Tuesday, April 20, 2010

Cybercrime's Financial and Geographic Growth Shows No Slowdown During the Global Economic Crisis



  
Symantec Blocks an Average of 100 Potential Attacks per Second in 2009



MOUNTAIN VIEW, CA--(Marketwire - April 20, 2010) -  Symantec Corp. (NASDAQSYMC) today released its new Internet Security Threat Report volume XV, which highlights key trends in cybercrime from Jan. 1, 2009 to Dec. 31, 2009. In a year bookended by two very prominent Cyber attacks -- Conficker in the opening months of the year and Hydraq at the very end -- Symantec's Internet Security Threat Report reveals continued growth in both the volume and sophistication of cybercrime attacks.
"Attackers have evolved from simple scams to highly sophisticated espionage campaigns targeting some of the world's largest corporations and government entities," said Stephen Trilling, senior vice president, Security Technology and Response, Symantec. "The scale of these attacks and the fact that they originate from across the world, makes this a truly international problem requiring the cooperation of both the private sector and world governments."
Notable trends highlighted in this year's report include:
  • An increase in the number of targeted threats focused on enterprises. Given the potential for monetary gain from compromised corporate intellectual property (IP), cybercriminals have turned their attention toward enterprises. The report found that attackers are leveraging the abundance of personal information openly available on social networking sites to synthesize socially engineered attacks on key individuals within targeted companies. Hydraq gained a great deal of notoriety at the beginning of 2010, but was only the latest in a long line of such targeted attacks including Shadow Network in 2009 and Ghostnet in 2008.

  • Attack toolkits make cybercrime easier than ever. Cybercrime attack toolkits have lowered the bar to entry for new cybercriminals, making it easy for unskilled attackers to compromise computers and steal information. One such toolkit called Zeus (Zbot), which can be purchased for as little as $700, automates the process of creating customized malware capable of stealing personal information. Using kits like Zeus, attackers created literally millions of new malicious code variants in an effort to evade detection by security software.

  • Web-based attacks continued to grow unabated. Today's attackers leverage social engineering techniques to lure unsuspecting users to malicious websites. These websites then attack the victim's Web browser and vulnerable plug-ins normally used to view video or document files. In particular, 2009 saw dramatic growth in the number of Web-based attacks targeted at PDF viewers; this accounted for 49 percent of observed Web-based attacks. This is a sizeable increase from the 11 percent reported in 2008.

  • Malicious activity takes root in emerging countries. The report saw firm signs that malicious activity is now taking root in countries with an emerging broadband infrastructure, such as Brazil, India, Poland, Vietnam and Russia. In 2009, these countries moved up the rankings as a source and target of malicious activity by cybercriminals. The findings from the report suggest that government crackdowns in developed countries have led cybercriminals to launch their attacks from the developing world, where they are less likely to be prosecuted.

Other ISTR Highlights:
  • Malicious code is more rampant than ever. In 2009, Symantec identified more than 240 million distinct new malicious programs, a 100 percent increase over 2008. 

  • Top threats. The Sality.AE virus, the Brisv Trojan and the SillyFDC worm were the threats most frequently blocked by Symantec security software in 2009.

  • Downadup (Conficker) still very prevalent. It was estimated that Downadup was on more than 6.5 million PCs worldwide at the end of 2009. Thus far, machines still infected with Downadup/Conficker have not been utilized for any significant criminal activity, but the threat remains a viable one.

  • Compromised identity information continues to grow. Sixty percent of all data breaches that exposed identities were the result of hacking. In a sign that this issue is not limited to a few larger enterprises, the Symantec State of Enterprise Security Report 2010reported that 75 percent of enterprises surveyed experienced some form of cyber attack in 2009.

  • Another turbulent year for spam. In 2009, spam made up 88 percent of all e-mail observed by Symantec, with a high of 90.4 percent in May and a low of 73.7 percent in February. Of the 107 billion spam messages distributed globally per day on average, 85 percent were from botnets. The 10 major bot networks, including CutwailRustock andMega-D now control at least 5 million compromised computers. Throughout 2009, Symantec saw botnet infected computers being advertised in the underground economy for as little as 3 cents per computer.

