Debit Card Interchange Lawsuit to Stand

U.S. District Judge Lawrence Piersol denied the government’s motion to dismiss TCF National Bank’s (“TCF”) complaint and took the motion to dismiss the Office of the Comptroller of the Currency (“OCC”) as a proper party defendant under advisement. Conjunctively, the judge denied TCF’s motion for a preliminary injunction, but intends to hold a further hearing immediately following the Federal Reserve Board’s issuance of its final ruling on debit card interchange. Questioning the constitutionality of the Durbin Amendment’s exemption for banks with assets less than $10 billion under the equal protection clause of the U.S. Constitution, Judge Lawrence holds the government’s position that a two-tier pricing system for banks above and below $10 billion in assets will eventually result in a single rate to all banks is speculation on the government’s part.

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Western Union and Online Resources Offer Last Minute Payments

Online Resources Corporation online financial services and The Western Union Company global payment services have teamed to provide financial institutions enhanced same-day, expedited payment solutions. Significantly expanding the options available to consumers who want to make last-minute bill payments to billers through the websites of more than 500 financial institutions, the partnership allows Western Union to bring to Online Resources’ banking clients greatly enhanced expedited payments services. These services now includes same-day delivery and posting to many more prominent billers in the mortgage, credit card, auto finance, telecom, cable, utility and other industries.

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Isis Advances mCommerce with First Market

Isis mobile commerce joint venture between AT&T Mobility, T-Mobile USA and Verizon Wireless is set to pilot the Isis mobile commerce program in Salt Lake City. Having entered into an agreement with Utah Transit Authority (UTA) to make the entire UTA transit system Isis-enabled, Isis will be billed as the first commercially available mobile transportation fare payment program in the U.S. Isis, which announced its formation in mid-November 2010, is focused on bringing mobile commerce to Salt Lake City using mobile phones to make point-of-sale purchases through the use of near-field communication (NFC) technology. The Isis system will evolve to offer customers a highly secure and convenient way to pay, redeem coupons and store merchant loyalty cards, all with the tap of their phone.

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FIS Introduces Terminated Originator Database

FIS banking and payments technology launched its “Terminated Originator Database” designed for ACH Network Originating Depository Financial Institutions (ODFIs) to collaborate. Facilitating the convergence of ACH Originators and Third-party Senders terminated for cause, the “Terminated Originator Database” is designed for financial institutions to use as part of their risk management due diligence process and offered by FIS through a preferred provider partnership with NACHA epayments association. The “Terminated Originator Database” allows ODFIs to follow the recommendations included in the NACHA Board Policy Statement on Use of a Terminated Originator Database, effective March 1, 2011, in which the contribution to and use of a database is encouraged as part of the financial institution’s due diligence process. Financial institutions will have the ability to contribute to and search the database for Originators and Third-party Senders who have been terminated for cause by other financial institutions.

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Via Licensing Joins NFC Forum

Helping it advance predictable and market-appropriate licensing terms for essential NFC patents, Via Licensing has joined the Near Field Communication (NFC) Forum. Via Licensing Corporation has been providing patent licenses for NFC technology since 2007 and offers a joint license agreement covering patents from France Telecom, Inside Secure, Motorola, and NXP. By joining the NFC Forum, Via Licensing is increasing its commitment of supporting the rapid market deployment of NFC standards.

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Viewpointe Services Meet New NACHA Requirement

Viewpointe electronic content management and exchange services announced an extension of its member services. In its continued commitment to support all participants in the ACH network, Viewpointe Clearing, Settlement & Association Services (VPCS&AS) is introducing a targeted set of offerings tailored to the needs of third-party senders, including member benefits, customized ACH audits and a Third-Party Sender roundtable. VPCS&AS, a wholly-owned subsidiary of Viewpointe Archive Services, LLC, provides image exchange and settlement, payments solutions and ACH association services. Approved December 20, 2010, the scope of the annual rules compliance audit requirements were expanded to require third-party senders to conduct such audits to the extent that they perform any functions of an ODFI under the Rules. On March 18, 2011, the Rule went into effect, requiring third-party senders to complete an annual audit by December 1. Viewpointe’s existing ACH audit services are now available to third-party senders to help them comply with this new NACHA rule.

