experienced by you on this platform kept piling up and in the end there were too many to continue justifying its continuance.
Another Solid-induced error of yesterday, causing accounts to not be able receive new funds was just the straw that broke the camel’s back.
A decision that we had planned to implement more than a year from now had to be brought forward immediately.
The decision was that simple. Managing the short term chaos is harder, but better now than later.
Banking is hard enough, it doesn’t need to be compounded by “own goals.”
What are we telling people about this transition, can they know that we are no longer work with Solid?
Tell them we’ve outgrown Solid’s platform and are too advanced in sheer numbers and technical expertise to share this platform with other fintech startups.
Unless I misread the update, TranzactCard doesn’t disclose what the cited “decision” was that led to Solid terminating their accounts. Nor why the decision all of a sudden had to be brought forward.
Whether TranzactCard’s conduct triggered any Suspicious Activity Reports is also unclear.
Looking forward, TranzactCard claims it will have new banking channels set up in “several weeks”.
How long will the entire transition process take?
The transition is expected to last several weeks, and regular updates will be provided.
Whether these will be US bank or offshore accounts remains to be seen.
Outside of banking problems, as of September 1st TranzactCard maintains it “remain(s) within our projected timeline for the November launch.”
Back in July Richard Smith told affiliates TranzactCard’s November 12th launch date was “final” and “will not change”.
Update 14th December 2023 – As per a December 13th “corporate update call”, TranzactCard has named Bangor Savings Bank as its new US banking partner.
Bangor Savings Bank is based out of Maine, holds about $7.4 billion in assets and has ~950 employees.
Through Bangor Savings Bank, TranzactCard claims it has access to MasterCard’s payment network.
Update 16th December 2023 – Bangor Bank has denied having a partnership with TranzactCard.
Shoutout to the readers leaving comment/email updates. Much appreciated.
I thought about emailing Solid for comment but they aren’t likely to discuss client details with a third-party. If they issue a public statement in response to TranzactCard throwing them under the bus I’ll update.
They outgrew the bank???… lol… too funny…
There is no way in Hades that this will launch in November this year. This is a train wreck, and they are trying to cover up their train wreck with every plausible excuse they can come up with they think will fool the members.
Remember when Zeek Rewards claimed they were too big for their banks to handle their business? Well, Tranzact Card is now claiming the same thing. So what does Zeek Rewards and TranszactCard have in comon? Zeek Rewards was illegal and so is TranzactCard.
This will be lucky to limp through September at the rate they are failing.
I can attest to the many issues trying to fund our accounts, including the one yesterday. It’s real. Whether that’s Solid’s fault, or TranZact’s or both, I don’t know. But it is real.
For the record, I am not building a business with Tranzact. I’ve been in wait and see mode. So I don’t have much vested in this, other than I hope it works.
You, on the other hand, honestly seem to be stirring the pot unnecessarily. You don’t know how a bank could have trouble processing a few $495 DBO’s? That only shows your ignorance of the platform. It’s a debit card, dude. Thousands of charges being processed. More. Not too hard to figure out
I used to highly regard your site. Considered you the most respected watchdog in the space.
(Ozedit: derails removed)
I don’t know what’s happening with TranZact, how serious this is, or if it’s something to be concerned about or not. Maybe what they’re saying is true and it’s for everyone’s benefit.
I do know I’ve seen enough of your posts to lose massive confidence in them. That is certain
This is absolutely shocking and immediate – I wonder if Tranzact will still stand up to their refunds – If I was an investor, I would ask.
How so? All BehindMLM does is review and report on MLM companies.
What bank can’t handle “thousands of charges” over a few months? There’s enough tech in a digital thermometer to process that volume.
Everybody loves BehindMLM… until we review your company.
A++ 10/10. Would review again.
Mr. Facts:
He just reported that the hottest MLM new issue on his platform which is wholly reliant on having a Visa card ISSUER and PROCESSOR just closed them out.
That is the Facts.
The real question you should be asking is if Scarecrow and others are correct and they have 10-15K reps who have paid 5 MILLION to 7.5 MILLION into this AND they are offering refunds why someone would not take it until they know if there is even a bank to issue the freaking cards.
As of OZ report, the business is completely dead. Forget Zbucks, Forget discounts or how to fund them. There is NO CREDIT CARD ISSUER. And nobody else will take up the torch for a company that was just rejected.
If everyone listens to you, they lose 100% of their money. If they pull out now, they get back what they can get back until they see if these guys can save the business.
It’s the beginning of the end for TranzactCard. Like so many MLM debit cards before them, this is how they meet their end.
They won’t be able to keep up with the amount of refunds, and then the thing will implode quicker than a Pulsar. Buh-bye, TranzactCard —- we knew thee well!
This just got more real for upcoming issues.
First off, It was a nightmare for my friends and others to get and/or fund their Tranzact card in the first place.
The sheer volume of all of them wanting to flood the new bank/s (see how they put that verbiage?… do they even know if they are getting one or more new bank/s or are flying from the seat of their pants), will/may cause the same situation as people are getting all fuzzy/goofy inside about “the power of doubling their dollar” for a store that sells thermal underwear as their “men’s dresswear pants”.
Keep in mind they touted having this/that/the other name brand company on board already and were going to get additional as time passed.
That was a lie with the exception of some 80’s throwback Adidas items and other ghastly looking items.
My guess is is that they are going to use a bank or banks they “can control” (like they say they want to) and who knows, maybe they will create a bank so they can take ALL of the profits from interchange fees, etc. Wouldn’t surprise me.
Secondly, how fun will it be for the 10,000+ DBO’s and TCM’s to hassle with withdrawing their money and putting it back into their bank account?
Not fun and certainly a red flag should fly up with the ?why? behind it. Like Oz said, a bank can handle transactions easily and fund easily – THAT is what they DO, ffs.
Thirdly, Solid and Evolve (and who knows who else) now has personal identifiers, face recognition was used to set up the card, and the person’s other bank information was given as well.
Not sure how this may play out, but people could be compromised. Not that people aren’t getting hacked/spammed/phished every few seconds already anyway, but this would be concerning to me.
Finally, to the naysayer that commented on losing faith in behindmlm. Don’t come here if you don’t want what this site does:
reports unbiasedly on new and current MLM’s with information researched, provided, and in plain sight.
The struggle is not knowing what is also happening behind the scenes (which usually comes to light over time). Be THANKFUL you have a place to go to get a discussion on a venture/opportunity/scam/whatever and be able to make a more informed decision (because many times all is not forthcoming from startups as they just want to turn-and-burn as many people as possible to try and “build” something from scratch whether it be legit or not).
It’s a credit card, dude. LMFAO!
Pretty soon Richard Smith will begin his tears routine and lecture the “Servant Leaders” about their lack of vision and leadership.
After all, “banking is hard” so none of this is his fault. Smith “planned all the platform changes etc. from day 1.”
This chaos is what the DBO’s signed up for right? They are expected to enjoy “breaking things” etc. He wants DBO’s to bow before him and chant “My Captain, My Captain!”….
He exudes all the traits of a narcissist…….. kind of scary actually……….. This is not “Dejavu all over again”…………. It is “rNetwork” all over again.
There is no way in Hades these idiots will ever be able to obtain a banking license.
First they couldn’t pass the background check, and more importantly they could not come up with the capital needed to even start a bank if they could pass the background check.
Any claim they are going to have their own bank is total BS, but this sure is fun watching it implode on itself.
Ponzi go boom.
Queue leaders moving to Dubai in 3…. 2… 1…
Scammers scam. That is what they do! No one should be surprised here, lol, unless one is this gullible…
Google all the scammers names and what they have all done in the past, and everyone will get their answers. Does no one do their due diligence before jumping into these scams?
Same players – NEW SCAM. William “Bill” Andreoli, Todd Smith, Andre Vaughn, Patti Gardner, and Mike Randolph.
First they scammed everyone with their launch of Wakaya. Then they tried Bulavita – another scam. Then M-Finity. Next it was Kannaway that seem to be doing ok as it was pre-established until Andreoli’s leadership took over.
And sure enough he and his cronies bring you Tranzact – a trainwreck for all of those involved.
These 5 with a few others on the sidelines seem to be the true culprits in bringing down Network Marketing at every chance they get.
How can they be stopped? When will their destruction end?
Google Richard T Smith-Utah: Documentation versus Tranzact Card’s latest corporate-spin says this is Smith’s 9th – and latest – crash-and-burn illegal Ponzi Scheme.
Federal and State Banking and Franchising Legal investigators are surely documenting these published facts for rejecting Tranzact Card’s dubious survival.
Will this proven Ponzi promoter now repay his promised refunds? Stay tuned!
Shocked to see 495.00 for a debit card and then $50 a month to maintain starting in November at launch…what a scam! Or pyramid? Ponzi?
@Sarah
Google Richard T Smith-Utah: Documentation versus Tranzact Card’s latest corporate-spin says this is Smith’s 9th – and latest – crash-and-burn illegal Ponzi Scheme.
I tried googling and didn’t find. Can you please post the link. I would like to read that. Thanks.
I believe in Tranzact Card. Many of us has already received our initial $500 back and some. Our Teams personally are not at a loss.
Tranzact Card has delivered on everything that they said they would. Until I see otherwise, I am riding until the wheels fall off.
I believe Sarah is referring to:
kleinutah.com/wp-content/uploads/2009/11/11.13.2012-Richard-Smith-JudgmentFindings.pdf
Dr Ford, what wonderful news! The letter that Tranzact sent to all DBOs stated that they cannot be a part of the Company for 6 months if they request a refund.
You can see a copy of the letter on this video:
youtube.com/watch?v=Hi-ZuNLXgEU
So I guess my question is, since you took out your money and are banned for 1/2 a year, what exactly are YOU riding until the wheels fall off?
Being stupid is one thing but lying is quite another.
Also, when you say they ‘delivered on everything they said they would” do you mean the non-existent bank card, non-existent bank, non-existent zbuck reward program, non-existent credit/debit card processor or something else?
So you are saying you are perfectly happy that you have received money stolen from others for you to get paid. Your family must be so proud of you.
Since this hasn’t launched yet, your claim this has delivered on everything promised to you except what Caleb pointed out of all the products and services that this has not provided to its members) is total BS.
You are no different than Richard Smith and other crooks that are involved in this company. Remember, you are known by the company you keep. Thanks for telling us who and what you reaaly are.
Caleb,
Dr. Ford is referring to getting her 3 DBO’s which gives a $500 rebate for a $495 investment. Other people that have done this as well get the same. For those that gain levels, they are paying out monthly bonuses of so much/each manager in your downline (it’s a monthly bonus and gets bigger the more people in your downline and the higher level you attain). Also, once a person become a manager a one time grant bonus is given of $50/manager attainment below you (this is also paid levels up). There are a ton of DBOs, a good amount of Managers, a good amount of Sr. Managers, Several VP’s and a few Sr. VP’s. There are those that are making some good monthly money already.
They are offering what they said they would do. HOWEVER, with that said, the Z-bucks store is atrocious (but, I will give them a slight benefit of the doubt that it is in process), they are paying people off and giving people their money back if they want out. They gave a friend of mine $1000 for her $495 investment. That is true as the person is a friend of mine. They are not charging (so far unless it changes too) $50/month after launch for anyone that becomes a Manager prior to October 2nd. That is over 10,000 DBO’s @ $50/month = $5,000,000/month not being taken by people you are all saying are scamming fools.
Changing the compensation plan is a red flag for me. On the surface, it is a good change with good upside earning potential if everything is on the up-and-up. I’m still trying to figure out how they are going to “fund” (pay) for the bonuses/grants/commissions.
I’m not on board with Tranzactcard, but I am sharing what I know. Do your research as well so you don’t just jump on here and slam without knowledge of things that are happening where people have benefited.
Kudos to someone actually in Tranzactcard coming in here and putting themselves out there for criticism and slams. Keep in mind she and others in her group ARE making money AND she said she is riding it until the wheels fall off. If they don’t she is going to be making some good money. The only people that are out of money are those that came in and haven’t gotten their 3 yet. Everyone else is at a minimum $5 to the good minus time/effort. Keep it real and not just a slam fest. If you take exception to my comments, I won’t argue with you because I am sharing what I know to be true and as an adult I won’t participate in that game. I will however have a hearty discussion as that is usually beneficial and eye opening for all.