  • Applying security patches continues to be a challenge for many users. The report found that maintaining a secure, patched system became more challenging than ever in 2009. Moreover, many users are failing to patch even very old vulnerabilities. For example, the Microsoft Internet Explorer ADODB.Stream Object File Installation Weaknesswas published on August 23, 2003, and fixes have been available since July 2, 2004, yet it was the second-most attacked Web-based vulnerability in 2009.

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About the Symantec Internet Security Threat ReportThe Internet Security Threat Report is derived from data collected by tens of millions of Internet sensors, first-hand research, and active monitoring of hacker communications, and it provides a global view of the state of Internet Security. The study period for the Internet Security Threat Report XV covers January 2009 to December 2009.
About Security Technology and ResponseThe Symantec Internet Security Threat Report is created by the Security Technology and Response (STAR) organization. STAR, which includes Security Response, is a worldwide team of security engineers, threat analysts, and researchers that provides the underlying functionality, content, and support for all Symantec corporate and consumer security products. With Response centers located throughout the world, STAR monitors malicious code reports from more than 133 million systems across the Internet, received data from 240,000 network sensors in more than 200 countries, and tracks more than 35,000 vulnerabilities affecting more than 80,000 technologies from more than 11,000 vendors. The team uses this vast intelligence to develop and deliver the world's most comprehensive security protection.
About Symantec Symantec is a global leader in providing security, storage and systems management solutions to help consumers and organizations secure and manage their information-driven world. Our software and services protect against more risks at more points, more completely and efficiently, enabling confidence wherever information is used or stored. More information is available atwww.symantec.com.
NOTE TO EDITORS: If you would like additional information on Symantec Corporation and its products, please visit the Symantec News Room at http://www.symantec.com/news. All prices noted are in U.S. dollars and are valid only in the United States.
Symantec and the Symantec Logo are trademarks or registered trademarks of Symantec Corporation or its affiliates in the U.S. and other countries. Other names may be trademarks of their respective owners.
CONTACT:

Yunsun Wee

Symantec Corp.

+1 (424) 750 7582

ywee@symantec.com 



Dominic Cook

Symantec Corp.

+44 (0) 118 943 6384

dominic_cook@symantec.com


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ETA Announces Four Award Winners





The Electronic Transactions Association annouced four award winners at the association's annual President's Dinner April 12.



The Strawhecker Group was named ETA's Business Partner of the Year and



Todd Ablowitz, president of Double Diamond Group, was named Member of the Year.



ETA's ISO of the Year Award went to ProPay, while



The annual Technology Innovation Award went to ROAM Data.


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ETA Announces Four Award Winners





The Electronic Transactions Association annouced four award winners at the association's annual President's Dinner April 12.



The Strawhecker Group was named ETA's Business Partner of the Year and



Todd Ablowitz, president of Double Diamond Group, was named Member of the Year.



ETA's ISO of the Year Award went to ProPay, while



The annual Technology Innovation Award went to ROAM Data.


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ProPay Named ETA "ISO of the Year"



