Thursday, January 13, 2011

U.S. Treasury Launches Pilot for Tax Refund Debit Card

	Treasury Launches Tax Refund Debit Card
	(from CNBC on 1-13-2011)
	WASHINGTON - The U.S. Treasury said on Thursday it is launching a pilot program to deliver income tax refunds on debit cards for low- and moderate-income people who do not have traditional bank accounts. The Visa prepaid debit cards are designed to allow these taxpayers to receive their refunds much faster than with a paper check and avoid high fees for cashing those checks at currency exchanges or payday loan stores. "This pilot program will provide low- and moderate-income Americans with a low-cost option for faster delivery of their federal tax refund," said Deputy Treasury Secretary Neal Wolin. The card can be used in everyday financial transactions, such as receiving wages by direct deposit, withdrawing cash, making purchases, paying bills and building up savings... read more»

Feds Propose Internet ID's to Fight Cybercrime

Okay, just so I understand. Apparently, the reason online shopping has it's inherent problems is because we type our credit card numbers into a box on a website and hackers, keyloggers, malware programs and phishing gets those numbers and then commit their cyberfraud.

So, in order to solve that problem, the Feds say "let's issue a card" to ensure that the user is who they say they are. All they have to do is type the number on the card into a browser and that will prove it. Okay..got it...

	Feds Propose Internet IDs for Security
	(from myfoxdfw at 13-1-2011)
	The United States government wants to guarantee that you are who you say who are while youre on the Internet. Recent data shows Americans spent about $142 billion dollars online. Thats why the commerce department is talking about an Internet ID. Aside from online shopping, it could also be used for things like e-mail, banking and accessing electronic health records.... read more»

Obama's Internet ID plan - the basics

(from EXAMINER at 13-1-2011)

The Obama Administration has announced plans for a unique personal ID for the Internet. Think that sounds vague? That's because it is. In fact, it sounds terribly reminiscent of every big project that never ends whether sponsored by the government or someone else. It's going to be led by the Commerce Department, not the NSA or Homeland Security, which were candidates. This is good, because National ID + Internet + NSA sounds pretty big brother-ish to me. ... read more»

	Government proposes internet ID card for all Americans President Obama has said that he will give the United States Commerce Department authority over a proposed national cybersecurity ID card. The goal is for everyone to have one ID to use on the internet, as opposed to having to remember multiple login names and passwords. Continue reading on Examiner.com: Government proposes internet ID card for all Americans - Dayton Technology \| Examiner.com http://www.examiner.com/technology-in-dayton/government-proposes-internet-id-card-for-all-americans?cid=parsely#parsely#ixzz1AvevvCPm

Visa Pushes for New Authentication Systems

from Business World Online

Michael Smith

Visa pushes for new authentication system

A MORE advanced data authentication system is being pushed by Visa Inc. among banks in order to deter credit card fraud.

“To prevent fraud in card transactions from happening, issuers must shift from static data authentication (SDA) to the dynamic data authentication (DDA),” Michael E. Smith, Visa’s head for risk management for Asia Pacific, Central Europe, Middle East and Africa, told reporters in a briefing earlier this week.

SDA is a type of data authentication in which a terminal validates a password placed on the card at the time it was issued to the cardholder, while DDA is a type of data authentication in which the card uses public key technology to generate a password...read more»

Ukash Ends Hunt for Chief Executive with David Hunter

LONDON, January 13, 2011 /PRNewswire/ -- Ukash, the Global eMoney Network, has announced that leading industry figure David Hunter has been appointed as the company's new Chief Executive Officer. The former eMoney head of ClickandBuy and Paysafecard will be taking over with immediate effect.

Commenting on his appointment, David Hunter said, "I am very excited to be joining Ukash and leading the next phase of the company's development. Ukash has evolved in recent years from an alternative payment mechanism into a vast cash-loading eMoney Network, serving customers on six continents. There are many opportunities for us to leverage this network, as we aim to make Ukash the "world leader" in electronic cash-payment transactions. The opportunity of achieving that goal is a challenge I truly relish."