Oz,
Thank you for providing that link. Smith was actually found guilty of running a ponzi scheme 2010-2012. People should face jail time not just pay back their fraud. Maybe he did, but the judgement only said he was liable to pay damages.
You’re right – it is even worse than I suggested. She just admitted to getting paid from a ponzi scheme setup by recruiting people beneath her to a Company with No working product.
As far as do your research, the last I saw, 10,000 X 50 is 500,000 and Not 5 MILLION.
What is even WORSE is that you both proved the entire ponzi concept.
The money that came in from DBOs has been SPENT on paying through a compensation plan for a non-existing product which means there is NO MONEY FOR REFUNDS.
I am no banking expert but I can tell you that getting a mortgage is REALLY difficult, paperwork is insane and it takes months to close.
Now imagine trying to start a BANK in a matter of less than 60 days with your founders having a long history of Ponzi scheme judgements? What about capital requirements? Collateral?
We know they don’t have 5 million from the signups since we all just found out much of the money was paid out in commissions.
I can’t believe how silly this is. Cannot even fathom how people think a banking institution with 81 million in capital raised and over 10 BILLION in transactions processed was overwhelmed by the sheer magnitude of a hilariously small 10,000 customers.
But don’t worry, they will build their own bank. Over the weekend.
I can’t wait to see what happens! A friend invited me to join.
I get a lot of invites to companies. I always check here first before joining. Thanks for this site.
OOPS! I stand corrected. I’m Scarecrow (have no brain).
As far as do your research, the last I saw, 10,000 X 50 is 500,000 and Not 5 MILLION.
I agree that having no product and gaining money from recruitment only/mostly is disaster and even if they do get Z-bucks up and running there will be market saturation at some point because people are what drives the company (not product).
Where their windfall is really going to happen is once all of these downlines are built to, let’s say VP level, there is going to be a need of either 20 more TCMs or 3 DBOs for each person on that level. Let’s say there are 500 people at this level:
(I hope my math is correct this time, lol)
500 x 27 people below them x 20 TCMs = 270,000 people need to sign up to get a card.
OR
500 x 27 people below them x 3 DBOs = 40,500 new DBOs need to come on board.
Those numbers are not tiny feats. Also, there are going to be people that can’t/won’t get either of those as MLM’s have a very poor success rate (about 90% failure rate).
The caveat to earning bonus at each level is if the people below you are “commissioned qualified” – that means each have either 3 DBOs or the designated TCMs at that level.
When that doesn’t happen, I believe you still get bonus where it was earned (the previous level).
With that being said, if this stalls or someone stalls at any level, they will still be getting paid monthly commission for each manager, monthly commission for each level they have reached, grant bonuses for each new Manager achieved below them, and commission on each Tranzactcard swipe for every TCM in their downline.
The money earning potential is there. But, where is it coming from?
As far as building their own bank… They have a couple of small banks I’ve heard of during this whole debacle and maybe they “use” them “to help them grow”.
I too find it ludicrous that “they outgrew their banks and processors” – laughable and beyond hard to believe.
But, remember, “banking is hard”. Someone asked on their Telegram channel why did they do away with the banks when the problem was stated to be with Solid Financial.
Nobody would give him a straight answer and he repeated it multiple times.
Better math and yes of course you are right except for one thing.
There are no Tranzact Card members currently. NONE. The bank shut them down.
Even so, last I heard they had something like 2,000 card only members against over 10K signups for DBO.
Like most MLM IDEAS, having a debit card with better rewards and a crowd-paying swipe is a fine idea..
Unfortunately like most MLM’s, that is a page 1 story before anyone intelligent tells you that no FDIC insured bank will knowingly let you use debit cards for a Pyramid – NONE.
Can you pull this BS with a credit card where they can make upwards of 29% on fees? Maybe? Certainly plenty of shade characters in that arena.
Debit though? Just silly.
Incorrect. The bank did NOT shut them down. They shut down not signing anyone else up.
People are able to use their Tranzactcard for purchases. They cannot fund it anymore and have to deplete what is in there currently and/or move those funds to another account before they totally disappear (the ones currently people have).
These current card holders will not be able to use these cards ever again after (can’t remember the cutoff date but I believe it is end of September) as “when the new bank/s” come on board will issue all new cards.
– I disagree and I believe Oz already dispelled that. Amway is a pyramid and I would venture to say that their people use debit cards.
Maybe not the same as what you are saying, but I would venture to say that since Amway supposedly (I believe) has/uses access to 300 of the Fortune500 that if they initiated a debit card with their name on it that it wouldn’t even cause a 2nd glance.
Scarecrow:
I think you are trying to intentionally be daft and I have to tell you that I am here for it!
Yes, in a hypothetical, a 50 year company with $8.9 Billion in sales COULD get a bank to let them brand a private label debit card.
PS, I rethought my stupid idea of a credit card working and realized, Stupid me!! you can’t MLM scam through credit cards because it requires issuing credit to MLM ‘marks’ which no reputable credit card company would do.
SOOO – we are back to debit cards. Richard Smith, Peter Yancie vs. Citibank, Chase, Barclays, Creditone – all of them.
Only Richard and Peter have better credit, more collateral, better group buying power and better technology. Also in this universe, they can offer dollar for dollar credit for purchases on a debit card so they have magically turned less than 0.5% of a swipe fee into a $50-$100 swipe fee and frankly – I get it.
Also, there are an infinite number of US banks so no banking institition doing their due diligence will google ‘tranzact”, “tranzact card” or “Richard Smith scam or ponzi”.
Lastly, you must be a lawyer because you want to make distinctions without differences. The bank did not shut them down???? Everyone get the F out by the end of the month, no new accounts and no new deposits is not shutting them down?
I’ll bet you anything you want that ALL branding from Solid or Evolve is gone off TZ sites and if it isn’t that they sue the Richard Smith Community of Continuing Scammers (RSCCS) into the stone age.
You will never get a straight answer from TranzactCard on this but the language and deadlines used are consistent with banks cutting off MLM companies I’ve seen in the past. Also the way it played out (daily escalation over a few days) made it pretty obvious.
So is the “we’re too big for the banks!” cover story.
Daft? Hardly. Punk, neither. But, I do like Daft Punk because “I feel it coming… I feel it coming”. Not an attorney. There IS a difference in what you say.
The banks did not shut them down (if they did please show me proof). Tranzact leadership shut them down (or at least that is their narrative).
Your comment specifically said “there are no Tranzact Card members currently, NONE”. That is absolutely a false statement and I shared why.
If you dispute that provide proof, because my 2 friends that are in the business BOTH have their cards and one bought gas with it yesterday.
Semantically “shutting them down” by what you say as “get the F out by the end of the month” is correct, but Solid didn’t do that unless you show otherwise.
I don’t even know if Evolve or the other shut them down. Please provide your proof on if Solid or the banks “shut them down” or if it was a TZT decision “to gain more control” (again, that “could be” their narrative, but I don’t have proof of that and I bet you don’t either).
I’m not here to guess. I am here to get the facts, provide the facts as I understand and have gained from those on the inside. Your comments appear to be not grabbed out of the air but seem to be full of air to the extent you can’t back up what you say other than “I doubt” or “in a hypothetical” and others. Please provide proof for your comments.
Bantering back and forth is okay, I enjoy it, but at some point come with some legitimate facts you can back up. That is what I am here for.
To SLAM a point out there to “get at TZT” as being a scam monster without a way to prove it isn’t what this site is about. That is dangerous and inappropriate.
Oz is here, as are we, to get at the heart of things (in plain sight and hopefully behind the scenes), not to conjecture of “what ifs”, assumptions, and guilty before this does or does not “hit the skids”.
Amway has (Ozedit: derails removed)
Oh boy – now hearing that richard smith and his group are talking about selling the lists from kanaway, ihub and their own to a competitor – rolling it into an either travel or educational company to keep them fed while they try to revive –
Any guesses? I know DTI has travel, Seacret has travel, obviously IX global and igenius need help.
Are they going to do a combination of the weak to get strong like worldventures and seacret??
Wowza!!
First the banks disabled new deposits, then they advised the accounts would be closed in 30 days and directed clients to clear funds.
We saw this play out in real-time through TranzactCard’s daily updates. They weren’t calling the shots, they were responding to communication from the bank.
This is standard practice when banks shut down client accounts. You want to claim otherwise? You provide evidence.
I appreciate that and believe you from your vast experience. From Day 1 they had a KYC (know your customer) issue and people had their card and bank setup met with multiple issues (I believe it was a bank or Solid issue and not that they discovered it was an MLM because it happened immediately upon people joining).
They ran “background checks” (wanted utility bill) or similar to “prove” who you were. People didn’t get their cards for weeks or longer in some instances (that was early on and continued).
People had problem funding their accounts as well because Solid (or the bank) would have incorrect information sometimes populated in the newly formed TZT account that caused an issue from the person’s bank not feeling confident in transferring money to a new one.
So, I am not sure it was that they figured out they were a MLM company or they just truly didn’t have the ability to do what they say they could consistently.
People couldn’t even get people on the phone or have the support tickets answered for numerous days (or ever) because the infrastructure for that to be efficient also wasn’t there.
That is what my friend’s and their friends have shared with me. But, again, I take what you say with faith from your expertise.
My apologies if this was communicated prior and it didn’t sink in because it feels like the first time I have learned this.
I don’t need to provide proof because you just did!! I appreciate that.
Scaredcrow:
Nobody doesn’t like Daft Punk and any assertion away from that is folly.
I always like to see the perspective of someone that needs proof to disbelieve when an MLM requires disbelief to overcome proof.
If I tell you a 5’2 child who has never played basketball has been signed to be an NBA player, you would not ask for proof, you would ask if make-a-wish (a tranzact partner) had arranged the ruse. You would automatically assume it was not true through normal measures of reasoning.
When I said there would be no tranzact members, I should have gotten more specific – the very small number of tranzact card holders will no longer exist on September 30th.
They will never have another fdic checking account debit card again under tranzact program.
I am, as in the case of the make-a-wish child using reasoning that they will not go forward.
I assume as well that in 30 days when there is no banking relationship nor cards to be found that you will come on this same platform and let us all know the difference between a certain event happening (an eventuality) and a factual event.
Don’t lower the level of discourse. Say the truth. The odds of this company having a credit/debit card provider that allows MLM to fund savings or credit cards AND coming up with a rewards program paying 50X what all other debit cards pay is as close to zero as possible.
At least that allows adults to move forward.
This is also news to me. When/where was this communicated? They are talking about doing away with TranzactCard?! or combining?!
They already allowed other companies to come in, and specifically said that although the other companies wanted something for coming in, they were told NO and could come in just like any other average Joe and Jolene off the street.
There was a corporate webinar held on Monday the 4th. I haven’t seen it yet.
If it’s made public I might do a write up depending on what was discussed. Certainly selling TranzactCard distributor details would be of interest.
Scaredcrow – good one.
I’m not here to argue or be a scared crow. I’m open minded and yes, I do want facts or at least something to sway me in the direction of right/wrong.
You mistake me for thinking TZT is grandiose! I don’t. I’m going to listen to Oz and others because you are about what ifs and I’m not. Take care, man. Good talk.
How does an unlawful Ponzi scheme like Tranzact Card, now dumped by their banking infrastructure for future VISA cards and FDIC insured bank accounts qualify for their own Federal Banking ID number or Franchise license as they promise?
More grievously, overnight they’ve become a massive consumer fraud scheme by still promoting their $495 DBO buy-in without any available deliverables.
Complaints must be pouring into the FTC, Justice Dept, Utah AG’s office, Consumer Protection Agency, investigative media.
The co-founder, Peter Rancie, has strong connections and is respected by them for his work in the banking sector. Right, wrong, or indifferent that is my guess and potential answer to your question Sarah.