http://www.propay.com
-ProPay Receives Prestigious Award for Contributing to the Advancement of the Payment Industry, Providing Innovative Products and Services, Driving Growth and Maintaining Excellent Ethics-
LEHI, Utah--(BUSINESS WIRE)--ProPay (www.propay.com), an industry leader in End-to-End Payment Securitycredit card processing, and electronic payment services, is pleased to announce it has been selected as the 2010 ETA “ISO of the Year”. This announcement came during the President’s Dinner last week at the 2010 Electronic Transactions Association (ETA) Annual Meeting and Expo in Las Vegas, NV.
“Being named ISO of the Year is a tremendous honor”
“ProPay is a pioneer in data security and PCI compliance. They have moved the payments industry forward by using technology to increase merchant compliance and manage risk. They've also exhibited a strong commitment to alternative payments and other value-added strategies. For these reasons ETA is proud to name ProPay as the recipient of ETA's ISO of the YEAR Award,” said Carla Balakgie, CEO, Electronic Transactions Association.
“Being named ISO of the Year is a tremendous honor,” said Gary Goodrich, President and CEO of ProPay. “Our focus has always been on providing simple, safe and affordable merchant payment solutions. As a result, we were one of the first companies to recognize the need for End-to-End Payment Security utilizing encryption and tokenization. Our ProtectPay® product was one of the first commercially viable payment security solutions in the industry to offer these capabilities. We are pleased to be a member of the ETA and to have our efforts recognized with this prestigious award.”
For more information about ProPay’s End-to-End suite of products and services, visit www.propay.com.
About ProPay
Since 1997, ProPay has led the market in providing simple, safe and affordable credit card processing and electronic payment services for businesses ranging from the small, home-based entrepreneur to multi-billion-dollar enterprises. ProPay is leading the industry as a provider of complete End-to-End Payment Security solutions through robust encryption and tokenization which reduces, and may even eliminate, the business’ risk of having sensitive payment data compromised. ProPay is a privately held company, headquartered in Lehi, Utah. For information, visitwww.propay.com/pressroom.
About ETA
The Electronic Transactions Association is an international trade association representing companies who offer electronic transaction processing products and services. The purpose of ETA is to influence, monitor and help shape the merchant acquiring industry by providing leadership through education, advocacy and the exchange of information. ETA's membership spans the breadth of the payments industry from financial institutions to transaction processors to independent sales organizations (ISOs) to equipment suppliers.

Contacts

ProPay, Inc.

Scott Nelson

Scott.nelson@propay.com

(801) 341-5660

or

Snapp Conner PR

Clay Blackham or Josh Berndt

clay@snappconner.com or josh@snappconner.com

(801) 994-9625
Permalink: http://www.businesswire.com/news/home/20100420005793/en/ProPay-Receives-2010-Electronic-Transactions-Association-ETA


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ProPay Named ETA "ISO of the Year"



http://www.propay.com
-ProPay Receives Prestigious Award for Contributing to the Advancement of the Payment Industry, Providing Innovative Products and Services, Driving Growth and Maintaining Excellent Ethics-
LEHI, Utah--(BUSINESS WIRE)--ProPay (www.propay.com), an industry leader in End-to-End Payment Securitycredit card processing, and electronic payment services, is pleased to announce it has been selected as the 2010 ETA “ISO of the Year”. This announcement came during the President’s Dinner last week at the 2010 Electronic Transactions Association (ETA) Annual Meeting and Expo in Las Vegas, NV.
“Being named ISO of the Year is a tremendous honor”
“ProPay is a pioneer in data security and PCI compliance. They have moved the payments industry forward by using technology to increase merchant compliance and manage risk. They've also exhibited a strong commitment to alternative payments and other value-added strategies. For these reasons ETA is proud to name ProPay as the recipient of ETA's ISO of the YEAR Award,” said Carla Balakgie, CEO, Electronic Transactions Association.
“Being named ISO of the Year is a tremendous honor,” said Gary Goodrich, President and CEO of ProPay. “Our focus has always been on providing simple, safe and affordable merchant payment solutions. As a result, we were one of the first companies to recognize the need for End-to-End Payment Security utilizing encryption and tokenization. Our ProtectPay® product was one of the first commercially viable payment security solutions in the industry to offer these capabilities. We are pleased to be a member of the ETA and to have our efforts recognized with this prestigious award.”
For more information about ProPay’s End-to-End suite of products and services, visit www.propay.com.
About ProPay
Since 1997, ProPay has led the market in providing simple, safe and affordable credit card processing and electronic payment services for businesses ranging from the small, home-based entrepreneur to multi-billion-dollar enterprises. ProPay is leading the industry as a provider of complete End-to-End Payment Security solutions through robust encryption and tokenization which reduces, and may even eliminate, the business’ risk of having sensitive payment data compromised. ProPay is a privately held company, headquartered in Lehi, Utah. For information, visitwww.propay.com/pressroom.
About ETA
The Electronic Transactions Association is an international trade association representing companies who offer electronic transaction processing products and services. The purpose of ETA is to influence, monitor and help shape the merchant acquiring industry by providing leadership through education, advocacy and the exchange of information. ETA's membership spans the breadth of the payments industry from financial institutions to transaction processors to independent sales organizations (ISOs) to equipment suppliers.