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Western Union Announces Expanded Exec Roles

Western Union’s Hikmet Ersek, appointed President and CEO in September, has announced executive role expansion on his board. With this, Stewart Stockdale has been named Executive VP and President with the Global Consumer Financial Services division; David Yates has been named executive VP and President Business Development and Innovation; and Diane Scott has been named executive VP and Chief Marketing Officer. Stockdale will be responsible for Western Union’s global regions and Agent network, the company’s global core consumer money transfer service and the consumer payments business. Yates, as EVP and President – Business Development and Innovation, is responsible for the design, development, implementation, roll-out and enhancement of new products and services, including Western Union Business Solutions, Account Based Money Transfer, westernunion.com, mobile money transfer and the company’s prepaid and stored value programs globally. Diane Scott is responsible for leading the strategic global marketing development for Western Union, including brand strategy, customer segmentation, customer experience, and market research/analytics. She also is responsible for corporate communications, corporate social responsibility and the Western Union Foundation.

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Misys completes SAS 70 examinations

Misys software and services has recently completed SAS 70 examinations for a variety of its hosted solutions. AICPA’s Statement on Auditing Standards No. 70 (SAS 70) Type II examinations were performed for Misys Confirmation Matching Service and Misys Opics Plus. Misys processes, procedures and controls were formally evaluated and tested by the independent accounting and auditing firm of Ernst & Young LLP. The examinations included assessing, and in the case of Type II also testing, controls related to logical access to systems, programs and data, change management; processing controls, environmental controls and physical security.

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Clear2Pay Releases ACH & Wire Payment Solution

Clear2Pay next generation payment solutions for financial institutions launched its “Unified Domestic Payments Americas” solution for the end to end integration of Wire and ACH payments. Allowing for the processing of both real time and batch transactions throughout the Americas on a single platform, the “Unified Domestic Payments Americas” will provide banks a consistent, reliable and re-useable platform to deliver services to its customers across multiple channels, whether processing single high value funds transfers or batches of thousands of transactions. The initial version of the product will support FedWire, CHIPS, FedACH and EPN in the United States, LVTS and ACSS in Canada and CCA in Chile.

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Fiserv Partners & Cardlytics Launch eBanking Rewards

Fiserv financial services technology solutions and Cardlytics transaction marketing have partnered to deliver merchant-funded rewards through Corillian Online integrated banking, payment and personal financial management solution. With this, Fiserv is providing financial institutions with the ability to integrate targeted reward offers into the daily banking experience, allowing customers to redeem rewards by clicking on an offer within their transaction history and then spending at the designated merchant using their financial institution-issued debit, credit or prepaid card. This gives cardholders an opportunity to save money and provides a reason to use both online banking and financial institution-issued cards. The Cardlytics’ transaction marketing platform enables financial institutions to present offers that are funded by local, regional and national merchants, and are personalized using an account holder’s actual spending patterns to ensure the offers are relevant to each recipient. Regions Bank is one of the first to offer targeted rewards to online banking customers supported by Fiserv and Cardlytics platform solutions.

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Barclays Buys MBNA Small Business Credit Card Folio

Barclays Bank has purchased MBNA Europe Bank Limited’s Small Business credit card portfolio. Consisting of approximately 60,000 accounts with approximately GBP130 million of outstanding balances as at 28 February 2011, this acquisition reinforces Barclays Global Retail Banking’s strategic ambition to achieve greater depth in its chosen markets and businesses. The portfolio will be integrated into its payment division, Barclaycard, which managed about GBP200 billion in payments for over 20 million consumers and over 240,000 business customers.

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Mako Networks Launches PCI DSS for Public Broadband

Mako Networks announces the world’s first PCI DSS Level 1 certified management service to improve data security for businesses across the world. Of the 12 key requirements of PCI DSS a significant percentage relate to technical details that a merchant trying to manage the day-to-day running of a business is unlikely to understand or have the time to manage. For this, Mako enforces data security on public broadband connections and saves retailers the worry about exposure to data theft relating to both payment and non-payment activity. It also provides merchants with a single pre-configured and remotely managed security system, which continually enforces compliance and replaces traditional modems, routers and firewalls. Merchants can continue using their existing broadband service and administer real-time maintenance of compliance issues.

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