Also, I know of at least 1 submission to the FTC to investigate TZT.
Having reviewed TranzactCard I didn’t see anything resembling a Ponzi scheme. A potential pyramid scheme yes but not a Ponzi scheme.
the first time I saw a MLM based on credit cards was in the mid 90’s, since I have seen many and NONE has survived, most if not all were scams.
Richard Smith has tried to launch similar projects in the past but he has never delivered as far as I know.
Oh man… closed down!! What is trump, lebron james and other celebrities going to say now that tranzact card said was behind this card!!! hahahaha.
How is it that these losers like Smith don’t get thrown in jail for scamming people time after time?
Yes Big Mac –
Oh man…closed down!!
and Caleb –
They will never have another fdic checking account debit card again under tranzact program.
I assume as well that in 30 days when there is no banking relationship nor cards to be found that you will come on this same platform and let us all know the difference between a certain event happening (an eventuality) and a factual event.
What is happening is that AI has taken over and (Ozedit: derails removed)
Scarecrow:
(Ozedit: derail removed)
I will happily sit on the sideline until the next round of excuses. Let’s chat in November.
PS – IF they ever get another debit card provider, they will have the same issue as before and will be shutdown as before – it’s not really their fault.
It is simply a bad idea with conjured math that makes no sense, sold through a hype engine.
I am glad you are so familiar with Mr. Rancie’s CV, it almost seems like you lived it yourself.
His vast overseas experience meaning nothing here – of course – a domestic fraud that can only be perpetrated using a US based banking relationship.
Still, it is impressive and telling that with all the time in the world to pick a provider, it was Solid who won out for him (you?).
Interesting that his 2nd? 3rd? Choice of last resort? Will be whoever they trot out next.
Go Yancie yourself some more Smith dumb dumb.
If I was Peter Rancie legitimately and i was who that bio says i am, I would read all of this and address every point specifically with full transparency. PERIOD.
That would make me a hero in this industry —or not.
Caleb,
I am truly pleased that you have done the math and I, as well as those that come here for answers, will be pleased to learn how bad Tranzactcard is just from a math standpoint when you provide that information for those to make an informed decision to be or not be a part of it.
Appreciate you doing the math and sharing it for us all to learn from.
I will, right after I get some Caleb smart smart.
Please be detailed in your math examples. That way people can understand where and how your math has been done.
I was beginning to think you were all talk and no action. You will prove differently. Thanks dude!
Today was the weekly Saturday call. Lots of rah rah, lots of “pull the wagon.” Not much real news.
Peter Rancie’s update is that the promised “we’ll have cards with our own bank identification number” is still on track but that track stretches out to sometime in the first half of next year.
Which strangely enough is what they previously stated was their original plan which had to be expedited with the Evolve/Solid situation.
Never fear though, Peter promises new working cards sometime this month. They wont be the final “Our BIN” version of the card but still. And everyone gets 500 Free Z-Bucks per week till the new cards are in everyone’s sweaty little hands.
The three TCMs per DBO for commission qualification thing is suspended till November. After all TCMs are just card holders and with no cards being shipped no one can become a TCM till the problem is fixed.
Remind me again why TranzactCard is saying the dissolution of their banking relationship with Evolve/Solid was voluntary on their part?
Please explain Rancie’s train-wreck to me: At least 27,000 paid $25 to receive their TranzAct Card with FDIC-insured bank account.
In 3 weeks, every VISA card with KYC-approved bank account will be dead as a dodo: Worthless along with Z-bucks at that point.
If Solid Technologies/Evolve/CBW was Rancie’s expert pick to launch Tranzact Card, what ‘mess’ will we all suffer with his backup scramble?
Will replacement VISA cards be free? Issued before November’s launch? Coordinate instantly with Tranzact Card’s questionable operating IT?
Straight answers please Mr Rancie?
I can share from personal experience (my friends), that it was a banking and/or Solid issue.
One of them applied and got their card with easy and successful KYC (know your customer). The other one took over 3 weeks to get thru the process and get a card. That is not a TranzactCard issue, that is the platform’s issue.
The issue(s) were from Day 1, ongoing, and frustrating from a user (TCM/DBO) and leadership standpoint.
Potentially Solid, Evolve, or both couldn’t handle what they said they could when they signed up with TZT. I know I will get pushback on that comment, BUT why would TCM’s and DBO’s have so many issues constantly?
The answer has to be what the common theme was for that: Solid and/or Evolve or both having the issues… not DBO’s/TCM’s signing up. That should help answer both Glim’s and Sarah’s question for that part of it.
what ‘mess’ will we all suffer with his backup scramble?
TZT is offering 500 Z Bucks/week until new cards will be issued. They don’t have to do that, but appropriate based on their premise of “doing right” and being appreciative of people during/prior to launch.
Why would replacement cards not be 100% free? They were already paid for. That is an assumption on my part, but I can’t fathom a company charging again only to risk significant backlash from those that already paid.
Sarah, you made the comment that I pasted above using the key word in it “we”. Are you part of the business in some capacity? a DBO or TCM? If you are, go directly to Mr. Rancie on one of their outlets: Telegram, FB, or other.
I would venture to confidently guess that he will answer and talk to you directly via phone or private messaging.
Give him and others a chance to answer your questions. I think you will be pleased with the result (of at least communicating with those in leadership) to get answers for your questions/confusion/concerns.
It has been communicated via on here and on their communication channels that cards are going to be available prior to launch (or at least that is their ultimate goal).
Answers are available if you take the right steps to get them. Go to the source and they will happily have a conversation with you.
Caleb is currently putting the math together for everyone as he has a full understanding of what it entails and shows from an in/out perspective. He is going to prove why TZT can’t afford to be in business – or is he? Caleb?
A friend tried pushing this on me, and I immediately told her it was a scam.
She went on a rant and posted reels that low-key implied people are stupid for not wanting to save money and get Z-Bucks.
I can’t wait for the wheels to fall off so I can ask her if I can still sign up.
How do you know this for sure?
Evolve Bank and Solid Financial Technologies specialize in Banking as Service and fintech payment processing. Richard Smith specializes in sleazy short lived MLM startups.
Do you see why I hesitate to take Richard and his company’s word at face value?
Dissecting a scuzzy MLM isn’t an easy task. One must sift through a torrent of bull crap to find little pieces of truth.
One thing we do know is that the ending of the Tranztact Evolve/Solid relationship wasn’t by TranzactCard’s choice.
How do we know this?
Because they got cut off from card issuance without an alternative already in place. They are scrambling to replace what they lost with what even they admit will only a temporary stopgap solution.
If the loss of banking relationships had been by choice they would have waited to sever their old partnerships till they had new ones in place. Needless to say this isn’t what happen.
Is this just a hiccup on the road or is it more serious? Only time will tell, but this isn’t a good sign.
Even if we disagree about the above I think we both agree that the bigger problem is still the Z-Club.
Z-Buck discounts on shoes have dropped from 50 to 20% and even still I doubt the prices in the Z-Club will be competitive with online discounters.
This still looks very much like (yet another) Richard Smith too good to be true promise that will never be fulfilled.
Also, and correct me if I’m wrong, TranzactCard is printing 500 Z-Bucks per distributor per week at the moment?
Even at 20% that’s still $100 a week in credit per distributor to be spent on their jUsT lIkE aMaZoN platform at some point? Where is that money coming from???
Glim and Oz,
Valid points and here is my perspective and knowledge based on my background:
The platform issue – this was real and problematic from Day 1 as I mentioned. They had roughly an 80/20 situation where 80% of the DBO/TCM signups were successful with 20% having an issue causing delays in getting the card and/or funding their account.
Over time, the 20% that were unsuccessful initially, had again that 80/20 ratio of success/failure.
Example, 100 sign up and 80 are successful 20 are not, initially. Those 20 unsuccessful had 80/20 again until, over time, all but a few were declined for whatever reason just as people are when they sign up for a credit/debit card (due to credit issues or whatever it may be causing them to be ultimately declined).
I based my comment on the denominator being Solid/Evolve/etc. being the issuer processor and not the people signing up. My background isn’t banking, but companies that “specialize in banking” shouldn’t have as many issues as was experienced in this scenario.
However, your point about not having a backup plan in place to “disassociate” themselves from them is VERY suspect as that is poor planning or Solid/Evolve/etc. dropping them as you suspect.
I don’t have that answer, but it is headshaking and questionable. Maybe Solid or the banks went to TZT and wanted more $$ for the service they were providing and TZT wasn’t willing to budge based on their “operating revenue” and other factors. I don’t know.
Fact is, they separated and need another outlet to be successful. I will venture to say that if they succeed in doing so, they will have negotiated the revenue that the new processor(s)/bank(s) will be asking for to provide that service to TZT or they won’t and this will fall apart.
They are determined, so my guess is the former.
Z-Club:
I do have retail and vast sales experience. Z-bucks are like discount coupons/vouchers in essence.
They are virtual and not “printed” and I know you understand that part of it.
Retailers stay in business due to profit margin/ROI. They are many ways they achieve this. They are paid by advertisers, given “deal money” (discounts) from the manufacturer (many times based on volume discounts – to get product moving).
Take for instance Kraft Foods and Mac and Cheese… Ever wonder how in the world a store can sell 3 for $2 when they normally retail at $1.00 each? Kraft has a built in margin and “eats” part of it and provides sales opportunities when stores/warehouses purchase truckloads of product to be sold (volume vs margin).
Keep in mind that built-in margin also has to be there for the end seller too. Kraft has margin, discounts it and sells it to warehouse ABC.
ABC tacks 5% on it and and the stores get delivered product. The stores tack on 25% (roughly a grocery average margin point).
All 3 made a profit while Joe and Susie bought mac and cheese for their kids. Go in to your favorite golf club and you pay 35-40% (or more) markup on what the product actually cost to manufacture and be delivered.
Another example is on a gaming site I am on. An ad popped up to download an app to get 50% off of Nike shoes. What?! wait?! how can that be?! Same situation as above.
Volume vs. margin and the margin on things is astronomical in some instances (jewelry, clothing, pharmaceuticals to name a few).
Plus, when you are online you don’t have brick and mortar storefront costs to pay for that cause prices to be higher.
What TZT is doing is no different than Amazon. They are negotiating prices with manufacturers/warehouses/etc. to be able to get the price point reduced to its lowest point where the manufacturer is happy with their acceptable margin and TZT is taking their now 25% margin they could tack on and not doing so.
Their goal is break-even or minimal gain. They don’t have anything to pay for other than the cost of running the Z-Club site.
They are offering a service to their “customers” of not charging that full 25%, but only “x”% or even break even because they are not in the business of “selling” but providing products at a deeper discount than those that are incorporating their margin % to generate income and keep their brick and mortar or online store open for the costs it entails to do so.
There is a reason that you can go to Amazon and get things less expensive than “retail”… sheer volume discounting and price negotiations with Amazon and retailers.
There is a reason that Jeff Bezos was making roughly $250,000 PER MINUTE when he was running the place.
He only has to put a small percentage on the sheer volume of products leaving Amazon fulfillment centers to make a ton of money. I have been in an over 1M square foot fulfillment center and it is mind-blowing.
The money isn’t coming from anywhere. It just isn’t being added to the acquisition cost of the product being sold on Z-Club in the form of profit margin because they don’t need it to survive.
How many ad/coupon fliers do you get in the mail each week? Full page coupons to clip for Burger King to get a Chicken sandwich for $2 when it costs $3.99 original retail.
Value meal menus – offer deeper discounts to entice people to come and purchase – knowing that when they buy food they usually buy a drink that only costs the retailer $0.10 for everything out-the-door (huge margin on soda/pop).
Sales, discounts, rebates are common enticement to get product or services moving/used.
They result in less margins, but a profit is still generated by all parties involved and when the volume is enough, that volume helps justify the lower price point (because a profit is being made regardless).
I will provide another – pick your favorite jewelry store and they run an ad – 50% off all select jewelry and engagement rings!!!
They are STILL making a huge profit even after offering 50% off. It is all about margin and ROI and the cost of goods is far less allowing substantial margins in many cases.