Contacts

ProPay, Inc.

Scott Nelson

Scott.nelson@propay.com

(801) 341-5660

or

Snapp Conner PR

Clay Blackham or Josh Berndt

clay@snappconner.com or josh@snappconner.com

(801) 994-9625
Permalink: http://www.businesswire.com/news/home/20100420005793/en/ProPay-Receives-2010-Electronic-Transactions-Association-ETA


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Japanese Internet Bank Selects TSYS as Processing Partner



 TSYSCOLUMBUS, Ga. & TOKYO--(BUSINESS WIRE)--TSYS announced today that it was selected by SBI Sumishin Net Bank (SSNB), one of the leading internet-based banks in Japan, to process its payment card portfolio. TSYS will provide processing and back-office operation services for SSNB to issue cards to consumers, including retail membership cards, a proprietary private-label credit card and association-branded credit cards.
“As a newcomer in the cards industry, we found confidence in TSYS’ partnership approach to the business”
As an internet-based bank, SSNB has more than 750,000 accounts and plans to use its partnership with TSYS as a means to aggressively expand its card business.
“SBI Sumishin Net Bank leads the Japanese internet banking market with its innovative products and services,” said Gaylon Jowers, president of TSYS International. “TSYS is delighted to offer a full range of support for SSNB’s entry into the card business, in both system processing and back-office operations.”
“As a newcomer in the cards industry, we found confidence in TSYS’ partnership approach to the business,” said Tohru Nitadori, general manager of SBI Sumishin Net Bank’s card business division. “The dependability of TSYS’ processing platform will enable us to concentrate on new cardholder acquisition and new program introduction, and we look forward to calling on TSYS for its extensive knowledge and expertise in day-to-day operational matters including call center operations.”
“We believe the value of outsourcing has been proven time and time again in the Japanese card industry,” said Hitoshi Kondo, managing director of TSYS Japan. “We are strongly committed to our Japanese team and support its mission to meet the increased needs and expectation of clients.”
A conversion is expected in April of 2010.
About SBI Sumishin Net Bank
SBI Sumishin Net Bank (SSNB) is an Internet bank jointly established as an innovative customer-oriented new bank by SBI Holdings and The Sumitomo Trust Bank. As of end March 2010, the number of account surpassed 750,000, and the balance outstanding is 1.2 trillion yen. It offers full-banking services on 24 hours a day, 365 days a year, including various deposit transactions of yen and foreign currencies and fund settlement services as well as loan transactions including house and card loans. SSNB provides a wide variety of finance-related services including securities, life insurance, non-life insurance, credit cards, real estate, eCommerce settlement and asset management /control in response to various needs of customers.
About TSYS
TSYS (NYSE: TSS) is one of the world’s largest companies for outsourced payment services, offering a broad range of issuer- and acquirer-processing technologies that support consumer-finance, credit, debit, healthcare, loyalty and prepaid services for financial institutions and retail companies in the Americas, EMEA and Asia-Pacific regions. For more information contactnews@tsys.com or log on to www.tsys.com. TSYS routinely posts all important information on its Web site.