Ashley Head, Chairman of the Board of Directors, said of Mr Hunter's appointment, "David is an established and experienced leader within the payments industry. His knowledge of, and passion for, this market, will be of tremendous advantage to Ukash. It's a very exciting time for Ukash and I know that the company will benefit from David's vision and I look forward to watching it build on its recent success."

Having setup and led eMoney businesses at British Telecom, ClickandBuy and Paysafecard in the past six years - Hunter has a track record of leading prepaid ventures into profitable growth and has established himself as a champion of cash-based Electronic Money.

Ukash empowers people worldwide to use cash electronically, irrespective of status, device or boundary, and is available at 420,000 retail locations. Globally, Ukash is active in more than 50 countries.

About Ukash (R)

Ukash(R), the global e-money network, enables consumers from anywhere in the world to shop, pay and play online safely using cash. Ukash is a secure payment method developed to protect personal identity and financial information when making online transactions; eliminating the threat of credit and debit card fraud for consumers and repudiations and charge-backs for retailers.

Established in 2001 under the holding company Smart Voucher Ltd, Ukash has grown to more than 420,000 physical points of purchase, and is available in more than 50 countries around the world. In 2008, Ukash(R) established a strategic partnership with South African payments giant Blue Label Telecoms - part owned by Microsoft - to develop the brand's services.

Ukash(R) is regulated by the UK Financial Services Authority (FSA) and operates as one of only a small number of Electronic Money Institutions, a status that allows a single maximum online cash payment transaction of up to GBP500/EUR750.

Uniquely numbered Ukash(R) vouchers are available through payment terminals in retail outlets across Europe, South Africa, South America, Canada and Australia and are also issued online from the company's website in selected European territories.

The technology behind Ukash is protected by patents registered across the Smart Voucher database and functionality and is, as such, protected by Patent Law in all the major economies of the world. Ukash(R) is a registered trademark of Smart Voucher Ltd.

Contacts: Seamus O'Keeffe
    ING MEDIA
    +44(0)207-247-8334
    seamus@ing-media.com

SOURCE Ukash

Global Payments Announces Agreement With Caesars Entertainment for Gaming and Cash Access Services

ATLANTA, Jan. 13, 2011 /PRNewswire/ -- Global Payments Inc. (NYSE: GPN), a leader in both payment processing and gaming cash access services, today announced an agreement with Caesars Entertainment Corporation to provide select Caesars' resorts with Global Payments' PlayerCash @dvantage credit and debit card cash advance service, through Global's VIP LightSpeed® platform.

Global Payments continues to enhance its position in the cash access services market with the announcement of this new relationship. "We are very excited to work with Caesars Entertainment and deliver our leading technology and cash access services to 19 gaming resorts," said Senior Vice President of Global Payments' Gaming Services, Dean DeCristoforo.

VIP LightSpeed is an internet-accessible, PC-based platform that provides cash access services for traditional and electronic check cashing, ATM check cashing, and credit and debit card cash advances. In addition, VIP LightSpeed provides high speed transaction processing, reduction of risk associated with check-cashing and cash advance services, and a full spectrum of casino management reporting tools.

Global Payments Inc. (NYSE: GPN) is a leading provider of electronic transaction processing services for merchants, Independent Sales Organizations (ISOs), financial institutions, government agencies and multi-national corporations located throughout the United States, Canada, Europe, and the Asia-Pacific region. Global Payments, a Fortune 1000 company, offers a comprehensive line of processing solutions for credit and debit cards, business-to-business purchasing cards, electronic check conversion and check guarantee, verification and recovery including electronic check services, as well as terminal management. Visit www.globalpaymentsinc.com for more information about the company and its services.

Media Relations Contact: Amy Corn
770 829-8389 Voice
amy.corn@globalpay.com

SOURCE Global Payments Inc.

www.ePINDebit.com www.e-PINDebit.com www.iPINDebit.com www.PINDebit.mobi

Moneris Reports Q4 Increase of 3 Per Cent in Retail Spending

Data reveals that airline, apparel, and restaurant categories led the growth in the last three months of 2010

TORONTO, ONTARIO--(Marketwire - Jan. 13, 2011) - Moneris Solutions (Moneris), Canada's largest payment processor, today announced that Canadian spending continued on a positive trend with an increase of three percent in volume of credit card sales in the fourth quarter of 2010 compared to 2009. This represents a slightly slower pace of growth in relation to the third quarter increase of 4.1 per cent.