Z-Club is simply not adding a margin because it costs them nothing if they break even on buying Nike shoes for $60, providing them on Z-Club for $60 cash (break even) and $20 Z-Bucks.
$80 price point instead of Joe’s Shoe Store that sells them for $100 – because Joe’s needs the margin to pay for Susie and Tommy that are paid hourly to sell those shoes and there are other costs they have to pay for as well (electricity, rent space, mortgage, etc.).
Other online stores ARE in it for-profit and ad the margin because, unlike Z-Club being a member benefit, Bob’s Online Superstore has Bob wanting to make a living at it (which comes from reselling and the margin aspect).
The person buying on Z-Club pays the shipping and any applicable taxes. TZT is out no money.
Now I realize that is only 20% and not the 50% they originally touted, but they WILL be able to offer 50% off on items when the opportunity presents itself, and it will.
They EASILY have the opportunity to offer deeper discounts than retail at NO COST to them, just by having a negotiated price that allows them to do so, while having the original manufacturer/warehouse STILL making a nice profit that they are comfortable getting.
They could give away $100,000,000 Z-Bucks and it costs them NOTHING because they are just virtual “coupons” to bring the price of something down (in this case to break-even for what price TZT negotiated for the “selling” of said item in their marketplace, Z-Club store).
Make sense?
Of course it makes no sense.
Amazon doesn’t hand out free money.
If TranzactCard’s platform is not competitive it’s DOA. An additional 25% markup they’re willing to eat is not competitive.
Nobody is buying anything on TranzactCard’s platform if it’s the same price as everywhere else (not on sale).
Comparing an online platform with brick and mortar stores is disingenuous.
Product A on Amazon sells at $X
Product A on TranzactCard sells at what, $X – 25%? That’s bullshit without the money coming from somewhere (it’s not coming from an imaginary margin that’s already being eaten away into).
The fact of the matter is online vs. online, TranzactCard handing out Z-Bucks doesn’t add up – where is the money coming from?
It’s not coming from margins because the supply chain still needs to be paid. And unless they’re dropshipping, TranzactCard has its own costs to cover.
Manufacturers/distributors aren’t bending over backwards to offer discounts to randoms they’ve never heard of, and screwing over their established partners over in the process.
I may stand corrected, again, on my math on the NIKE shoe example.
TZT buys shoes from Nike for $60. Sells them on Z-Club for $80 ($60 cash which is their break even and $20 in Z Bucks).
You go online and see same pair of shoes for $100, $90, and even one at $80 (that person didn’t add as much margin as they could have because they want customers/sales and possibly being known as “having the best deals”, I digress).
That $60 pair of Nike shoes cost $20 – $40 less than at the mall, at ABC Shoe Store and even versus online retailers – BECAUSE TZT doesn’t want or need to make a profit on that sale like retail and online sellers do.
It is their member benefit and they are not losing money in doing it.
Then the companies Nike’s multi-billion dollar distributors supply to start complaining and RIP.
This is basic ecommerce…
Anyway, you can hypothetical your way out of anything because it’s all made up. In the real world Z-Bucks don’t add up.
Either TranzactCard are dropshipping (from who? And good luck stocking anything other than the usual Alibaba crap), or they are going to run an ecommerce platform which they need to fund like any other ecommerce platform.
Where is the money coming from?
Oz,
Company A buys Nike shoes at $60, Company B buys Nike shoes at $60, Amazon buys Nike shoes at $60, NIKE offers EVERYONE their shoes at $60, fair enough? No random discounting or thwarting of relationships… EVERYONE can get them for $60.
Now, what happens next? Company A adds a margin (they want to make money), Company B does same thing, Amazon does same thing, etc.
TZT does NOT add margins because they are NOT in the business of making money via margin (markup).
They are selling them at break-even because their business is in recruitment, monthly fees, interchange bank fees, and other things I’m sure you or I am not privy to. What example can I give you to where this is understandable?
In my example, manufacturers aren’t bending over backwards for anyone. They are offering same price to everyone with some variance here and there based off of potential volume discounts.
That is common business practice and not price fixing or illegal. The difference is how much a seller is willing to make off of it via markup (margin).
Yes, Z-Club is not brick and mortar, but online. The product is drop-shipped and the person buying from Z-Club pays that and any applicable taxes.
Massive companies like Nike don’t wholesale their products to everyone for the same price. They have regional distributors who negotiate.
Notwithstanding Amazon hasn’t been a Nike partner since 2019. But here comes this dinky MLM company nobody at Nike has ever heard of, and they’re going to get the red carpet rolled out for them.
forbes.com/sites/forbesbusinesscouncil/2020/01/22/why-nike-cut-ties-with-amazon-and-what-it-means-for-other-retailers/?sh=6d76154664ff
And? Margin != profit. Breakeven != selling products at cost.
If TranzactCard is operating as an ecommerce platform as represented, they need to cover operational costs.
Do you even basic ecommerce bro? And cut it out with the yOu JuSt ArEn’T uNdErStAnDiNg crap.
I understand. That’s why Z-Bucks, as currently advertised, are bullshit.
Oz,
My examples are not hypothetical. What makes it hypothetical? Distributors sell products to thousands of retail and online sellers.
They offer different price points (in my example sometimes due to the volume they are willing to purchase – that isn’t going to be astronomical by any means, but that additional volume discount pricing allows more margin for the seller and volume profit for the distributor – business 101).
Tranzact is NOT in the business of trying to make money from Z-Club. They are wanting to break-even or make 1 or so % to cover any overhead they have. THAT allows the price point to BEAT anyone else that DOES add a margin to make money.
If THOSE people that WANT/NEED to make a profit to stay in business didn’t do that they would be DOA. TZT doesn’t and that is as simple as it gets.
Z Bucks are paperless coupons just like when you go online and can “clip a coupon” to save when you buy things. That isn’t “giving away free money”, that is offering a discount/coupon for savings.
Amazon charges retailers to sell on their platform. They also don’t “give away free money” because they don’t have to.
Their sheer volume, and it IS astronomical, makes them an amazing profit as the go-between from seller to buyer.
The money doesn’t have to come from anywhere because TZT is out NO money having sold the items they purchased for what they purchased them for.
And, they didn’t even buy them in the first place… the price is negotiated and a Z-Club member purchases the product at a discount with Z-Bucks (a virtual coupon in essence) from that negotiated price which has been negotiated in good faith and comfort from distributors.
Distributors/manufacturers ARE making their profit and could not care less what happens after the sale and how much someone else is willing or not willing to add to the price for profit in reselling it.
Yes, TZT talks about ecommerce ecosystem although I am not privy to all of what that entails, but you do so you understand that aspect of how they can accomplish what they are doing.
There’s not much point discussing hypotheticals. You can make up anything.
Best of luck with the copium. See you in the inevitable “Z-bucks can only be used to purchase Alibaba garbage” or “Z-Bucks are DOA because pricing” article.
Oz,
My apologies if I am ruffling your feathers. Not my intent. Tell me what TZT has as operational costs for running an online platform of people buying from warehouses or distributors?
I mentioned that TZT may be marking up a certain % on items in Z-Club to cover any cost. In doing so, it won’t equate to nowhere near the 20-25% markup that online sellers add on that ARE in the business of making money instead of looking to break even. Is that a possibility?
That is how it was explained to me and it makes sense. What am I missing?
Oz:
You just can’t have this conversation with someone that drank the Kool-aid and had the sales pitch tattooed to their forehead. This is the whole reason I called it conjured math and said I would wait until November. Just let him spin out of control.
However, some fun data points:
Amazon and Walmart are roughly 40% of all US sales and you can throw in Costco as well.
These zealots actually believe that with 20-30K debit card customers that you will (i) get the exact same products at the (ii) same wholesale levels as these TRILLION DOLLAR companies with hundreds of thousands of product offerings AND (iii) then be able to sell them cheaper than these companies, all (iv) while having no overhead whatsoever (server costs, warehousing, paying wholesalers to send out products, code writing, implementation, sales and support to get you contracts for hundreds of thousands of products, etc).
Literally not ONE of these things is achievable. Not a single one.
You cannot get the same prices that Trillion Dollar companies get on product.
You cannot undercut Trillion Dollar companies on price or efficiency.
You cannot have a ‘virtual’ company that has no costs.
You cannot achieve hundreds of thousands of product contracts without spending many years and hundreds of millions of dollars OR outsourcing to someone who charges you for access to their own existing online store (who would never let you undercut them without charging you).
Amazon’s profit margin is less than 4%. It has a market capitalization of 1.4 Trillion but don’t worry – these guys can handle it using debit card swipe fees and the robust business background of management
Oz,
Let me try to rephrase and ask some questions because I am genuinely interested in uncovering the truth with all of this.
I am not going to hypothesize, but have to use assumptions here and there to legitimately provide mathematical and other examples as there are unknowns in not doing so.
If TranzactCard’s platform is not competitive it’s DOA. An additional 25% markup they’re willing to eat is not competitive.
Nobody is buying anything on TranzactCard’s platform if it’s the same price as everywhere else (not on sale).
Only DBO/TCM/GO have access to Z-Club. You or I can’t login and go buy something from them. The members have accumulated Z-bucks (virtual paperless coupons) to be able to bring the price down on every single item on there (it’s on sale and will be at or below other options buyers have – there may be a situation where it is a dollar or several dollars higher and the buyer has the determination to buy that on Z-club or go to the lower priced site).
I digress, but online stores can have loss leaders just like brick and mortar that bring traffic in. People will come for that and in many cases continue shopping for other items. How is not adding a sizable margin that other sellers are doing not competitive?
How is it bullshit? You, yourself, said that distributors negotiate price all across the states with online and otherwise.
TZT and Z-Club (whether you want to believe they are slimy/dinky/nobody is still sales for the distributors and they will negotiate legal contracts and stipulations on what can and cannot happen from the sale of their goods. To protect themselves, TZT, and those involved in TZT (the consumers).
The price is negotiated and TZT offers the product(s) on their Z-Club platform. They may add to that negotiated price point a small markup to cover any of their operational costs and forego adding additional margin/markup to keep the cost low and competitive.
In addition, their “coupons”, Z-bucks can be used to drive the price of those products even further down.
Where is the money coming from? – for the Z-bucks those are coupons just like any other coupon and they are virtual so they cost nothing.
TZT isn’t losing money because they have a negotiated price and have added minimal if any markup to cover their costs and the price point stays lower without adding that additional markup that other online sellers do. That is what makes them competitive.
The supply chain being paid – The distributors already have a legal binding agreement and price point for their products offered on Z-Club.
They make their margin every single sale. Z-Club is not building warehouses. The product will be drop shipped and the cost of shipping and taxes relies solely on the buyer not Z-Club.
There is no supply chain being paid issue, correct?
Manufacturers/distributors aren’t bending over backwards to offer discounts to randoms they’ve never heard of, and screwing over their established partners over in the process.
This comment basically suggests that any new online retailer that establishes itself has no chance in hell to get any product because they are new and unknown.
That is ludicrous. Again, legal/binding contracts will be formed between all distributors and TZT so all parties are comfortable in doing business with each other.
If something happens each has legal recourse to recover any damages should something happen.
IF this company and platform does take off, the distributors will be whistling zippity do dah all the way to the bank for the volume of people moving their product for which they get a payday off of from each sale.
Massive companies like Nike don’t wholesale their products to everyone for the same price. They have regional distributors who negotiate.
Exactly. Those regional distributors don’t care how much someone profits or doesn’t profit from the sale of their shoes.
They make their margin every time a pair of shoes/apparel is sold. They may choose to not enter into a contract with TZT as they ended theirs with Amazon.
That is their prerogative. The Amazon situation ending was in part due to the vast number of knock-offs and lack of control in that space. Understandable.
If they choose to allow Z-Club to offer Nike products, I am certain they will have contracts in place to ensure that control and Z-club offerings.
They are very astute. (if you haven’t already, watch AIR… great movie about Michael Jordan and Nike).
I’ve covered previously how TZT will cover operational costs. Margin does gauge profitability and break-even means offering a good or service where acquisition and overhead are covered before a profit can be realized.
