Visa/MasterCard Service Policy

Has anyone heard of a Visa/MasterCard credit card policy that states:
a site cannot charge yearly fees on a merchant account for services? Rather, a site must charge in increments not exceeding 90 days. If this is true, how do other hosts handle this? Do you simply do it on some type of recurring system ... or is this just the case with my merchant account?

Input would be appreciated.

This is semi-new and now most banks don't allow you to charge for more then 30 days at a time. We have to use different payment methods for payment terms over monthly for hosting because of this. I was told it would be very hard to find anyone that will let you because too many chargebacks 6 months into the service.

We REALLY had to search for a new merchant account that would let us charge annually for some of our smaller hosting packages...as charging $2 every month wasn't cost effective ($1.35 in fees!).

EMS is pretty good and lets us charge annually...as well as automatically doing recurring charges as well.

http://www.emscorporate.com

--Tina