The leading category was airlines at 17.29 per cent, followed by apparel at 7.01 per cent. In particular, women's wear saw an excellent growth of 18.3 per cent. However, it wasn't all about purchases as Canadians increased their entertainment spending by 7.7 per cent compared to last year. Consistently in 2010, fast food chains realized significant increases, in terms of the volume of sales, ending the year with an increase of 20.7 per cent compared to 2009.

Declining categories included department stores at -6.4 per cent, CD stores at -13.1 percent and electronics stores at -7.5 per cent. Price competition for products such as televisions may have contributed to some of the decline with average purchase prices decreasing six per cent compared to Q4 2009.

Newfoundland saw the largest growth in the East Coast with an increase of over eight per cent this quarter. Ontario showed slightly slower growth of 1.8 per cent compared to Quebec at 4.5 per cent. In the West, British Columbia and Alberta realized 2.8 per cent and 3.1 per cent growth respectively. New Brunswick and Nova Scotia had the two smallest increases in the country ending the quarter with a minimal growth of one per cent and 1.5 per cent respectively. Overall, Saskatchewan saw the highest increase, bumping up their fourth quarter credit card spending by almost nine per cent.

In terms of holiday spending, Canadians spent the most money on December 22, 2010 and the most number of transactions processed occurred on December 23, 2010. Christmas Eve was the busiest shopping day of the month in terms of the number of transactions processed per second with a record breaking 418 between 2:00 -3:00 pm EST.

Moneris Solutions' analysis of Boxing Week, ending January 8, 2011, a key period for retailers, showed a 2.9 per cent increase in sales overall, helping 2010 end on a positive note.

"2010 was definitely a good year for businesses overall and we are confident this trend will continue in 2011," said Jim Baumgartner, President and CEO, Moneris Solutions. With its real time access to transactional data and Canada's largest share of businesses, Moneris will continue to monitor and report retail spending.

About Moneris Solutions

As one of North America's largest providers of payment processing solutions, Moneris offers credit, debit, and wireless and online payment services for merchants in virtually every industry segment and processes more than three billion transactions annually. Through its Erne division, Moneris offers electronic loyalty and stored-value gift card programs. With more than 350,000 merchant locations, Moneris provides the hardware, software and systems needed to improve business efficiency and manage payments. For more information please visit www.moneris.com.

For more information, please contact

Media Contact:
MAVERICK Public Relations Inc.
Kirsten Walkom
416-640-5525, ext. 237

RBS Names CEO of Global Transaction Services Division

	RBS Appoints New CEO
	(from Finextra on 1-13-2011)
	The Royal Bank of Scotland (RBS) has appointed Scott Barton as CEO of the Global Transaction Services (GTS) division. Scott will report to Chris Sullivan, CEO, Corporate Banking Division, RBS and will work closely with Brian Stevenson, previously CEO and now Chairman of GTS... read more» Pictured on Left: Burhan Khan, Colin Macdonald and Scott Barton of the RBS speaking at_press conference

MasterCard and Gemalto Partner on Global Card Replacement Services

January 13, 2011 01:00 AM Eastern Time

AMSTERDAM--(BUSINESS WIRE)--Gemalto (Euronext NL0000400653 GTO), the world leader in digital security, today announced that it has entered into an agreement to be MasterCard’s preferred emergency card replacement vendor worldwide. The service enables premium cardholders to receive their new card in 24 hours or less, even when on the move, anywhere in the world.

Once notified of a lost or stolen card, MasterCard taps into Gemalto’s global network of certified banking service centers and provides the cardholder’s confidential information through a secured communication infrastructure. From the moment the order is received, Gemalto will take all necessary steps to supply a replacement card, even hand delivering in some cases.