Not sure why you put that in there or mean by, And?
As previously stated; Not wasting my time.
Caleb,
Welcome back. I am not part of Tranzact but have friends that are. I am here to learn and provide input where I can. I provide answers and information that I’ve gleaned from people on the inside and provided it here to OZ and others to gain a perspective from. I have done my best to provide rational thinking based off of what I have learned and understand. I don’t have all the answers nor do I have a crystal ball. Maybe I can borrow yours at some point. I provide examples and have even done the math myself on a few things.
I mentioned what I did about you doing the math knowing full well that you wouldn’t produce. You were lying in the weeds until you believe Oz and I were having an argument of sorts so you came back on guns-a-blazing. Don’t berate me and say “let him spin out of control”. I’ve put time in this to help gain a better understanding for my friend’s benefit and those that come here to uncover details, not for my benefit.
I see ads for TEMU and Zulilly. Those are fairly new that I know of. At least TEMU for me is. They are offering things for very reasonable prices and even free things for 1st time users. That shoots a hole in your case about how can people compete with trillion dollar companies. They have to start somewhere.
To your point though… it is hard to compete with them because of the fact that their pricing is lower due to the volume discounting that I discussed in the above posts. Local “mom and pop” stores are suffering from it trying to compete with the “one stop shop” and pricing. I know that I can save buying the same item at Wal*Mart that Albertson’s (not a small entity) also offers. I was in the food industry as an account manager (Kraft Foods) and understand about volume pricing, “deals”, advertising dollars, and how this is accomplished.
Pointing out that other totally different business models work has nothing to do with this concept whatsoever.
Zulilly being started in ‘09 at the dawn of the mobile internet in ONE vertical, baby clothes, with real funding that would turn into Series A, B and C fundings totaling 43 million has nothing to do with this concept. Literally nothing.
This company purports to be Amazon with prices up to 50% off of Amazon. Not in travel, not in shoes, not in vitamins. In EVERYTHING.
The examples (which are quickly dispelled as not being true examples in the fine print) on their website are Raybans, free trips to the Ritz Carlton and NIkes.
On conference calls they refer to having MILLIONS of SKUs for sale that will take Z-bucks and that all of travel is 1 SKU.
Tranzact can not call up NIke (or any regional distributor) and say they have 30,000 nike customers looking for shoes because nobody knows what these people want to buy!
They can say that they have a buying club with undetermined interest in purchasing shoes and that they cannot support a line of credit, guarantee sales, take in inventory OR fulfill inventory AND presently have not built a robust online store to fulfill the orders should they get them.
Oh, and full disclosure, Mr. Nike, our potential interest is contingent on us getting a banking relationship to issue and maintain debit cards in the US.
I cannot tell you how crazy that concept is on it’s own.
Now imagine having to pay a few hundred people to make these calls to cover millions of SKUs (your corporate overhead) and imagine the sound of every single one of them being hung up on over and over and over again.
There is NO math that turns swipes into several hundred dollar discounts. NONE.
If this company really does have 20K members (let’s say half dbo/half cardholders), AND they gave all dbos 500 zbucks to start and now giving dbo and card holders 500/week, they have issued Millions of dollars in zbucks, maybe tens of millions and they are worthless.
This is just greed, dumb greed and flash, dumb flash.
Credit card companies charging massive interest rates give you nominal cash back and they compete viciously against each other. Debit card swipe fees and interest are at a minimum 10-15 TIMES less revenue and yet these rewards are 50 TIMES better?
It is just silly time. You are a silly person Peter and you will never get another bank to back you.
Not that it will matter –
If we are to take Richard at his word (always a dangerous thing to do) TranzactCard does in fact make money on margin. It’s a significant contributor to the company wide bonus pool.
But then again Richard also states that they make money off of Z-Buck redemptions and THAT also feeds the bonus pool.
Now if you want to explain that one to me I’m all ears because to me it sounds like the type of crap he says in each of his previous failed “too good to be true” MLM deals.
Perhaps to belabor a point Richard Smith has an active streak of no fewer than three failed MLMs in a row each more grandiose than the one that came before it.
TranzactCard is the most grandiose of them all.
So you are telling us how the Z-Club could theoretically work, if everything works out just right, we’re pointing out Smith’s track record of huge over promises and equally huge under delivery.
50% off name brand shoes is already down to 20% and how many of the “millions of SKUs” do you think will actually be in the Z-Club at launch?
An emerging pattern perhaps?
ENOUGH.
It is simply a fraud.
There is no Bank.
There is no Zbuck store.
Full stop.
Honestly, nobody should comment on this POS ever again
Richard Smith said they are doing a small markup on the zclub in order to run /pay for operations. Why not? Seems fair.
Nobody has to be a branch owner. The card itself for $25 gets you z500 zbucks immediately in your first purchase. The club is not free. You still are using your own cash.
Because I’m a card holder I’ve been able to get 8 of the flash sales. 1st was a VR headset (online selling for over $400) minky blankets ($129 each retail), sleeping bag, leather purse ($648 online retail), t-shirts, water bottles.
Used my zbucks. I sure hope it works out. I have Christmas gifts for all of my children now. Free- just paid minimal shipping.
As of today, September 14th, I’m currently still using my card and earning zbucks as I go. 27,658 accrued currently. Yes, I am aware I have to transfer my money out by the end of the month.
Idk – Lots of people fail many times.
*BREAKING NEWS^^^^^
Tranzact has NO NEW BANKING PLATFORM, REPEAT, THEY HAVE NO BANK THAT WILL SUPPORT THEIR FRAUD.
EMERGENCY, THERE IS ALSO NO Z-CLUB, NIKE, AND RAYBAN AND EVERY CRUISELINE SAID NO TO GIVING THEM 50% OFF
In other news, water is wet.
THIS IS A TOTAL LIE.. Its people like you who spread this garbage that gives home business a bad name.. You do not have a clue as to what you are talking about..
This platform has everything you claim it don’t.. This is a New Company, and they will have more as time goes along..
Many people have already used the Z-Club.. Get your facts straight before you spew vomit out ya mouth!
It’s funny how only the people who ponied up $500 to be a DBO have access to this store (until November), and items are often unavailable.
In a real, revenue-generating business, the people at the top pay everyone below based on sales of an actual product or service.
In a scam, the people at the bottom pay the people at the top, and the bottom feeders stay broke.
Thanks for the belly laugh. The only bad name that a home business gets is from the home business community and their utter failure as a business model.
What you are saying is that one forum can destroy ALL home businesses just by posting about them. This is not a new company. It hasn’t even launched yet. It’s not a company until it launches.
The founders of this “conceptual company” are crooks. Just because you drank the kool-aid and fell for their lies, does not prove those of us who are exposing this joke of a “conceptual company” as operating illegally, that hasn’t launched yet, don’t know what we are talking about.
Many of us have decades of experience in exposing Ponzi’s, illegal pyramid schemes and illegal cash gifting schemes, and everything in between.
You are definitely a newbie when it comes to Ponzi’s versus a real company. But do enlighten all of us with a listing of all your credentials to prove you are right and we are wrong.
Regale us with your years of business experience and acumen. You can back up your statements with facts and business experience, right?
Here’s your chance to show up all of us “Trolls, naysayers, haters, negative people.” I look forward to your reply.
Here is a video of Richard Smith confirming that Trump has signed with Tranzactcard and that Trump took the Tranzact opportunity to Barack Obama personally who also signed.
He follows that up with a great story about talking on the phone with Lebron James who will pull all Lebron James merchandise from all retail stores and exclusively sell it in the Z-club.
It is a pretty impressive set of successes for a pre-launch company – incredible! If I didn’t see this with my own eyes, I wouldn’t believe it! You almost can’t make it up!
youtube.com/watch?v=xdCXTwRi13I
When Ponzi goes bye-bye, will you come back and apologise for your naivety?
No he won’t. He’s what I call a one-post wonder. Besides he can only post what he was told to post. You can bet he bought Randy Schroeder’s video presentation hook, line and sinker.
I was just surprised he didn’t trot out the “you have to take down your review or he would sue” mantra.
Bringing on influencers… enormous red flag. Run!
The stuff that the video presenter is talking about, almost sounds too good to be true.
I’ve only seen a couple of people come back and apologize for defending a ponzi. (There has likely been a few others) Oz caught one ponzi defender who came back posting under a different username and acting brand new.
Being proven wrong is one thing… but the fact that they are proven wrong by people trying to warn them that they will be screwed out of their money must be a special type of butthurt.
I have a Zcard. I’m getting and have used Zbucks.
We sure can continue to sign people up… for the past 6 weeks “stop signing people up” has never been shared/said/expressed/mentioned. In fact, there are certain incentives to refer more card users prior to launch.
There’s a lot of “Nay Say’rs” out there and that’s a.o.k. The Zcard is far from going away.
You have a Zcard… that’s now a paperweight because TranzactCard lost its US banking services.
Geez, if you have to come on here and lie…
I read that MLM uses the same tactics that cults use. That’s why the members double and triple down because they’re programmed.
A blast from the past:
Zoe Generation: the ”mass” at the foot of the Obelisk of investors who still believe Leonardo Cositorto
is.gd/40Fmmn
Still no new banking relationship here.
If they did contract with a bank, that bank would then have to open accounts for every DBO and card member so that is a significant delay.
It won’t matter, as soon as the new bank would find out about Richard, Peter and Lebron/Gaga/Trump/Obama/Garth/Make-a-Wish, they cancel it again.
So what does it transmogrify into?
They COULD try to make it only the z-bucks store and sell it like an MLM costco I guess??
The bank part is dead for sure, these guys are too shady to keep a banking relationship so isn’t that the next pivot? Zbuck store as Costco stand-in?
The problem being that they don’t have that piece either.
Just thinking out loud what the next lies will be –
How would they fund the ZBuck discount? I suppose they could inflate the value of the items, then make you use cash with zBucks but still overcharge on the discount and make a small profit.
Lyme:
I think that is exactly right. Try to offer fake discounts on inflated trips or crappy goods that you cannot put a true retail price on.
I think the story falls apart without the banking component though. Plenty of these BS schemes out there already.
You can’t really sell costco for $495 upfront and then a monthly either.
As for funding a zbuck discount they COULD have a lower price the longer you stay in and pyramid the funds into discounts.
I was just trying to predict the next insane press release.
Another Saturday corporate update call.
Bill Andreoli announced that there are currently over 11k TCMs in TranzactCard, I listened twice to make sure I had him right.
THIS is the “explosive growth” that overwhelmed their merchant processing?
They had a real Rah Rah session with several team leaders but one thing they didn’t have was a banking update.
Peter Rancie promised that the banking situation would be hammered out this month. Well it’s the 23rd and still no news.
Rancie is a complete and utter liar. Peter Rancie. – LIAR.
Australian Banking Magnate? LIAR
New Bank? LIAR.
ZBUCK store? LIAR.
Peter Rancie is a complete and utter failure as a business person –
PETER RANCIE tried to start a $120 per month movie rental business with some Mormon outcast 17 years ago and that is his LARGEST success to date.
I have heard him on the phone and on the zoom – dumber than dogshit.
Please, PLEASE – can any Tranzact card member honestly state that they are singing up card members – NOT POTENTIAL card members – a sign-up list is bullshit.
How many people can open a debit card and be a card member?
This fraud will lead seminars it is so stupid.
Only 11k TCM’s!?!? Wow. So Kannaway must have been about dead if they were all funneled into this scam.
No bank will do business with this line-up of scammers. Google these people, wow!
Thank you Oz for the due diligence on this!
iHub Global had their annual conference in Orlando last weekend. One of their verticals is the Tranzact card.
Not a word was mentioned about it and there was a distinct vibe that iHub is not fully on board with the Tranzact.
Last I heard iHub Global was now pushing Oaceus, some weird workers comp scheme.
I joined in the beginning but got a report on the owners past failures and submitted a cancel and refund to Arron.
he said he could not refund my credit card, and would send a check. 3 weeks later still no check and I was told to wait.
I contacted my Card’s bank, and filed a complaint and it did take 2 months but I got my $495 back as the bank refunded my account after reviewing this ****, liers.
