Grace, Kennedy Remittance Services has agreed to market TeleCheck check acceptance services to its affiliate companies and other merchants in Jamaica. It will further enable the cross-selling of Western Union and TeleCheck services to a broad range of merchants in Jamaica through GKRS’s extensive network of subsidiaries, affiliates and other merchant contacts. By using TeleCheck’s industry leading database of check-writer information, GKRS affiliate and merchant clients will be able to reduce check fraud when accepting payment at the point of sale or providing check cashing services on U.S. drawn checks.
The NSW Commercial Crime Unit this week shutdown payment card acceptance
at five petrol stations in Sydney due to card skimming. The action is part
of “Project Venlo” which launched in July. According to the NSW Police, the
petrol stations where swiping cards through a card skimmer and then
transferring the magnetic stripe data to another card. The latest group
also set up cameras to watch customers enter PINs. The five petrol stations
netted approximately A$100,000. Since Project Venlo was launched more than
a dozen merchants in Sydney’s western suburbs and inner west have lost
their EFT/POS and credit card terminals.
ENIAC announced a sales and distribution agreement for Retail Decisions’
“PRISM” risk management products. Under the terms of the revenue-sharing
agreement, ENIAC will sell, install and support the full
suite of PRISM card fraud and merchant fraud detection solutions to its
financial services clients in Venezuela, Colombia and Puerto Rico. “PRISM”
uses self-learning neural network fraud detection models and
bank-specific rules-based technology to help card issuers and retailers
detect fraudulent transactions in real-time. The system compares each
transaction with historical account patterns and confirmed fraud
activity. When the transaction is deemed to be suspicious by the neural
network, or if the transaction matches one of the bank’s pre-defined fraud
detection criteria, it is routed to a fraud analyst for review.
In 2001, ReD processed more than 1 billion card transactions, stopping an
estimated $396 million in fraudulent purchases.
Citibank has introduced an enhanced Internet site for its consumer banking services including credit cards. Citibank.com provides information and access to the breadth and depth of Citibank’s products and services without sacrificing the ease of use that has helped Citibank to consistently earn number one rankings in the industry.
As more results trickle in for the third quarter there is a noticeable contraction in outstandings while volume growth remains strong. The early results add some evidence that consumer credit card behaviors are tilting towards long-term debt moderation. It is expected that many of the nation’s top issuers will report a sluggish third quarter due to continued deterioration in consumer credit quality amidst debt aversion by consumers representing good credit risks. For real-time third quarter results visit CardData ([www.carddata.com]).
(change versus 3Q/01)
ISSUER OUTSTANDINGS VOLUME
Boeing Employees CU $241,219,121 +0.6% $193,608,014 +11.0%
Golden 1 CU $152,471,875 -6.3% $101,763,837 +14.9%
Farm Bureau Bank $ 97,457,776 -0.6% $ 82,573,613 +59.7%
Broward Schools CU $ 51,644,270 -8.0% $ 5,303,790 + 3.9%
Anheuser Busch Emp CU $ 34,200,034 -1.2% $ 24,432,470 + 7.0%
IsraCard Ltd has expanded its relationship with Top Image Systems with
the addition of the “eFLOW” mobile solution for IsraCard’s field sales
force. To sign up a new merchant the sales manager enters all of the
relevant information on the PDA and sends the information via cellular
communications directly to IsraCard’s Oracle-based CRM system. The field
sales manager prints the contract and provides the merchant a copy. In the
meantime, IsraCard’s system authorizes the new contract and the new
business customer can begin to accept credit card payments immediately.
Sales managers can also service existing customers by downloading special
offers to the PDA, checking the business’ monthly sales volumes and
offering lower charges. Top Image Systems partnered with IBM Global
Services to provide the new sales tool. IsraCard markets four business
credit cards including MasterCard, IsraCard, American Express and VISA.
TSYS has selected “PROGNOSIS” by Integrated Research to manage its “HP NonStop” computing environment that implements mission-critical cardholder authorizations applications. The objective of the PROGNOSIS deployment was to replace the company’s “modular” approach to environmental monitoring and management, with a consolidated solution that would expand their capabilities, while enhancing reliability and performance. PROGNOSIS will now manage the 14 production and two development nodes of the NonStop environment supporting the cardholder authorizations applications process.
Dah Sing Bank has launched a “MasterCard Corporate Card” and a “MasterCard
Corporate Purchasing Card.” As part of the product launch, Dah Sing has
signed an agreement with the corporate card unit of GE Consumer Finance
under which multinational customers of “GE Corporate Card,” including 10 GE
businesses with operations in Hong Kong, will be the first organizations to
use the new Dah Sing business card products. The new Dah Sing card programs
offer the latest version of MasterCard’s “Smart Data OnLine” reporting
system which provides corporate customers with comprehensive reporting of
transaction activity, for better tracking of policy compliance by
cardholders and improved vendor negotiations. In addition to the
partnership with MasterCard, Dah Sing also announced its alliance with GE
Corporate Card. whereby Dah Sing
Bank will issue Hong Kong Dollar-denominated corporate cards to GE’s
subsidiaries and clients in the territory. This arrangement will allow GE
to serve its clients with operations in Hong Kong without the complexities
of running a credit card center here. In addition, GE Corporate Card’s
multinational clients will minimize payment of high exchange rates.
A new survey of 1,400 business travelers across the world reveals that, despite the global economic slump, the vast majority expect to maintain or increase their current business travel levels over the next year. The American Express study also found that most corporate travelers have issues with declining airline cabin service and poor accommodations but are more productive thanks to various technology tools. Overall, 71% access the Web or check email daily, while 16% never do and 13% do less than three times per week. The survey also shows that the vast majority of travelers consider cellular phones a premier on-the-road communication tool with 81% saying cell phones are very important or quite important. The AmEx survey revealed that 91% of respondents expect to either maintain or increase their business travel schedules during 2003. Specifically, more than one-third (35%) see the number of trips increasing slightly or significantly, while 56% plan to maintain their current level of trips into next year. Only 9% expect their international travel to decrease.
MBNA issued the following statement Wednesday:
“There is a rumor circulating that MBNA has had to delay its earnings release. We did not have to delay our release and that rumor is absolutely not true. We’ve planned to announce our third quarter earnings on October 17, 2002 for several months and that is the date we will release them.”
MBNA Corporation (NYSE: KRB), a bank holding company and parent of MBNA America Bank, N.A., a national bank, has $100 billion in managed loans. MBNA, the largest independent credit card lender in the world, also provides retail deposit, consumer loan, and insurance products. MBNA.com (http://www.MBNA.com) provides credit card, consumer loan, retail deposit, travel, and shopping services.
Hypercom revised its third quarter forecast yesterday announcing it will report special charges to pre-tax earnings of $16.1 million resulting in an operating loss of $5.0 million, and that revenues will be off by more than $10 million. The news sent Hypercom’s stock down by 32% to close at a new 52-week low of $1.91 per share. Hypercom said its is taken aggressive action to restructure the operations of its POS Terminals and Network Systems Group to improve operating efficiencies, reduce its exposure in Latin America and discontinue activities that are unprofitable and tangential to its core products and services. The company has also started negotiations on the sale of several standalone operations that no longer align with the company’s core business and growth objectives. These unprofitable operations account for a combined operating loss over the last twelve months of $5.2 million on revenues of $26.6 million. The company said the lower third quarter revenues are the result of the delayed release of its new “T7Plus” POS terminal. For complete details on Hypercom’s latest results visit CardData ([www.carddata.com]).