“MasterCard is committed to providing utmost convenience for consumers,” said Daniel Balistierri, Vice President Cardholder Solutions, MasterCard. “We have selected Gemalto for their ability to quickly react to our customers’ needs. Their unified network of service centers, dispersed in all five continents, ensures cardholders will quickly receive a replacement card no matter where they travel.”

“MasterCard and Gemalto share a mutual dedication to delivering white-glove services and we are proud to be the only third party to offer worldwide emergency card replacement,” added Philippe Cambriel, Executive Vice President, Gemalto. “This pioneering service, available from anywhere in the world, strengthens our position as global issuers’ preferred business partner.”

Emergency card replacement leverages a mechanism that enables MasterCard to monitor the card issuance process. It provides full card traceability and real-time interaction with Gemalto service centers to increase efficiency and responsiveness in managing urgent customer requests.

Gemalto also handles centralized data management, i.e. the banking information is processed and the card replacement request is directed to the appropriate local personalization center. Unique to the Gemalto solution, this feature provides MasterCard with the convenience of a “single entry point,” always available.

For more information on Gemalto’s complete range of financial services offerings, visit http://www.gemalto.com/financial.

About Gemalto

Gemalto (Euronext NL 0000400653 GTO) is the world leader in digital security with 2009 annual revenues of €1.65 billion, and over 10,000 employees operating out of 75 offices, with research and service centers in 41 countries.

Gemalto is at the heart of our evolving digital society. The freedom to communicate, travel, shop, bank, entertain, and work—anytime, anywhere—has become an integral part of what people want and expect, in ways that are convenient, enjoyable and secure.

Gemalto delivers on the growing demands of billions of people worldwide for mobile connectivity, identity and data protection, credit card safety, health and transportation services, e-government and national security. We do this by supplying to governments, wireless operators, banks and enterprises a wide range of secure personal devices, such as subscriber identification modules (SIM), Universal Integrated Circuit Card (UICC) in mobile phones, smart banking cards, smart card access badges, electronic passports, and USB tokens for online identity protection. Moreover Gemalto delivers on emerging applications related to the ‘Internet of things’ by supplying wireless modules and machine identification modules (MIM) for machine-to-machine communication. To complete these solutions we also provide software, systems and services to help our customers achieve their goals.

As the use of Gemalto’s software and secure devices increases with the number of people interacting in the digital and wireless world, the company is poised to thrive over the coming years.

For more information please visit www.gemalto.com.

Contacts

Gemalto Media Contacts:
North America
Jessi Marshall, +1-512-257-3902
jessi.marshall@gemalto.com
or
Europe, Middle East & Africa
Peggy Edoire, +33 4 42 36 45 40
peggy.edoire@gemalto.com
or
Latin America
Ramzi Abdine, +55 11 5105 7659
ramzi.abdine@gemalto.com
or
Asia Pacific
Yvonne Lim, +65 6317 3730
yvonne.lim@gemalto.com
or
Montner & Associates Tech PR Agency
Deb Montner, +1-203-226-9290
dmontner@montner.com

Permalink: http://www.businesswire.com/news/home/20110112006531/en/MasterCard-Gemalto-Partner-Global-Card-Replacement-Services

Visa Plans Two-Tiered Interchange Rates After Fed Rules

Full story: US Banker

After initially saying that a dual schedule was impossible, Visa Inc. said it plans to introduce a dual interchange schedule for issuing banks and credit unions in the wake of debit interchange regulation....

Wednesday, January 12, 2011

Debit Card Limit Opponents Haven't Quit the Fight

Foes of debit-card fee limits haven't given up the fight

Washington Post - 42 minutes ago

By Dan Eggen

Washington Post Staff Writer
Wednesday, January 12, 2011; 5:54 PM

Banks and credit-card lobbyists lost big last year when Congress approved new restrictions on billions of dollars in debit-card fees charged to retailers. Now with more GOP allies in Congress, they hope to try again.

Aite Forecasts Cash Usage in the United States

Consumers’ Use Of Cash Will Decline By A Total Of 17%, Or 4% Per Year, Between 2010 And 2015, Dropping To Slightly More Than US$1 Trillion.