Good luck to any of you in getting your $$ back.
Another Saturday corporate update call.
It’s official, no TranzactCard till November.
Peter was less than perfectly clear but things like ACH transfers might not be ready till “Pre-Christmas” so the November card may be sorta truncated.
He also seems very concerned with critics (Hi Peter).
No explanation was given for why the promised September card delivery fell through.
GlimDropper’s report on todays corporate update is spot on. Peter stared/glared right into the camera and proclaimed that EVERYTHING that the founders have promised so far has been delivered……..
He then brazenly ignored and (silently) denied that he promised/guaranteed that the new Bank issued MasterCard Debit Card would be delivered in September…… (the “Servant Leaders refuse to discuss the promise) ……….
Peter’s philosophy reminds me of Richard Smith’s mind control/positive thinking brainwashing techniques of the past which go something like this…….
“Get all your friends and family to send me their money ASAP……….. Until I tell you to stop”………. Powerful Cult Like scary stuff.
Tranzact Card is the dumbest mlm ever started. The Z store is shit.
Just listened to the Saturday call – talk about pathetic!!!
No full banking until December, MAYBE they have a base debit card in 45 days so all they have is the most BS offering ever – Buying gift cards at a very slight discount while getting useless zbucks.
You can literally buy the gift cards they are offering at almost any discount store online (or costco of course) for less than full price. Here you are getting NO discount but you get zbucks and some B.S. cash back to a non-existent savings account which doesn’t exist and is supposedly paying some huge interest payment they can’t tell you about.
ALSO, WHY DO THEY STILL HAVE SOLID FINANCIAL BRANDING ON THEIR WEBSITE? HEY DUMMIES, THEY ARE GOING TO SUE YOUR DUMB ASSES.
Lastly, crooked shyster Jared Moss is the one that found the new debit card? What happened to the Financial Guru from down under with his 50 years of banking experience? Oh yeah, Peter is a fraud.
How are the millions of z-club skus going?
Pathetic.
Debit card will be the usual shell company + dodgy merchant route. Easy enough to set up.
November 12th is just over a month to go. Smith promised a full launch…
Yes, they modified the timeline Saturday:
youtube.com/watch?v=at1BTsW2koE
Idiocy per usual
Their site is not taking sign-ups any more…. Down for a day so far….
tranzactcard.com/under-maintenance/
That is what shows up when you try to hit the ‘become a member’ or ‘enroll as a digital branch office’ buttons –
That can’t be good.
The “Bank” killed the tree when it uprooted it to have a look at the rotten roots. No Real “Bank” is the key.
Now down for two days…. How can they not be taking sign-ups? What could cause that? Aren’t they 30 days from launch?
They must have sent a letter out to their reps no? You can’t be shutdown for 48 hours without telling people why!!
I believe it has something to do with this (Corporate Update, 10th Oct):
It looks like they’re back online now.
What do y’all make of the Lebron James thing?
Someone told me about this and said that Lebron James and a bunch of celebrities and famous influencers have bought in and that Lebron wants to use their z buck store or whatever to sell his merch? Is that true?
Search bar is on the top right of every page.
There’s no way Lebron is affiliated with this nonsense.
I have seen a lot about Richard Smith, all bad. Are you saying the others are of like character?
I understood I have 30 days to request a refund, I not real good at research but am about ready to summit for a refund. Ant inside would be appreciated.
Richard had an almost identical scam some years ago, so this is definitely a scam. No company is just going to give you double your money back, even if it’s in silly Zbucks
Trans caard is teaching their distributors to cross recruit from other companies that they may be affiliated with. Also getting some MLM company CEOs to join at the top and then cross recruiting.
Gary, Google this new President person along with “his executive staff”, then Google those names together once you figure out who the executive staff is.
tranzactcard.com/wp-content/uploads/2023/08/TC-Andreoli-press-release-081523.pdf
Another Monday corporate update call.
Merchant processing problems. Some banks are declining to send funds to TranzactCard. Not many perhaps but upwards of 10 to 20% of transactions.
Peter again insists that those of us who have been “bumping their gums” against TranzactCard will be shut up by launch. He offers no specifics but (once again) assures the faithful that everything will be OK.
The $495 manager rebate offer officially ends October 31st. DBOs who fail to become managers by that time (or who join after) will not get their initial $500 spend back. They will need a crap load of swipe income just to break even.
Today Tranzact opened the eZ Power card through their app. Members can go in and purchase gift cards from over 300 retailers, all the well known ones, including Walmart, Amazon, Texas Roadhouse, Best Buy, Crate&Barrel, Old Navy, etc and send the gift card through the app to a friend, family member, etc or just use the gift card themselves.
The gift cards arrive immediately through email and can be activated immediately.
PLEASE explain how a company that is so “in trouble” is able to do that????
TO: GlimDropper
Peter was very specific!! Not sure how you missed it? He stated the zclub will have the things members want to buy and and that it will be worth the wait and that the banking platform will be everything members need to perform their desired banking tasks.
Tranzact stated the banking issue was mostly peoples card information not matching their signing up as a member information. Seems pretty normal.
Can’t get a ticket on a plane unless the visa card being used is under the same name as the person wanting to ride on the plane. Pretty standard franchising procedure as well.
@Truth
Do what? Sign up with a third-party affiliate program and feed recruited affiliates into it?
BehindMLM could have an affiliate program in 30 seconds if I wanted. The companies running them are a dime-a-dozen.
That is the disclaimer at the bottom of their website. What legitimate company takes your money while saying they might not do any of the stuff they claimed?
If I was a ‘DBO’ I would immediately ask for a refund, it is fine living in hope but if a payment processor pulled your services it means that they aren’t happy with the way you do business, either compliance or a fees issue. I worked in a bank for 10 years so I know the ins and outs of this.
The people behind this have history and you can google them to find out for yourself.
Go google CBW bank and you’ll find it’s a 1 bank operation in a ghost town, it doesn’t even look like a town. They were purchased recently by a California couple from a family who were experiencing problems.
If that wasn’t enough to convince you, go check out Vanuatu regulation and Nui and what happened to that.
When I first saw the video I thought this looks like an interesting proposition and could work but whenever you invest in things like this do some homework on google before being swept up by it.
See if you can even get a refund.
That’s excellent, Jason. Here’s the street view of the bank from Google Maps –
google.com/maps/@37.3100777,-94.7713473,3a,75y,36.88h,90t/data=!3m6!1e1!3m4!1sNP87RZEQHNLeHqv2G2-gPw!2e0!7i16384!8i8192?entry=ttu
Jason – Not sure I follow this. Who is CBW Bank and what do they have to do with TZ?
I guess we will all see what is what when they launch in Las Vegas.
CBW is one of TranzactCard’s two former banks. CBW was acquired by an exGoogle guy (Suresh Ramamurthi) and his banker wife who changed CBW from a troubled little local bank toward fintech.
Ramamurthi created a payment lending business line among others. “CBW Bank is a leading sponsor bank for debit and credit card processors and ISO’s serving the lending industry.”
CBW probably does not want a repeat of their 2020 FDIC investigation and Consent Order for compliance issues related to their Foreign Transaction business line.
Otherwise, Suresh Ramamurthi appears like a decent ambitious talented visionary business/tech guy.
cbwpayments.com/index.html
Welcome to the club. You have to understand how Ted runs BusinessForHome. As long as the check clears, he will post their PR pieces and attack behindMLM, and anyone who exposes the Ponzi’s that he lists on BusinessForHome.
Ted has gone to their big events and tells what a great company they are, all while they are under investigation by the authorities. Ted wouldn’t know a Ponzi if it sat in his lap and hit him up the side of the head with a 2×4.
It is a badge of honor to be named “Hater” by Ted and make his list. I had the privilege of being named #3 on Ted’s list of haters. Melanie From Germany was #2 and of course behindMLM was #1, and rightfully so.
Okosh, littelroundman, justpassingby and many others have made Ted’s list from time to time.
Along with you and Caleb, I am sure Darren M wil soon make the list. Just surprised that Gertrude Perkins hasn’t made the list; at leat that I know of.
But look at the bright side. Ted is not only is a repository for a list of current and new Ponzi’s launching, he also provides you a listing of all the major pimps and perps behind these Ponzi’s.
So again Congratulaions and Welcome to the club.
So pathetic. Just because this site doesn’t mark positively most of MLM companies out there, it get attacked quite a lot. Not a big deal for Oz, though.
Meanwhile Business for Home is well-known for publishing paid articles on certain companies marked as “bad” here. So, pick what’s worse: a negative review without any backing whatsoever or a paid positive publication.
No clue at all what sparked this but it sure sounds like everything is coming up daises:
A good guess why they sent this out is that they are getting vetted by a fintech provider.
They don’t want them finding out about them losing the previous provider due to all of their online misstatements and fraud history.
Pretty tough to erase the internet though – long history.
Expectation Management.
Remember the video in which Richard Smith told his interviewer that Donald Trump and Barack Obama were backing TranzactCard?
Remember the video in which Richard Smith said LeBron James was a TranzactCard celebrity endorser and would be selling his merch exclusively through the Z-Club?
Trick question, they both came from the same video but it’s a video that TranzactCard wants deleted from the internet.
behindmlm.com/companies/nui/tranzactcards-bizarre-trump-obama-marketing-claim
They also want all mention deleted of the claims that there would be “millions of SKUs” in the Z-Club by the time of launch. Such of so many promises were made last summer and not all of them have come true.
No TranzactCards till launch? Peter promised that the banking issue would be solved in the month of September.
But as he likes to say “banking is hard” and if the current purge of social media pages is complete perhaps no one will be able to prove he promised cards in month of September anyway.
One more quick trip down the memory hole.
Yeah never a good look when “delete the evidence!” is trotted out.
On one hand it’s good they’re enforcing compliance. On the other hand whatever it is they spread that they’re now trying to cover up should never have happened.
I downloaded the video where Richard says Trump, Obama, and LeBron are all behind it.
They are either getting or NOT getting a workable debit card by November 12th. They have 18 days to get it and implement it.
Oh, and finish (start?) and deliver a z-store with hundreds of thousands of skus and a fully implemented travel program.
I am 100% excited for this! Going to be the greatest last minute success or greatest complete failure and excuse train in history.
I am here for it either way!
Here’s some context, from Tranzact Card’s latest Corporate Update:
What a mess.
Tranzact Card affiliates should probably be asking themselves why everything they’ve been told up to this point is now “out of compliance”.
My friend’s upline pushes Tranzact heavily, but I went to his page and there are no more references to Tranzact at all.
TranzactCard appointed Joyce Mehlman as the company’s Chief Compliance Officer according to a 17 OCT 2023 press release.
Perhaps she will fix whatever terminated the TranzactCard debit card. Banking is Hard. Link to Press Release.
tranzactcardnews.com/joyce-mehlman-joins-tranzactcard-as-chief-compliance-officer/
What’s funny is they want all videos and posts removed from internet….yet just Google tranzact card and there are tins of home made videos. Same on fb
Don’t know much about this but now they (Tranzact) will have a rationale (excuse) to postpone launch : “There are still too many non compliant posts on social media”.
This would put delays on the reps and not the company. Who knows if this will come to pass but stranger things have happened. I’d sure run the other way on this one.
TranzactCard Policies & Procedures document dated September 2023 shows an effort to comply with regulations and gain bank acceptance.
Sadly, TranzactCard benefits may have been revised downward in this document. Banking is Hard!
While the link works:
tranzactcard.com/account/uploads/legal/Policies_and_Procedures_Sept_2023.pdf
I agree with Curio. Smith has always blamed his many past failures on the Reps or his “Bad” business partners.
He has never taken responsibility for the financial suffering that he has caused. Never repaid a dime.
He continues to promote his schemes and so far there has been no accountability……… but time is running out. If they launch in November it will not even closely resemble the program that they originally promised. Bait and switch stuff………
“Remove all Social Media TranzactCard info ……….. Immediately!” ……… See you in Las Vegas…….. Maybe.
