American Express agreed to settle two putative antitrust class actions filed by U.S. merchants that challenged the company’s Card acceptance agreements. The settlement agreement will address certain merchant concerns, while helping to ensure that American Express Card Members are treated fairly at the point of sale. It will also limit the Company’s exposure to future legal claims. The first lawsuit, In re American Express Anti-Steering Rules Antitrust Litigation, challenges the Non-Discrimination Provisions in the company’s merchant contracts. The lawsuit dates back to 2006 and is pending in the U.S. District Court for the Eastern District of New York. The second lawsuit, In re Marcus Corporation, challenges American Express’ Honor All Cards Provisions. This lawsuit dates back to 2004 and is pending in the U.S. District Court for the Southern District of New York. American Express will reimburse the class plaintiffs’ costs of notifying merchants of the settlement up to $2 million and will provide an additional $2 million fund for plaintiffs to communicate to merchants about the terms of the settlement.
USA Technologies announced that the U.S. Patent Office has granted its 87th patent. U.S. Patent 8,596,529, titled Interactive Interface Effectuated Vending, adds to the collection of intellectual property USAT has accumulated over a number of years as self-serve retail markets, such as vending, transition from cash-only to cashless and other value-added offerings enabled by a connected technology platform.
eBay completed its acquisition of Braintree payment platform of approximately $800 million in cash. Braintree will now operate as a separate service within PayPal under the leadership of Braintree CEO Bill Ready, who will report to PayPal President David Marcus and has joined PayPal’s executive staff. eBay anticipates the acquisition will have an immaterial impact to PayPal’s 2013 net total payment volume. eBay expects that definitional differences between PayPal’s net total payment volume and Braintree’s projected $12 billion payment volume for 2013, approximately one-third of which is expected to be driven by mobile payments, will lead to a significant portion of Braintree’s payment volume not being additive to PayPal’s net total payment volume and treated instead like PayPal’s payment gateway business, with only the revenue being recorded.
MBNA has launched a new, free Smartphone Card Services app as part of the continued evolution of the way it provides services to customers. It will offer a viewing a summary of account information such as balance and payment information. It will also allow the user to make a debit card payment, view their PIN and recent transactions.
[ihc-hide-content ihc_mb_type=”show” ihc_mb_who=”0″ ihc_mb_template=”1″] Card payments now account nearly 70% of all noncash payments, while the number of checks paid continued to decline. A 2013 Study by the Federal Reserve now shows the total number of noncash payments, excluding wire transfers, was 122.8 billion, a growth rate of 4.4% annually from 2009 to 2012. The…
[ihc-hide-content ihc_mb_type=”show” ihc_mb_who=”0″ ihc_mb_template=”1″] U.S. credit card gross dollar volume (GDV) is poised to drop around 120 basis points in the fourth quarter due to rocky retail sales. After a terrible 2008 and 2009, holiday retail sales volume are slowly crawling back. This year fourth quarter credit card GDV is projected to grow 6.5%, compared…
FIS earned best-in-class mobile awards from two leading analyst group, named 2013 Best in Class Mobile Banking Vendor Overall by Javelin Strategy & Research and Best in Class ranks from CEB TowerGroup in the areas of Customer Experience, Interface Development and Integration & Management in its Mobile Banking Solutions Technology Analysis report. FIS Mobile received Javelin’s highest honor, winning Best in Class overall from its 2013 survey and was voted No. 1 in Top 3 Mobile Banking Vendor Standards and Customized Solutions and No. 1 in Top 3 Mobile Banking Standard Solution. It was ranked based on best in class in customer experience, interface development and integration management.
Paymetric announced that Gil Friedman as its new CFO, bringing to the role more than 17 years of senior financial experience. He spent five years with NexTraq, a Francisco Partners company, where he was Executive Vice President and CFO and led the sale of the company to Fleetcor Technologies in late 2013. His background also includes senior level roles with Amdocs and Polycom. Additionally, Friedman’s career experience includes a $55M IPO and eight M&A transactions ranging from $8M to $350M. Paymetric’s end-to-end offering combines proven expertise in payment processes with best-in-class ERP integration solutions to improve return on ePayment card acceptance, reduce barriers and scope of PCI compliance, and lower the total cost of ownership for payment processing.
Target confirmed it is aware of unauthorized access to payment card data that may have impacted certain guests making credit and debit card purchases in its U.S. stores. Target is working closely with law enforcement and financial institutions, and has identified and resolved the issue.
Approximately 40 million credit and debit card accounts may have been impacted between Nov. 27 and Dec. 15, 2013. Target alerted authorities and financial institutions immediately after it was made aware of the unauthorized access, and is putting all appropriate resources behind these efforts. Among other actions, Target is partnering with a leading third-party forensics firm to conduct a thorough investigation of the incident.
[ihc-hide-content ihc_mb_type=”show” ihc_mb_who=”0″ ihc_mb_template=”1″] MasterCard, eServGlobal and BICS announced the formation of HomeSend, a joint venture (JV) which will enable consumers to send money to and from mobile money accounts, payment cards, bank accounts or cash outlets – regardless of their location or that of the recipient. The HomeSend JV will leverage the current HomeSend…
Blackhawk Network, Inc, announced a new partnership with Coinstar to offer Coinstar customers a selection of certain Blackhawk Network’s popular eGifts for no fee when they cash in coins via the Coinstar coin-counting kiosks. The eGift codes can then be easily redeemed at issuing retailers – either in-store, online or via mobile devices. With approximately 20,300 kiosks conveniently located across the US, Coinstar makes it simple for consumers to convert their spare change into a cash voucher, for a fee that varies by location, or load these funds onto their choice of NO FEE gift card or eGift.
Fiserv has once again been named a Top 10 provider in Chartis Research’s RiskTech100® 2014, widely acknowledged as the most comprehensive and prestigious global study of risk technology vendors. Analyzing areas of expertise such as credit risk, operational risk, asset and liability management (ALM), liquidity risk and financial crime risk management, as well as compliance with regulations such as Basel III and Dodd Frank, the ranking reflects the broad portfolio of solutions for risk management and compliance from Fiserv. The RiskTech100 is judged on six equally weighted categories: functionality, core technology, organizational strength, customer satisfaction, market presence and innovation. Fiserv achieved strong all-around scores with particular strength in customer satisfaction, depth of functionality and organizational strength.