Boston, January 12, 2011 – A new report from Aite Group sizes and forecasts U.S. consumers’ use of cash. It draws upon two surveys conducted by Aite Group (one of 4,696 U.S. consumers, conducted in August 2010, and one of 1,039 U.S. consumers, conducted in October 2010) to size the use of cash as a payment method in person-to-person (P2P), bill-pay, and retail transactions in the United States.

Cash use, which has been declining in U.S. payments transactions, will continue to do so through 2015. But it is far from vanishing. While 30% of consumers use cash less often than they did two years ago, 20% use it more often. Gen Y is the only generation more likely to use cash more often today than it did two years ago. Consumers’ use of cash will decline by a total of 17%, or 4% per year, between 2010 and 2015, dropping to slightly more than US$1 trillion.

“Despite forecasts of a cashless society, the United States is nowhere near the realization of this vision,” says Ron Shevlin, senior analyst with Aite Group and author of this report. “In fact, if the use of cash were to decline by 17% every five years—our forecast for 2015—the use of cash in the United States wouldn’t fall below US$1 billion before the year 2205, roughly 200 years from now.”

This 21-page Impact Note contains 15 figures and two tables. Clients of Aite Group's Retail Banking service can download the report by clicking on the icon to the right.

Related Aite Group Research:

To purchase this report or
for additional information,
please contact:
Aite Group SalesTel: +1.617.338.6050sales@aitegroup.com

Mercator Advisory Group New Release: Top 50 Debit Card Issuers: Loyalty and Rewards Programs 2010 - Year in Review

Report analyzes the programs of the largest debit issuers in the country

As interchange fee regulations become clear, one of the main areas of consumer debit card benefits – the rewards program – is almost certainly heading towards a mid-term correction. The industry has already seen one major issuer, JPMorgan Chase, signal their intention to sunset certain debit card rewards programs and we anticipate there will be more to follow.

From this market perspective, Mercator Advisory Group is issuing their annual Top 50 Debit Card Issuers Loyalty and Rewards Program, 2010 Year in Review report. This 25-page report defines and analyzes the programs of the largest debit issuers in the country. In addition, Mercator examines the impact of current regulations, such as the Dodd-Frank/Durbin Amendment and presents some near-term opinions on the types of changes these rewards programs will most likely see in 2011.

“Looking at this 2010 version of our Annual Top 50 Debit Issuers Rewards Programs Review, one might not think that the debit issuing industry is going through a major business transition. It is truly a testament to the importance of rewards programs, at least in the mind of many consumers that issuers continue to enhance and invest in these strategies even in the face of material economic changes,” Patricia Hewitt, Director of Mercator Advisory Group’s Debit Advisory Service comments. “The American consumer has been long accustomed to being rewarded for doing business with a company and that includes financial institutions. In 2011, some consumers will continue to be rewarded and for others, those benefits may disappear, or perhaps shift to other forms.”

Highlights of This Report Include:

A detailed matrix of the top 50 debit card issuers’ rewards and loyalty programs (including characteristics and qualifications for participation).

Commentary on notable changes in programs from 2009 to 2010.

A discussion of debit reward program trends.

Changes that may take place within the debit rewards industry as a result of recent legislation and decreases interchange fee income.

A glossary of reward terms.

This Report Contains 25 Pages and Five Exhibits.

Companies Mentioned in This Report Include:
Visa, MasterCard, Bank of America, Citibank, Wells Fargo, JPMorgan Chase, SunTrust, Fifth Third, M&T Bank, Comerica, Zions Bank, and Harris Bank.

Members of Mercator Advisory Group have access to this report as well as the upcoming research for the year ahead, presentations, analyst access and other membership benefits.

Please visit us online at http://www.mercatoradvisorygroup.com.

For more information and media inquiries, please call Mercator Advisory Group's main line: (781) 419-1700, send E-mail to info(at)mercatoradvisorygroup(dot)com.