Contacts

TSYS Media Relations

Cyle Mims, +1-706-644-3110

cylemims@tsys.com

or

TSYS Investor Relations

Shawn Roberts, +1-706-644-6081

shawnroberts@tsys.com

At A Glance











TSYS
Source: via Business Wire
Updated   07/07/2009   by company
Headquarters:Columbus, GA
Website:http://www.tsys.com
CEO:Philip Tomlinson
Employees:8,110
Ticker:TSS  (NYSE)
Revenues:$1.9 billion (2008)
Net Income:$250 million (2008)
Permalink: http://www.businesswire.com/news/home/20100420005364/en/Japanese-Internet-Bank-Selects-TSYS-Processing-Partner


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Japanese Internet Bank Selects TSYS as Processing Partner



 TSYSCOLUMBUS, Ga. & TOKYO--(BUSINESS WIRE)--TSYS announced today that it was selected by SBI Sumishin Net Bank (SSNB), one of the leading internet-based banks in Japan, to process its payment card portfolio. TSYS will provide processing and back-office operation services for SSNB to issue cards to consumers, including retail membership cards, a proprietary private-label credit card and association-branded credit cards.
“As a newcomer in the cards industry, we found confidence in TSYS’ partnership approach to the business”
As an internet-based bank, SSNB has more than 750,000 accounts and plans to use its partnership with TSYS as a means to aggressively expand its card business.
“SBI Sumishin Net Bank leads the Japanese internet banking market with its innovative products and services,” said Gaylon Jowers, president of TSYS International. “TSYS is delighted to offer a full range of support for SSNB’s entry into the card business, in both system processing and back-office operations.”
“As a newcomer in the cards industry, we found confidence in TSYS’ partnership approach to the business,” said Tohru Nitadori, general manager of SBI Sumishin Net Bank’s card business division. “The dependability of TSYS’ processing platform will enable us to concentrate on new cardholder acquisition and new program introduction, and we look forward to calling on TSYS for its extensive knowledge and expertise in day-to-day operational matters including call center operations.”
“We believe the value of outsourcing has been proven time and time again in the Japanese card industry,” said Hitoshi Kondo, managing director of TSYS Japan. “We are strongly committed to our Japanese team and support its mission to meet the increased needs and expectation of clients.”
A conversion is expected in April of 2010.
About SBI Sumishin Net Bank
SBI Sumishin Net Bank (SSNB) is an Internet bank jointly established as an innovative customer-oriented new bank by SBI Holdings and The Sumitomo Trust Bank. As of end March 2010, the number of account surpassed 750,000, and the balance outstanding is 1.2 trillion yen. It offers full-banking services on 24 hours a day, 365 days a year, including various deposit transactions of yen and foreign currencies and fund settlement services as well as loan transactions including house and card loans. SSNB provides a wide variety of finance-related services including securities, life insurance, non-life insurance, credit cards, real estate, eCommerce settlement and asset management /control in response to various needs of customers.
About TSYS
TSYS (NYSE: TSS) is one of the world’s largest companies for outsourced payment services, offering a broad range of issuer- and acquirer-processing technologies that support consumer-finance, credit, debit, healthcare, loyalty and prepaid services for financial institutions and retail companies in the Americas, EMEA and Asia-Pacific regions. For more information contactnews@tsys.com or log on to www.tsys.com. TSYS routinely posts all important information on its Web site.

Contacts

TSYS Media Relations

Cyle Mims, +1-706-644-3110

cylemims@tsys.com

or

TSYS Investor Relations

Shawn Roberts, +1-706-644-6081

shawnroberts@tsys.com

At A Glance











TSYS
Source: via Business Wire
Updated   07/07/2009   by company
Headquarters:Columbus, GA
Website:http://www.tsys.com
CEO:Philip Tomlinson
Employees:8,110
Ticker:TSS  (NYSE)
Revenues:$1.9 billion (2008)
Net Income:$250 million (2008)
Permalink: http://www.businesswire.com/news/home/20100420005364/en/Japanese-Internet-Bank-Selects-TSYS-Processing-Partner


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Heartland Payment Systems® and MICROS Renew Business Relationship

MICROS Systems, Inc.