Welp!!! Now everyone knows they lied about “being too big” for their last card issuer (“bank”).
They just gonna go on with convention and lie from the stage to everyone. Watch and see.
Todd Smith – Wakaya Perfection co-founder and former “trusted, top-level distributor” in Youngevity through Total Nutrition Inc.
William “Bill” Andreoli – former President of Youngevity with purported “undisclosed financial interests in Wakaya Perfection”
Andre Vaughn – former “top-level distributor” in Youngevity
Patti Gardner – former Youngevity Vice-President of Sales and co-President of Heritage Makers (acquired by Youngevity in 2013.
Is it true that these people are now the new and improved Servant Leaders with TranzactCard?
Fake News?
Someone emailed in about Vaughn appearing on a TranzactCard webinar. I guess this is Andreoli’s “executive team” ditching Kannaway.
TranzactCard has now morphed into a “Wholesale Travel Club” using imaginary “Z Bucks” to buy down the price.
Dave Dove obviously brought this concept with him when he left My Travel Ventures Co. which was also supposed to change and disrupt the “Industry”.
I guess he did not have a non-compete clause in his contract with Mr. Chan who owns MTV. I would not be surprised if My Travel Ventures attorneys contact Mr. Dove to clear the air.
Mr. Mark Hackman is the Corporate Liaison with My Travel Ventures and is working hard to undo the chaos that Dave Dove left behind.
There seems to be a repeating pattern with all the “Servant Leaders” in TranzactCard?
TranzactCard released an eZ-Power card pricing video which card is used to purchase gift cards from over 300 vendors.
TranzactCard charges 2% for money deposited to the eZ-Power card. TranzactCard charges $1.50 for every gift card purchased with the eZ-Power card. A membership must be purchased to be eligible for the eZ-Power card.
Deposit $100 costs $2.
Buy 4 $25 gift cards for $1.50ea or $6.
Total cost for $100 worth of gift cards is $108, not including membership fees and no Z-Bucks for the purchase at this time! Good Deal for TranzactCard!
Boy they are really pushing this card hard now! More spam than ever and now I heard it’s pushed back till December?
So now it’s discounted travel:
Third-party affiliate network and discounted travel. What’s next, whitelabeled supplements?
Also this:
Can you show this full text?
surely they are not telling them to yank ‘fdic’ and ‘mastercard’. They would just be done!!!!!
The updates are long and mostly spammy.
This is from the next one by Peter Rancie and provides some more context;
Oz, how in the world would they be able to get another banking partner when all these other “partners” dumped them?
Any real banking platform would do research and see this is a scam. How is this business able to keep stringing people along….crazy. Thanks for the updated info.
Not that it matters when the goalposts are constantly shifting, but until you’re able to publicly verify assume TranzactCard doesn’t have a banking partner.
Thanks for all the info. Quick question Oz, is the text with green backing directly above from a direct quote from an email sent out by Peter Rancie at Trazact card?
Just want to confirm. The FDIC backing was a big part of the pitch for Tranzact card to me a few days ago. Thank you!
Yah. Anything in a green box is a quote.
Thank you so much. As I have been researching and pulling background checks on all the major players in this business, I have been amazed.
I have to laugh too, because many of them have DOZENS of speeding tickets on their records. Maybe just one indicator that they all think they are above the law?
Well, now they are posting in their tranzact card fb page that the “pillow.guy” Mike Lindell joined them as a Dbo. Hahaha.
TranzactCard co-founder Richard Smith’s presence on the Utah White Collar Crime Offender Registry for running afoul of UT Code § 76-10-1603 Pattern of Unlawful Activity presents a certain financial professional stigma.
Although Richard Smith appears to have a great deal of talent; it would be wise to exercise due diligence prior to financial involvement.
– Utah White Collar Crime Offender Registry
For all of the nay-sayers, TranzAct Card’s launch is happening on November 12, 2023 and they do have a banking partner.
I firmly stand by my involvement with TranzAct Card.
Wow.
utfraud.com/RegistryLists/Details?regOffId=601
Mike Lindell is certainly quite the downgrade from Obama, Lebron James and dare I say it even Trump.
@Fran
If you’re so sure there’s a banking partner, name them?
If you can’t, probably best not to be seen running around spreading unverified information. TranzactCard has already had one taste of what the ramifications of doing that are.
True believers gonna believe truly, facts be damned.
(Even if it DOES launch, it will fold like a cheap suit soon thereafter.)
On that UT Fraud link, you’ll need to punch in “Richard” first name and then select “S” as the surname for a search.
TranzactCard’s Richard Smith comes up as “Richard Thomas Smith” with a mugshot.
The 2017 conviction is for the previously reported securities fraud criminal case. Smith was fined $200,000 + 250 hours community service.
Page 3:
utah.gov/pmn/files/288539.pdf
Richard’s conviction is for the Pattern of Unlawful Activity , nonetheless.
A dog always returns to it’s vomit.
BehindMLM reported on Smith’s securities fraud case here:
https://behindmlm.com/companies/nui/randy-schroeder-has-a-meltdown-over-tranzactcard-reporting/
I wasn’t aware of the 2017 guilty plea at time of publication so I’ll add that in.
Thank you for that RAZ, enough breadcrumbs to turn up a few small details of Richard Smith’s criminal past.
Richard Thomas Smith and Roger Edward Taylor started Ascendus Capital Management LLC in 2003 and later the Franklin Forbes Composite Fund.
Both appear to have been ponzi schemes.
An Affidavit of Probable Cause is available at this link:
kleinutah.com/wp-content/uploads/2009/11/Criminal-ProbCauseAff-Aug13101.pdf
Am I sure this is the same Richard T Smith? Yes, RAZ provided the source but I’ll post a link with his picture:
imgur.com/a/8p4LooD
How much do you want to bet that none of the paperwork between Tranzact and any of the banks contain Richard Smith’s name or signature?
I believe that’s where Peter Rancie comes in.
Seeing as all of this is highly relevant to the securities fraud brought up in BehindMLM’s original TranzactCard review, I’ve added Smith’s conviction there too as an update.
The Utah White Collar Crime Offender Registry prohibits harassment of offenders but explicitly states permissible uses:
“However, it is not harassment for a person who uses the Registry to accurately inform any person that an Offender is listed on the Registry, or to provide information on the Registry to any person. It is not harassment for a person who uses the Registry to suggest, advise, or recommend to any person that they not invest money with an Offender, or that they take action to recover money they may have invested with an Offender.“
Just posting so everyone stays on the right side of Utah law.
Will there be a follow-up on Tranzact after November 12th, etc? I know people who’ve entered into this, and I was asked as well.
Fortunately I have not and it would appear that I should be thankful to my gut feeling… especially after reading all of this. I appreciate you being informative on the matter.
I guess if there’s something to follow up on. Comes down to what they actually launch on the 12th.
I’m guessing the launch will be delayed, but they will try to somehow spin it as being a positive development.
I’m curious because I haven’t seen anything about overdraft fees and how that will be handled. It’s going to happen.
My understanding this account they have is not based on credit and also makes me wonder so many other things that go wrong with money being run through an account.
Has anyone seen anything. I’m seeing a lot of my friends pushing the card and the whole travel thing but nothing to show yet. Smoke and mirrors.
Thoughts on the overdraft situations that are bound to happen?
Their launch is tomorrow, Sunday, 11/12.
Unless they launch something tangible, functional, and wholly embraced by respected, legitimate banking institutions, there will be a bunch of pissed-off, confused MLMers leaving Vegas on Monday.
There will also be a bunch of stars-in-their-eyes true believers who will swallow whatever BS Tranzact feeds them.
And a few unabashed scammers, to boot.
There is no overdraft protection. They stated that from the beginning. It was supposed to be the most basic of no frills checking account debit cards.
The larger issue is that it was in conjunction with an FDIC insured and regulated bank or group of banks and they have now lost that entirely.
They will either future something, just go with discount, weak travel and gift cards OOOORRRR they could try to pull off some weird banking thing using pre-paid debit cards like you buy in a grocery store or something.
At the end of the day, this won’t fly because no bank will support this and there is too much information out there about the history of THIS company (lebron/gaga/mis-marketing etc) AND past companies from The Smith gang. You don’t get to run a banking or banking adjacent company when you have their criminal history.
When you ask your company and your field to drop words like ‘visa’ and ‘fdic insured’ you are really leading them towards something totally scammy.
Marko, banks, VISA, Mastercard would be fools to embrace TranzactCard Launch puffery.
A business relationship with a likely pyramid MLM would expose the financial institutions to unacceptable liability in my opinion but time will tell.
The funny thing too is that all of these pampers of this scam are in it to make CASH.. BUT what they promote to others is the dou le your buying power with zbucks.
So they are not earning cash but products…stupid products from what I see so far! They also try and get you to think how much money you can earn on swipes from others purchases.
The amount is miniscule. You would have to have thousands of people join you to earn!
Then, how many people( neighbors, acquaintances, family members) are going to be comfortable switching from their safe cashback card to this unknown zcard??? Almost none!
Rumor has it they have more than 83,000 sign ups as of yesterday. This thing is a rocket ship. That is over 40 million in funds taken in.
If they can’t create something kick ass in 6 months for 40 million dollars (or 20 or 10 frankly) , they are the most incompetent people in the world.
Let’s see what happens – think I am flying out for this one….
Tuesday will be put up or shut up day.
They’ll either have a fully functioning debit card or they’ll have an empty handful of excuses.
The “EZ-Power Card” mollified the masses for a while and it could earn you Z-Bucks but it couldn’t earn you commissions.
The real linchpin will be and always was the Z-Club. We’ll finally see what aces Richard Thomas Smith has up his sleeve. Can he be price competitive AND offer Z-Buck discounts or is all of this a total waste of time and money.
So much will be found out in so few days.
So regardless of the festivities, those people who joined had better see something this week in the form of a debit card, Z club, etc. Man, this is somewhat interesting to see which way it goes. Thanks again.
I have to agree with the first comment. I’ve had problems getting things to go through on a few things not tranzact related. That is a bank issue and not trazact.
Stirring the pot indeed. I for one am glad that they see this and have moved forward sooner than later.
Did you all see the zstore products? What an absolute joke! Outdated useless products that are way over priced.
This ponzi scheme will crash when the money runs out for Peter to pay Paul.
@Big mac
How do you access the zstore without an account?
Big Mac – Zclub is very very sad. Prices are more than double typical Amazon prices. Products are outdated. Brands as well as products are very limited and mostly nonexistent.
Free shipping but members pay for return shipping and Zclub can refuse returns. My eye is tearing up for Zbelievers.
I found my way to the ZClub. Just as I thought, huge markup on the MSRP, with an artificial discount on the selling price. Feels more like a Big Lots club.
Under the Apple category, they have off-brand cases and chargers. No Lebron merch either, lol.
I figure you swipe $1,000, get 1000 zbucks, and you’re forced to spend another $1000 in cash just to use all your zbucks. And since the merch probably isn’t worth what you’re paying, you’re getting screwed on fees and the zstore.
But hey, no swipe left behind…
Any word on the debit card or the travel? Is this really it? What a catastrophe!
I bought a card 6-8 months back. Actually never received the card, but I probably messed up the application, not them.
I logged in to look at the store. Underwhelming. I didn’t want to waste my time comparing products to Amazon prices. Some of Tranzact’s prices are higher than Amazon, some are marginally lower, and some are the same. But you pay shipping for your Tranzact purchases. You probably have to pay shipping on returns as well.
If this is what they have to offer, they’re toast.
A friend who bought into this is in Vegas. Apparently they extended the pre-launch buy in to Saturday. Hmmm…
I’ve been skeptical about Tranzact but I’m curious about the addition of compliance industry expert, Joyce Mehlman, to the team. Wouldn’t she have done her due diligence before signing on? Doesn’t her presence lend weight to the possibility that Tranzact is legit?
Hey Barb, Joyce Mehlman appears to be a consultant that works for many companies. She may be on the “team”, but I doubt she left her business to be exclusive to Tranzact Card. The business clearly has an infusion of cash from all the people signing up (thousands at the launch event), so they can hire all kinds of “experts”. She may not have researched the founders background, but is simply being paid to make things happen. Time will tell!
