Western Union global payment services and Banco Ahorro Famsa expanded agreements to offer the Western Union global money transfer service across 300 Banco Ahorro Famsa locations. Banco Ahorro Famsa also will offer consumers Vigo and Orlandi Valuta services. Western Union, VigoSM and Orlandi Valuta® services are offered in Mexico through a strategically combined Agent network that include banks, national retail chains and independent locations. The Western Union Company, through its Western Union, Orlandi Valuta and Vigo branded services, connects consumers in Mexico to more than 510,000 Agent locations across 200 countries and territories.
For its ATM network services, Interbank has chosen to implement
IBM services under a $4.26 million agreement. Projected to increase
the Peruvian bank’s network by nearly 38%, in addition to existing ATMs,
IBM will install and provide maintenance on 265 machines. Because of
the increasing ATM network, the bank predicts that 70% of its total
customer transactions will be conducted over the Internet, phone and
through ATMs. This reflects the increased efficiency, customer
convenience and cost reduction of the network development. Interbank
has $2.3 billion dollars in assets and a network of 111 branches, 701
ATMs, and 600 POS retail terminals.
Orlandi Valuta and Vigo have announced the implementation of
remittance services in 215 Soriana and Mercado Soriana grocery stores
throughout Mexico. With this development, consumers can send funds
from Vigo and Orlandi Valuta Agent locations to the 215 Soriana and
Mercado Soriana locations in Mexico to be disbursed on loyalty cards
issued on location. Orlandi Valuta is a subsidiary of The Western Union
Company offering money transfers to Central America and has more than
12,000 locations worldwide, approximately 7,000 of which that offer both
Orlandi Valuta and Western Union services. Vigo Remittance Corp is also
a subsidiary of The Western Union Company and has over 4,000 agents in
45 states in the U.S. and more than 30,000 locations worldwide. Soriana
currently has 234 stores in 108 cities and 29 states in Mexico and six
Contactless payments will streamline customer service at McDonald’s
Mexico. Banamex, a division of Citibank, has announced the deployment of
Verifone’s “MX870” at McDonald’s locations in Mexico. This will allow
customers to pay using the contactless payment system offered by
MasterCard “PayPass” and speed up the payment process at the restaurants’
cash registers. The “MX870” is also useful as a content delivery system
that verifies the customers’ order and offers promotions. To date,
Banamex has issued 10,000 of these contactless cards. The group has a
net distribution of over 1,400 branches and 5,700 ATMs located
throughout the country.
Nuevo Banco Comercial has signed an agreement to affiliate new establishments to the American Express merchant network and issue AmEx-branded products in the local market. This first Uruguayan
partnership for AmEx. Nuevo Banco Comercial has 48 branches and is the top issuer of credit and debit cards in the country. Under terms of the deal, the bank will be responsible for all operations supporting the card as well as acquiring and servicing local merchants accepting the AmEx cards in Uruguay.
Bank of America posted 1500% growth during the first half of this year for its “SafeSend” remittance service which enables customers to send money to Mexico. Currently, BofA maintains relationships with 57% of the Hispanic households in their territory, which accounts for more than $15 million in deposits with BofA. BofA will further address Hispanic customer demand by increasing mass marketing, launching and entry-level account called Nuevo Futuro, maintaining a Spanish-language Web site, and hiring more Spanish-speaking associates.
Bank of America officially became the fourth largest bank credit card issuer during the second quarter thanks to its merger with Fleet and its strong marketing efforts. The issuer opened 1.5 million new credit card accounts during the quarter, and added over $16 billion in card outstandings from Fleet. Pre-tax credit card income more than doubled to $641 million for the quarter. Managed card outstandings increased to $51.99 billion, compared to $30.8 billion one-year ago. Second quarter charge-offs were 5.88%, compared to 5.08% in the prior quarter, and 5.74% one year ago. Managed 30+ day delinquency was 3.86%, compared to 3.75% in the first quarter, and 3.99% for 2Q/03. Managed 90+ day delinquency was 1.76%, compared to 1.81% in the first quarter, and 1.80% for 2Q/03. BofA continues to dominate online banking with more than 11.2 million users, achieving a 48% penetration rate among all customers with a checking account. BofA says customers using online banking are 27% more profitable than those who do not use it. For complete details on Bank of America’s 2Q/04 performance visit CardData ([www.carddata.com]).
BOFA CARD LOAN HISTORICAL
1Q/03 $29.1 billion
2Q/03: $30.8 billion
3Q/03: $33.6 billion
4Q/03: $36.6 billion
1Q/04: $37.3 billion
2Q/04: $52.0 billion
Source: CardData (www.carddata.com)
Cubic Corp. says it is preparing to enter the border security market. Cubic is studying the application of high-security, smart card-based access control systems to increase the efficiency of pedestrian crossings on The Bridge at Las Americas. The system would incorporate biometric technologies such as fingerprint, facial recognition or iris scanning technology to grant or deny access to cardholders based on whether the information on the card matched the physical characteristics of the person at the port of entry.