First Data and Fidelity Information Services have struck an alliance to integrate FDC’s credit card processing capabilities with HELOCs serviced on Fidelity’s “Mortgage Servicing Package” software. The joint credit card offering will support data exchanges between MSP and FDC’s system for the purpose of setting up, maintaining, enabling transaction flow and posting and reporting on credit card-enabled HELOCs. PHH Mortgage has become the first client of the credit card processing option for HELOCs serviced on MSP. The standard HELOC subsystem to MSP, including the optional credit card processing component, is targeted for completion in the second half of 2005.
The cumulative total stockholder return value of First Data’s stock increased by 74% since December 1999, compared to a slight loss for companies in its peer group and by the “S&P 500 Index.” FDC’s Chairman and CEO, earned $5.37 million last year, compared to $4.81 million in 2003. Charles Fote also received $3.3 million in stock options for 2004. Scott Betts, President/Enterprise Payments, earned $1.12 million last year, a 47% gain over 2003. Betts also received $1.3 million in stock options. Michael D’Ambrose, EVP/HR, received $1.23 million for 2004, a 19% increase over the prior year. D’Ambrose also received $1.3 million on stock options. Christina Gold, President/Western Union Financial Services, earned $1.12 million in 2004, compared to $1.02 million for 2003. Gold also received $1.3 million in stock options. Pamela Patsley, President/First Data International, earned $2.3 million last year compared to $2.15 million in 2003. Patsley also received $1.3 million in stock options. First Data reported net income for full-year 2004 of $1.88 billion, compared to $1.41 billion for 2003. For complete details on First Data’s latest results, visit CardData ([www.carddata.com]). (CF Library 1/27/05)
CO-based Chex Services has signed a marketing agreement with NV-based Ditronics Financial Services for credit and debit card cash advance services, multi-function ATMs, check cashing, stored value cards and money remittance services. As part of the agreement, Ditronics will be marketing Chex’s product lines including full financial service booth operations, credit and debit card cash advance including CreditGuard, multi-function ATMs, check cashing including the ChexGuard electronic check conversion and check guarantee, stored value cards and money remittance services. FastFunds Financial Corporation is a holding company operating through its wholly owned subsidiaries, Chex Services, Inc. of Minnetonka, Minnesota, and FastFunds International, Inc. based in London, England.Equitex, Inc. is a holding company operating through its majority-owned, publicly traded subsidiary FastFunds Financial Corporation (OTCBB: FFFC) of Minnetonka, Minnesota, as well as its majority-owned subsidiary Denaris Corporation.
CO-based Equitex reported third quarter revenues of $4,371,927 a decline of 11% from one-year ago.
Home Credit & Finance Bank Russia has signed an agreement with Prague-based MUZO for payment card processing and issuing services
for the Bank’s new, revolving consumer credit program. MUZO, the largest indirect payment processor in the Czech Republic, will integrate a comprehensive front and back office solution for HCFB’s new program based on MasterCard’s PIN-based “Maestro” card. MUZO’s services
will include: authorization for ATM and POS transactions, as well as card personalization and related card management and distribution
solutions of the issued cards including PIN related support services.
HCFB is the second largest provider of consumer credit in Russia.
Global Payments is majority owner of MUZO.
Global Cash Access announced the recapitalization of its holding company’s ownership in a private equity transaction involving a $316 million investment led by Summit Partners. The investment comes at a time of rapid growth for the eight-year-old firm. GCA has grown to more than $400 million in revenue since its inception in 1996, and today the company is recognized as the leader in its industry. Global Cash Access is the global leader in providing cash access and customer relationship marketing services to approximately 960 gaming properties and other clients in the United States, Canada, Caribbean and Europe. Summit Partners is a leading private equity and venture capital firm. The firm has a capital base of more than $5.5 billion, with offices in Boston, Palo Alto, and London.