About Mercator Advisory Group
Mercator Advisory Group is the leading, independent research and advisory services firm exclusively focused on the payments and banking industries. We deliver pragmatic and timely research and advice designed to help our clients uncover the most lucrative opportunities to maximize revenue growth and contain costs. Our clients range from the world's largest payment issuers, acquirers, processors, merchants and associations to leading technology providers and investors.

###

EMV in U.S.A? Mercator Takes a Look

EMV in the USA: Waiting on Debit, a Mandate,
or Just the Opportune Moment

Boston, MA - Payment card security shortcomings still make headlines because card data breaches continue to plague the industry. EMV (a.k.a. Europay, MasterCard and VISA) is the smartcard-based technology the payment card networks have chosen as the best defense at the payment perimeter, the POS terminal. EMV has been deployed in most markets except the world's largest card market: the USA. This new report from Mercator examines the questions "why not" and "when" for EMV.

Revealed in Mercator Advisory Group's EMV in the USA: Waiting on Debit, a Mandate, or Just the Opportune Moment report is the relatively modest cost of EMV issuance to US passport holders. While the UN Federal Credit Union is the first financial institution to issue EMV cards, Mercator forecasts at least one major US card issuer to provide a fee-based EMV card to its high net worth, traveling clients.

"EMV technology has the lead position in securing the payments perimeter today. It's a standard that can be deployed in contact, contactless and mobile form factors. But the constraints of cost, uncertainty over ongoing debit regulation and the impact of evolving NFC mobile payments, as well as historical card network reticence means any EMV announcement will be delayed and muted when it arrives," George Peabody, director of Mercator's Emerging Technologies Advisory Service comments. "We forecast another quarter or two before the starting gun fires. And even then, it will be incentives based rather than an immediate mandate."

The report focuses on the costs, constraints, and opportunities for card issuers, merchants and the card networks themselves as they all face the EMV question. It discusses the potential role of federal regulation on the timing of a US EMV rollout. The report includes recommendations for card networks, issuers and merchants planning their POS replacement strategies.

Highlights of the Report Include:
The Federal Reserve's debit rule making injects significant uncertainty into the timing of an EMV roll-out by the card networks. Mercator forecasts an EMV "go ahead" in the first half of 2011 with merchant incentives to accelerate EMV-capable terminal deployment.
The EMV business case for individual issuers cannot overcome competing priorities and current practices around fraud losses.

In Canada, EMV terminalization has been a breakout strategy for contactless. Given mobile NFC's rise in the US, a similar effect could be anticipated in the US market.
EMV payment card issuing costs in the USA run between $2.4B and $2.8B depending upon smartcard interface configuration, contact only or contact + contactless.
Merchants are advised to "spend the $10" for EMV capable terminals now in anticipation of an eventual EMV roll-out.

One of the 5 exhibits from the report:

This report contains 24 pages and 6 tables, and 5 exhibits.

Members of Mercator Advisory Group have access to this report as well as the upcoming research for the year ahead, presentations, analyst access and other membership benefits.

Please visit us online at www.mercatoradvisorygroup.com.

For more information and media inquiries, please call Mercator Advisory Group's main line: (781) 419-1700, send E-mail to info@mercatoradvisorygroup.com.
Follow us on Twitter @ http://twitter.com/MercatorAdvisor.

About Mercator Advisory Group
Mercator Advisory Group is the leading, independent research and advisory services firm exclusively focused on the payments and banking industries. We deliver pragmatic and timely research and advice designed to help our clients uncover the most lucrative opportunities to maximize revenue growth and contain costs. Our clients range from the world's largest payment issuers, acquirers, processors, merchants and associations to leading technology providers and investors.

Thursday, January 13, 2011

Related articles

Data reveals that airline, apparel, and restaurant categories led the growth in the last three months of 2010

Related articles

Contacts

Wednesday, January 12, 2011

Consumers’ Use Of Cash Will Decline By A Total Of 17%, Or 4% Per Year, Between 2010 And 2015, Dropping To Slightly More Than US$1 Trillion.

Report analyzes the programs of the largest debit issuers in the country

Related articles

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