Companies reach settlement and begin product integration

PRINCETON, N.J. & COLUMBIA, Md.--(BUSINESS WIRE)--Heartland Payment Systems® (NYSE: HPY) and MICROS Systems, Inc. (NASDAQ:MCRS) have reached an amicable settlement of a 2007 lawsuit, and have concluded a restructured and expanded business relationship in which they are now working together to bring new payments solutions to the restaurant, lodging, and retail industries.
Heartland, one of the nation’s largest payments processors, is the National Restaurant Association’s official preferred provider of card processing, payroll, check management, tip management and gift marketing services (www.gofullcourse.com) and the official preferred provider of card processing, payroll, check management and tip management services for the American Hotel & Lodging Association. MICROS is a leading provider of information technology solutions for the hospitality and retail industries.
The two companies are finalizing development of interfaces that will better integrate their respective products. Heartland and MICROS are also collaborating on other product innovations designed to protect transactions originated by MICROS’s Simphony platform, an enterprise, service-oriented architecture POS product for the hospitality industry, with E3™. E3 is Heartland’s end-to-end security solution designed to protect cardholder data from the moment of swipe, to and through its processing network, and to participating card brands.
Initial development work integrating Heartland’s processing and MICROS’s POS system is expected to be completed in summer 2010.
About Heartland Payment Systems
Heartland Payment Systems, Inc. (NYSE: HPY), the 5th largest payments processor in the United States, delivers credit/debit/prepaid card processingpayrollcheck management and payments solutions to more than 250,000 business locations nationwide. Heartland is the founding supporter of The Merchant Bill of Rights, a public advocacy initiative that educates merchants about fair credit and debit card processing practices. For more information, please visit HeartlandPaymentSystems.comMerchantBillOfRights.orgCostOfABurger.com and E3secure.com.
About MICROS Systems, Inc.
MICROS Systems, Inc. provides enterprise applications for the hospitality and retail industries worldwide. Over 330,000 MICROS systems are currently installed in table and quick service restaurants, hotels, motels, casinos, leisure and entertainment, and retail operations in more than 130 countries, and on all seven continents. In addition, MICROS provides property management systems, central reservation and customer information solutions under the brand MICROS-Fidelio for more than 25,000 hotels worldwide, as well as point-of-sale, loss prevention, and cross-channel functionality through its MICROS-Retail division for more than 90,000 retail stores worldwide. MICROS stock is traded through NASDAQ under the symbol MCRS.


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Heartland Payment Systems® and MICROS Renew Business Relationship

MICROS Systems, Inc.


Companies reach settlement and begin product integration

PRINCETON, N.J. & COLUMBIA, Md.--(BUSINESS WIRE)--Heartland Payment Systems® (NYSE: HPY) and MICROS Systems, Inc. (NASDAQ:MCRS) have reached an amicable settlement of a 2007 lawsuit, and have concluded a restructured and expanded business relationship in which they are now working together to bring new payments solutions to the restaurant, lodging, and retail industries.
Heartland, one of the nation’s largest payments processors, is the National Restaurant Association’s official preferred provider of card processing, payroll, check management, tip management and gift marketing services (www.gofullcourse.com) and the official preferred provider of card processing, payroll, check management and tip management services for the American Hotel & Lodging Association. MICROS is a leading provider of information technology solutions for the hospitality and retail industries.
The two companies are finalizing development of interfaces that will better integrate their respective products. Heartland and MICROS are also collaborating on other product innovations designed to protect transactions originated by MICROS’s Simphony platform, an enterprise, service-oriented architecture POS product for the hospitality industry, with E3™. E3 is Heartland’s end-to-end security solution designed to protect cardholder data from the moment of swipe, to and through its processing network, and to participating card brands.
Initial development work integrating Heartland’s processing and MICROS’s POS system is expected to be completed in summer 2010.
About Heartland Payment Systems
Heartland Payment Systems, Inc. (NYSE: HPY), the 5th largest payments processor in the United States, delivers credit/debit/prepaid card processingpayrollcheck management and payments solutions to more than 250,000 business locations nationwide. Heartland is the founding supporter of The Merchant Bill of Rights, a public advocacy initiative that educates merchants about fair credit and debit card processing practices. For more information, please visit HeartlandPaymentSystems.comMerchantBillOfRights.orgCostOfABurger.com and E3secure.com.
About MICROS Systems, Inc.
MICROS Systems, Inc. provides enterprise applications for the hospitality and retail industries worldwide. Over 330,000 MICROS systems are currently installed in table and quick service restaurants, hotels, motels, casinos, leisure and entertainment, and retail operations in more than 130 countries, and on all seven continents. In addition, MICROS provides property management systems, central reservation and customer information solutions under the brand MICROS-Fidelio for more than 25,000 hotels worldwide, as well as point-of-sale, loss prevention, and cross-channel functionality through its MICROS-Retail division for more than 90,000 retail stores worldwide. MICROS stock is traded through NASDAQ under the symbol MCRS.


