MMM house account club financial arrangement

A club may choose to off-load their responsibilities and overhead of managing member accounts by having MMM perform this task for them. We call this using the MMM house account.

With an MMM house account, club members maintain a balance with MMM and not with the club. When members pay for club services (court fees, subscriptions etc) they do so by using their MMM credit account.

Here are the key points in this arrangement:

• When members credit their account, there is no financial involvement with the club. We receive the money, pay the Stripe fees, record the transaction as a credit for the user and hold the funds in our Stripe account.
• When any fee is due from the member to the club, we transfer funds, minus our platform fee from our Stripe account to the club's Stripe account. To allow for a 3-day settlement period that MMM is subject to, this transfer happens the morning after the 3rd business day from the time of the fee. Fees for that day are batched into one transfer transaction.
• If the club manually credits a member's account in Manage members, it is assumed the member provided the funds by other means to the club. Therefore, MMM charges the club for that amount via Stripe - i.e. a transfer is made from the club's stripe account to MMM's Stripe account (which may involve the club's Stripe account extracting funds from the club's bank account)
• If the club manually debits a members account in Manage members, it is assumed the member was given the funds by other means by the club. Therefore, MMM credits the club for that amount via Stripe - i.e. a transfer is made from the MMM's stripe account to the club's Stripe account
• If the member is linked to other clubs that subscribe to the House Account method, then the same balance is used to pay fees for all such clubs
• If the member is linked to other clubs that maintain their own member balances, then that member can transfer funds between these balances and their house account seamlessly
• In order to provide a consistent experience in light of these different arrangements with clubs, a member's house account is presented much like a club account - i.e. it will identify the club or club's with whom the balance can be used.
• A member's house account cannot be used to pay for services with a club that maintains it's own member balances (although monies can be transferred), in the same way that one club's member balance cannot be used to pay for services with another club.
• When implementing MMM for a club opting for the House account method and balances are transferred from the legacy system to MMM, MMM will make a charge to the club's Stripe account for each balance transferred - effectively reducing the club's previous liability to members (and transferring that liability to MMM). The club must ensure sufficient funds are available for this to work.