Barb,
If you are hanging your hat on them hiring an outside consultant several months ago rather than the actual facts that they have NOTHING, you are absolutely out of your mind.
There are no bank accounts, there is no debit card – the zclub is a scam nightmare with no real products and the ones that are there are horribly overpriced – there is no real travel, no savings accounts – nothing!!!!!
Having someone help with compliance is only helpful if you have a business at all and that business needs to comply.
You know how they got around complying with banking laws???
By not having bank accounts.
They recently hired her apparently. I bet she’s not had time to dig deep into this. Additionally firms hire a compliance person to try to help them get compliant, not the other way ’round.
@Caleb. Easy there! Perhaps my wording was insufficient to reflect pure curiosity.
The only thing I’m out of my mind about are all the people (young women who can barely afford groceries) in my online community who are signing on to this crazy scheme.
You have your answer. Don’t be melodramatic.
No bank accounts. No debit cards. YOU pay $25 and then a monthly fee to pay 108 for 100 in gift cards and you get to shop at higher prices than other stores for your trouble. (Unless you pay 495 so you can scam other people).
Those are facts. You are trying to throw distractive smoke into this situation.
It is nothing. It is literally a nothing company run by convicted criminals.
Maybe you should take this more seriously because nobody – NOBODY coming to this site looking out for the young women that can barely afford groceries is hanging their hat on a compliance hire from a month ago that nobody has ever heard of.
You are completely full of it.
Spot on Caleb…
Furthermore TranzactCard is disingenuous saying they hired a Chief Compliance Officer when in fact they hired a consultant.
No knock against consultants but a consultant is not a company official, a consultant is not a company employee, a consultant is not even on the company payroll as a consultant is paid by her Consulting company who invoices for the consulting services.
The Chief Compliance Officer announcement is another TranzactCard deception, one of many.
“TranzactCard has announced the appointment of Joyce Mehlman as the company’s Chief Compliance Officer.” – TranzactCard Press release Oct. 20, 2023
Update. I asked my friend in Vegas which bank they are using and she said the bank is secured but they had a cyber attack and keeping it under raps to keep the company safe. Sounds fishy to me.
This is the biggest load of bullshit yet.
Caleb, I came to this website to learn about MLM’s and Tranzact so I could thoughtfully interpret what I was seeing in an online community I’m a member of.
I’m not a Tranzact DBO or anything else. And I’m not blowing smoke or trying in any way to distract from what is going on. Your attack on me was uncalled for. Nothing I said deserved it. Goodbye.
Troy Dooley is trying to make excuses for TranzAct. Basically, it sounds like they did not deliver at their Las Vegas launch this week.
Thousands of people fly in and go home empty-handed.
facebook.com/troydooly/videos/1492327868210645/
Here’s a youtube link to the same video DD just posted for those who don’t have facebook:
youtube.com/watch?v=dTSdV2n1PtI
No physical debit card perhaps till Christmas and the Z-Club was pulled offline.
Happy launch Tranzacters.
Still nobody talking about how great the travel is either…. Not even a whisper? I thought this was their zbuck cornerstone??
Eric Allen held a Zoom tonight. From the sound of it physical debit cards by Christmas may perhaps be optimistic.
MLM Attorney Kevin Grimes was on the call. Let’s hope his involvement in TranzactCard works out better for it’s affiliates than Grimes involvement in Zeek Rewards did for Zeek’s affiliates.
Be that as it may Kevin provided cover for Tranzact’s missed deadlines. He may as well have said “Banking is Hard” to echo Peter Rancie.
Kevin ironically closed with a quote from George Santayana that “Those who forget their history are condemned to repeat it.”
I presume Mr. Grimes is unfamiliar with Richard Smith’s MLM track record.
They have now extended the $25 for life, etc., until December 31st. Still no release of the bank name(s), although they’ve stated to a DBO manager I know that they are going or have gone with, smaller banks…?
Anyway no bank names to be released until the cards (50,000 supposedly) have been issued. Of course they are saying this should happen by Christmas.
I was shown the Zclub… There is hardly anything uploaded, especially in comparison to the 1000s of names they are saying to have.
Supposedly that is in the works, the uploading of brands and items. I would’ve thought this would be a priority, right after the #1 issue -banking, which they have supposedly taken care of, yet won’t release. Sound complicated yet?
For the helluva it, I started the sign up process for the $25 offer. They want your ss# for an acct, and credit or debit card info for payment, yet nowhere did I see where any of this is secured or encrypted.
Maybe I just missed something? Regardless, I didn’t plan to or actually go thru with it anyway.
Despite my questions or anything I’ve pointed out, my friend the DBO manager, has not been moved in the least to change.
Oh well… Again, appreciate the info.
Ted, but they are going to change the way the world does banking!!!! Hahaha They have been promoting this since what.. March or April?
Whenever I confront a dbo on Facebook posts, they get angry and aggressive. One lady said they don’t get paid on signups..
They are reaching for.global pool. Sad but all these pampers are also. liars!
Several people have been pushing this. Thanks for all the info glad I went with my gut it seemed fishy. Commenting to see what continues to happen.
So TranzactCard just disabled new distributor and customer signsups because KYC.
Turns out if you want to legitimately offer financial services in the US you can’t just sign up anyone willy nilly *gasp*.
TranzactCard appears to have changed their mailing address from Provo Utah to Jackson Wyoming.
Old Mailing Address
TranzactCard
746 E 1910 S, Suite 2
Provo, Utah 84606
New Mailing Address
TranzactCard
P.O. Box 7414
Jackson, WY 82002
Some Tranzactor posted this on their FB page”
In Peter’s update today he revealed that the physical debit cards will not be available till January. He promised accounts by Christmas but cards next year.
They keep flogging the Patriot Act as if banking solutions around that act haven’t been well figured out already.
But this is the excuse they’ve come up with and they’re sticking with it.
Oh and hackers. Hackers are a real problem but their IT crew is top fight.
Wyoming is a popular shell company state. I suspect this would be an attempt to get Richard Smith’s name off the parent company (or hide he’s the owner).
The Patriot Act was enacted in October 2001, twenty two years ago.
It’s not a law that is catching anyone off guard in 2023.
This reminds me of the people who stuck around (for YEARS) listening to weekly excuses from the folks who had promised the value of the Dinar would sky rocket and continued to encourage them to keep buying it.
Many did and to my knowledge, nothing ever happened. They could still be holding those calls for all I know.
It always surprises me how long people will keep the faith. Guess there is truth in the saying “too close to the forest to see the trees”.
Here is Wyoming address info from OpenCorporates.com with other info on the inside but I didn’t want to create an account to see it.
opencorporates.com/companies/us_wy/2021-001003543
Here is their registered agent:
So as I suspected, TranzactCard has created a new Wyoming shell company to hide Richard Smith’s involvement. Evidently without hiding Smith’s involvement, TranzactCard can’t obtain new US banking partners.
I’m pretty sure some financial laws are being broken here.
Business entities registered with the Wyoming Secretary of State
1. TranzactCard Franchising LLC Filed On: 06/27/2023
2. TranzactCard Learning LLC Filed On: 10/30/2023
3. TranzactCard LLC Filed On: 12/15/2021
4. TZT Alpha LLC Filed On: 08/06/2021
5. TZT Holdings LLC Filed On: 05/10/2021
6. TZT One LLC Filed On: 08/06/2021
7. TZT, LLC Filed On: 05/04/2021
Foreign business entities registered with the Utah Secretary of State
1. TZT Alpha LLC Delinquent as of 11/13/2023
2. TZT One LLC Delinquent as of 11/13/2023
Both Utah businesses trace back to Jackson Wyoming, registered agent JMoss Law.
Most lead back to:
Principal Office
680 S Cache Street Suite 100
Jackson, WY 83001
USA
Mailing Address
PO Box 7414
Jackson, WY 82002
USA
Seems like a shell game.
Perhaps TranzactCard changed their address from Provo, Utah to Jackson, Wyoming because it dawned upon the execs that TranzactCard LLC was never registered as a business in Utah.
Regulation compliance appears more important as TranzactCard faces increasing scrutiny.
TranzactCard is licensed in the City of Provo (details below)
Keep an eye out for registration of a new pinksheet stock… Wyoming allows no cap on how many shares a pink sheet or OTCBB stock can offer.
IMO, they will milk people for everything over the coming years.
Unlimited Authorized Shares… that would make sense.
law.justia.com/codes/wyoming/2022/title-17/chapter-16/article-6/section-17-16-601/
It is a brilliant scam for the gullible to fall for. They will likely claim to be publicly traded in another year or so, so offer false “hope” to the lemmings still believing their lies, imo.
They can ultimately issue unlimited shares of stock for under .0001 per share, which is my prediction over time as this scam plays out.
Article updated to note TranzactCard naming Bangor Savings Bank as their replacement US banking partner.
I don’t think the bank communication department knows yet.
That’s an interesting development. Any chance of a screenshot?
Wowza! Did that come from personally reaching out to Bangor, Jessica?
Makes sense because most small banks and credit unions are conservative by thier structure and mission bylaws of organization so teaming up with a specualtive MLM would definitely be outside of those requirements.
Also, I just googled tranzact card and the first thing that pops up says “tranzact card- official site” but then it leads to a DBO named Tonya Hanks private page.
This is misleading but it comes up as the actual company page and you have to look a little further to get to the actual company page.
I guess even the DBOs are using search engine manipulation to come out above even the original company itself.
The actual company site says that all they are offering is gift cards when you look n terms of service. I guess they finally took down the mytzt.com website because when I checked it 2 weeks ago it still had Solid Bank listed on it even at the end of November.
Go figure…. no thanks to the whole thing.
@Caleb…I would just like to point out that your comments in post #188 towards Barb were a little ‘melodramatic’ in themselves and telling her that she was ‘completely full of it’ when she had simply engaged to ask some questions caused her in her final post in #192 stated that she had come here simply to learn, she was not a DBO and that your attack was unwarranted I 100 % agree with her.
I’d also like to point out that part of good journalism @Oz is moderating the discussion on your topic and Caleb’s comments struck me as not only erroneous on the topic but a little bullying towards women which I would like you also to consider from a professional perspective about what is transpiring within your community.
Oz you notice alot of things but I am a little surprised this got past you as far as fairness among your readership who engage and support your work.
Moderation isn’t an exact science. They were having a relevant back and forth and that was one word out of the conversation.
Caleb said what he did and Barb responded and they moved on, adding to the due-diligence discussion around TranzactCard. If it got out of hand on a personal level I’d have probably stepped in.
@Suzie… mytzt.com website remains up referencing Solid and VISA.
There is a corporate update tonight, 1/10/2024 with the co-founder Peter Rancie.
If you want to know the latest updates, go to the webinar – get on early because there will be alot of people there, probably over 1500 – tranzactcard.live at 9 Eastern.
Monthly DBO Fees are automatically taken from commissions then from TCM debit card account then from a personal card if on file. Supposedly TranzactCard was pressing members to register their personal cards. 10,000 DBOs at $50/mo is half a million a month if the cards are on file.
So I signed up to be a DBO because I liked the concept, and thought it might be a way to make a few extra bucks to support my hobbies.
Joke’s on me. It’s one excuse after another as to why now they don’t have cards, and the store is still populated with less variety than I can find at the local thrift store.
The latest excuse is FDA regulations and approval is holding things up. A couple weeks ago it was that the bank was slow walking training their employees.
We are already 6 weeks beyond when the cards were supposed to be released, and all of this is always like secret squirrel or something: “We can only disclose so much, but trust us, it’s coming.”
Furthermore, they keep changing the carrot, it was supposed to be if you signed up 3 dbos, then you would start getting 500 a month, I have 3 under me.
Then they said, you have to have 3 cards out there to start earning commission, but I will be damned if I am going to continue to push a product that I don’t even have in my hands when I signed up three months ago.
I am really beginning to believe that this is all smoke and mirrors, and 6 months from now we’re still going to be hearing excuses about why the store still sucks, and no one has their cards.