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NACS Interactive Cartoon Depicts Cost of Interchange




Click to Enlarge
NACS Interactive Cartoon Depicts Cost of Credit Fees



The National Association of Convenience Stores has released an interactive cartoon designed to educate consumers about the problem of credit and debit card swipe fees with the hope of involving them in a solution. Called interchange fees by the banks that set the rates, swipe fees are a percentage of each transaction that Visa and MasterCard and their member banks collect from retailers every time a credit or debit card is used. Fees average about 2 percent in the United States.



The cartoon provides information about these hidden credit card fees, informing consumers that $2 out of every $100 spent for products at convenience stores goes toward interchange fees. Users can then see the effect that swipes fees have on specific purchases, whether for fuel, milk, bread, snacks or the daily newspaper. When consumers select a product, the cartoon displays how much profit the retailer makes on the purchase and how much money goes to credit card companies in the form of interchange fees.



With the purchase of a 50-cent newspaper, for example, the retailer would lose 11 cents, while the interchange fee would be 13 cents, according to the cartoon. The interactive program helps illustrate the low, or even negative, margins that convenience retailers have on small purchases made with credit cards.



“The battle over credit and debit card swipe fees that has been raging on Capitol Hill for the past five years will be heating up again soon,” said Lyle Beckwith, NACS senior vice president of government relations. “The credit card industry makes $125 million a day on swipe fees, so it is obvious why they want to protect their ‘secret tax’ on consumers and retailers. This cartoon is an interactive tool that can help bring together retailers and consumers to tell Congress why swipe fee reform is so essential to Main Street retailers, as well as American consumers.”



In 2008, Americans paid more than $48 billion in credit card swipe fees, according to NACS.



The interactive cartoon is viewable here.





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NACS Interactive Cartoon Depicts Cost of Interchange




Click to Enlarge
NACS Interactive Cartoon Depicts Cost of Credit Fees



The National Association of Convenience Stores has released an interactive cartoon designed to educate consumers about the problem of credit and debit card swipe fees with the hope of involving them in a solution. Called interchange fees by the banks that set the rates, swipe fees are a percentage of each transaction that Visa and MasterCard and their member banks collect from retailers every time a credit or debit card is used. Fees average about 2 percent in the United States.



The cartoon provides information about these hidden credit card fees, informing consumers that $2 out of every $100 spent for products at convenience stores goes toward interchange fees. Users can then see the effect that swipes fees have on specific purchases, whether for fuel, milk, bread, snacks or the daily newspaper. When consumers select a product, the cartoon displays how much profit the retailer makes on the purchase and how much money goes to credit card companies in the form of interchange fees.



With the purchase of a 50-cent newspaper, for example, the retailer would lose 11 cents, while the interchange fee would be 13 cents, according to the cartoon. The interactive program helps illustrate the low, or even negative, margins that convenience retailers have on small purchases made with credit cards.



“The battle over credit and debit card swipe fees that has been raging on Capitol Hill for the past five years will be heating up again soon,” said Lyle Beckwith, NACS senior vice president of government relations. “The credit card industry makes $125 million a day on swipe fees, so it is obvious why they want to protect their ‘secret tax’ on consumers and retailers. This cartoon is an interactive tool that can help bring together retailers and consumers to tell Congress why swipe fee reform is so essential to Main Street retailers, as well as American consumers.”



In 2008, Americans paid more than $48 billion in credit card swipe fees, according to NACS.



The interactive cartoon is viewable here.





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