CT-based Affinion Group has inked a deal with CompUSA to offer its “PrivacyGuard” ID theft protection service. The service will be available at more than 240 CompUSA locations nationwide. The CompUSA “PrivacyGuard” service will offer daily credit monitoring, access to credit reports and scores, and an identity fraud resolution service with insurance. Last month, Affinion launched “PrivacyWatch” with Kroger. The new service will initially be marketed in more than 200 Kroger stores in the Houston and Dallas metropolitan areas. Also in April, Affinion signed a deal to incorporate Edentify’s “IDBenchmark” solution into its product offerings. Additionally, Affinion entered into an exclusive marketing agreement to incorporate CardCops’ “ID Protect” solution into its product offerings. Affinion Group currently offers its programs and services worldwide through more than 4,500 affinity partners worldwide.Details
MasterCard posted a 36% year-on-year increase in net income for the first quarter to $126.7 million, following a fourth quarter loss of $53 million. Revenues climbed to $739 million, a 12% gain over 1Q/06, driven by higher volume and pricing changes that went into effect on April 1st of 2005 but offset by currency fluctuations. Advertising and market development expenses grew 6.4% versus the same time period in 2005. General and administrative expenses rose 13% in 1Q/06, compared to one-year ago. As of March 31st, MasterCard’s customer banks issued 772.4 million MasterCard cards. MasterCard is currently preparing for an IPO. MasterCard Inc. plans to offer up to 61.5 million shares for between $40 and $43 a share and will be listed on the NYSE under the symbol “MA.” For complete details on MasterCard’s first quarter performance, visit CardData (www.carddata.com).Details
Lighthouse Credit Foundation has settled FTC charges that it deceptively marketed itself as a not-for-profit enterprise providing debt management plans and then failed to deliver on promises of personalized credit counseling and interest rate reductions. Under proposed settlements, Lighthouse Credit Foundation Inc. and its co-defendants will pay more than $2.4 million in consumer redress, and they are prohibited from making deceptive claims about credit counseling or debt management services.Details
Maybank and American Express have signed a Business Transfer Agreement
related to the sale and licensing of American Express’s consumer card,
corporate card and merchant acquiring service business in Malaysia.
The agreement provides a framework for discussion to eventually enter into
a final independent operator agreement, in which Maybank will be the
issuer and manager of the charge card and merchant acquiring business of
American Express in Malaysia. Under a separate arrangement, Maybank has
been issuing the Maybank-American Express credit card in Malaysia since
Hypercom posted a 20.5% increase in revenue for the first quarter of $61 million. The terminal maker says its Mercosul and Latino product and service businesses drove the gain. Income before discontinued operations for the first quarter was $2.8 million, compared to an operating loss of $6.6 million in the same quarter of 2005. Operating expenses were down nearly $5 million over the year ago quarter due to management restructuring, headcount reduction, the off-shoring of select software research and development and the elimination of redundant facilities and infrastructure, among other cost management activities. During the first quarter, the Company introduced the 32-bit, 7.1 ounce wireless “Optimum M4100 Blade,” universal contactless “P4100 PIN Pad” and “Optimum L4200” and “L4250” for multi-lane retail and financial markets. The Company also signed relationships during the first quarter with Catuity, EVO Merchant Services, U.S Bankcard Services and Communications Intelligence Corp. For complete details on Hypercom’s first quarter results, visit CardData ([www.carddata.com]).
Maine-based fuel card specialist Wright Express reported total revenue for the first quarter of $64.6 million, a 24% jump over 1Q/05. Net income for the first quarter was $11.4 million, compared with a net loss of $18.5 million for the comparable quarter last year. Total fuel transactions processed increased 11% to 58.1 million. Payment processing transactions increased 16% to 43.5 million, and transaction processing transactions decreased 3% to 14.6 million. The average expenditure per payment processing transaction grew to $48.63, an increase of 25% from the same period last year. Total MasterCard purchase volume for 1Q/06 grew 5% to $269.4 million. For complete details on Wright Express’ first quarter performance,visit CardData ([www.carddata.com]).
Alliance Data Systems has completed the issuance of asset-backed notes worth an aggregate principal amount of $500 million. The notes are rated AAA through BBB, or its equivalent, by each of Standard and Poor’s, Moody’s, and Fitch, and are secured by a beneficial interest in a pool of receivables that arise under WFNNB’s private label revolving credit card accounts. Alliance Data is a provider of transaction, credit and marketing services.Details
Diebold has introduced “ATM Office Suite” which includes five individual modules: “Campaign Office,” “ATM Journal Office,” “Remote Office,” “ATM Management Office,” and “ATM Security Office”. “Campaign Office” is a server-based solution that provides enhanced ATM screen content. “Remote Office” provides customized, remote-control software. “ATM Security Office” helps financial institutions build an appropriate firewall, “ATM Management Office” provides software modules to integrate asset and site management from a centralized database and “ATM Journal Office” delivers a solution for interacting with electronic journal data.Details
Over the past five years ATM crime has increased 121% and last year produced losses exceeding GBP 8.5 million. Of the 879 physical attacks on ATMs during 2005, more than 100 were cash-in-transit guards replenishing ATMs, mostly involving extreme violence. In 19% of the incidents the ATM was removed from the premises. As a result, the BBA, Building Societies Association and the ATM Security Working Group have joined forces to raise awareness of ATM crime. The group has appealed to the Chief Constables in all UK Police Forces for help. The group has also issued appeals for assistance from the private sector.Details
A new survey has found that the majority of the critical “Gen X” and “Gen Y” demographic believes that using mobile phones as payment devices is unnecessary. About 38% of this group indicate that they do not use their phones enough to make it worthwhile. The study by Market Platform Dynamics also found that more than 60% of those surveyed would not pay with contactless fobs, citing security concerns. By contrast, only 4% of “Gen X” and “Gen Y” have security concerns with existing payment devices. MPD says rewards drive the acquisition of payment devices, but not the decision to use a particular payment device at the point of sale. The research found that men in “Gen X” and “Gen Y” tend to be more motivated by rewards than women.Details