In Other News: VISA (Europe); FICO (milestone); PACKAGED (wallets); and DCS (Blackhawk).
VISA – Visa says in response to feedback received from the European Commission, the Company and Visa Europe it has reached preliminary agreement to amend their Transaction Agreement to eliminate the earn-out portion of the transaction consideration. The terms of the transaction remain otherwise unchanged. Instead of an earn-out, the cash consideration payable in the transaction will be increased by €1.75 billion: €750 million payable upon closing, and €1.0 billion, plus 4% compound annual interest, payable on the third anniversary of closing.
FICO – To celebrate National Financial Literacy Month, analytics software firm FICO reports its FICO Score Open Access program has surpassed a major milestone in consumer financial empowerment – more than 150 million consumer credit and loan accounts in the US now include free access to the FICO Scores used by lenders to manage those accounts. Wells Fargo and Bank of America are participating in the program, which includes credit card issuers, mortgage servicers, auto lenders, and student loan providers.
PACKAGED – Packaged Facts’ December 2015 survey results show 48% of adult smartphone users who have used their phone to make a payment at the point of sale in the past 12 months say that they carry fewer cards than they used to carry a result of using mobile payments; the tendency to carry fewer cards to make payments is higher among Millennials, already a credit card usage trouble spot; and cards are getting winnowed out. Not good, unless you’re near the top of the wallet.
DCS – Digital Currency Systems (DCS) announced the availability of an integration with Blackhawk Network to streamline the process of buying back gift cards. Blackhawk’s technology to exchange and underwrite the transaction combined with Digital Currency Systems’ powerful point of sale system and distribution channel create a streamlined and robust avenue for customers to receive cash in exchange for their privately labeled gift card.