WA-based Coinstar has acquired Chicago-based CellCards, formerly a majority-owned subsidiary of American Payment Systems. CellCards, founded in 1998, offers a prepaid products including wireless, long distance and MasterCard cards and has multi-year agreements with national drug store retailers CVS, Eckerds, and Walgreen. Coinstar say the acquisition adds new drug store point-of-sale locations, and combined with Coinstar’s existing kiosk network, brings the Company’s total number of distribution points to approximately 25,000 in North America. As part of the acquisition, Coinstar has engaged the services of ATM industry veteran and founder of Cash Resources, Sam Jonas, to accelerate the integration and expansion of the CellCards’ business. The management team of CellCards has signed employment agreements with Coinstar and will continue to operate the business based in Chicago.
Seattle-based Upgrade International confirmed Friday it has lost control of UltraCard, Inc. and has signed an agreement to acquire 30% of StorCard, Inc. Under the terms of the credit facility, the outstanding principal balance was convertible, at the option of the Lender, into shares of common equity of UltraCard representing a 51% ownership interest. The Lender converted its loan into UltraCard common stock and sold its position to Gold, Inc. of Metropolitan Dallas, Texas. StorCard Inc. is an innovative developer and provider of breakthrough products expanding the market applications in enterprise, consumer electronics, government, healthcare and financial services for intelligent, secure, and portable information. Upgrade International Corporation through its ownership interest in high capacity smartcard related organizations is engaged in the development and commercialization of high-capacity portable solutions for a broad range of existing and new markets.
HN Financial, a division of Hospitality Network and subsidiary of Saskatchewan Crown communications company SaskTel, has committed to Keycorp’s “K23” platform for deployment with merchants across Canada. HN Financial has already ordered 200 K23s and is actively promoting the Keycorp platform as its flagship POS terminal solution. HN Financial offers merchants the opportunity to use the POS terminals to generate revenue by charging their customers a service fee or a surcharge per debit transaction. Keycorp Canada, located in Toronto, Ontario, Canada is a wholly owned subsidiary of Keycorp Limited based in Chatswood, Australia.
Equitex and its Chex Services subsidiary says it will introduce Wells Fargo’s “VISA POS Check Service” at each of its check cashing locations beginning in October. Chex will utilize the system provided by Wells Fargo & Co., which announced introduction of this service on July 14, 2003. Visa’s POS Check service will enhance the check cashing experience for Chex’s customers by expediting service, and help Chex reduce check-processing costs. The Visa POS Check service allows any establishment that accepts checks to authorize them instantly with real-time verification of the check writer’s account information. The checks are then instantly converted into an electronic transaction and sent through VisaNet.
MasterCard and Velosant have teamed to integrate the MasterCard “Corporate Purchasing Card” into the Velosant’s “BillingZone” electronic invoice presentment and payment services as part of the “MasterCard e-P3” program. Velosant is the newly created enterprise payments company launched by eONE Global and First Data last week. The combined solution of MasterCard and Velosant, announced this morning, will electronically close the loop of the entire purchase-to-pay cycle, representing a significant cost savings for businesses by automating processes while ensuring that “Level 3” data is passed from suppliers to buyers in each transaction. MasterCard says its “e-P3” program, which was introduced in April, helps commercial card issuers to differentiate themselves from their competitors, while providing an effective tool for increasing the volume and transaction level of their business customers’ purchasing card programs. (CF Library 4/7/03; 6/6/03)
eONE Global LP has formed a new enterprise payments company and has named former PeopleSoft executive Bill Walsh as CEO. Walsh also formerly served as president and COO of E.piphany. The new Velosant company will include the operations of the existing BillingZone unit of eONE Global. Velosant will also leverage the scale and infrastructure of First Data to facilitate both paper and electronic transactions as well as create a critical mass network of buyers and sellers to accelerate vendor adoption of automation. The company’s customer base includes Procter and Gamble, Kennametal, Xerox, Diebold and BASF. eONE Global is majority-owned by First Data.