ONTARIO BALANCES PAYDAYS

Broker of small-sum, short-term consumer loans, Cash Store Financial has
announced its support for Ontario’s balanced regulation of the payday
advance industry and has stopped providing rollovers on payday loans.
This demonstrates the company’s perspective that rate-setting should be
market-based to ensure operators can compete for market share.
Headquartered in Edmonton, Alberta, Cash Store Financial employs over
1,500 at its more than 380 branches across Canada.

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Hypercom Certifies TenderCard Apps on Optimum

TenderCard has Class A certified its gift and loyalty applications on Hypercom Corporation’s “Optimum T4200” platform, allowing its gift card resellers, and the merchants they serve, access to the PCI PED approved, 32-bit multi-application, high security card payment platform. The “T4200” platform provides significant security and memory, has received MasterCard Worldwide Payment Terminal Security approval for IP and wireless transactions and incorporates such security features as optional privacy shields, “Triple DES DUKPT” encryption and “HyperSafe32” RSA-based security infrastructure. Moreover, the “T4200” multi-application terminals provide consistent physical design across the suite and have a 19-key keypad layout using either dial only or Ethernet/SSL/dial backup connectivity.

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VOLKSBANKEN MASTERCARD

DG VERKAG publishing has introduced its “Volksbanken Raiffeisenbanken”
MasterCard, available in all its branches. The new Mastercard provides
cardholders with the ability to collect points, which can then be used
to redeemed for a range of rewards and to participate in drawings,
games, etc., while the card itself is designed with several lucent
coatings for 3-D images of an adidas EUROPASS tournament football and 4
Active Fever emblems. The card was manufactured by Giesecke & Devrient,
which employs close to 9,000 and generated a 2007 annual revenue of over
EUR1.5 billion.

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Chase Rolls-Out Exclusives for Banking

As a means of encouraging checking account customers to expand their banking, and providing incentive to do so, Chase has introduced its “Exclusives” comprehensive program. Incentives provided through the “Exclusives” program include better rates, increased rewards and bigger discounts on many of the products provided through the more than 3,100 Chase branches. Specifically, Chase provides 0.125-0.25% discounts on mortgages, 0.25-0.50% discounts on equity loan/line interest rates, 0.25 or 0.50% discounts on auto loan rates, a free debit card rewards program and triple rewards for purchases in five spending categories of the consumers’ choice with the new consumer program. Chase has issued over 154 million credit cards, operates 9,100 ATMs and 280 mortgage offices.

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Citi Deploys Ariba to Enhance Payment Solutions

Citi’s Global Transaction Services Unit has deployed Ariba Technology’s “Invoice and Payment Solutions” on its electronic payment network for the delivery of its supplier finance products/services to clients. This development allows Citi to provide end-to-end payment solutions with enhanced invoice and payment solutions to its clients worldwide using private label spend management solution, the first financial services company to do so. Collectively, this allows users to reduce invoice processing cost and cycle time, perform electronic settlement via ACH and purchasing cards, transition suppliers from paper to electronic payments, to access working capital efficiencies through Ariba’s dynamic discount solutions and increase visibility into A/P spend through enhanced analytics reporting. Citi provides financial services to nearly 200 million customers in over 100 countries while the Ariba Supplier Network has over 160,000 registered suppliers in 115 countries engaging in transactions worth over $100 billion per annum.

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RAPID ADVANCE & MCE

RapidAdvance has purchased Merchant Cash Express payment card
factoring as its subsidiary, the latter providing the former a platform
from which to embark on the UK market. This comes on the heels of
RapidAdvance’s Canadian market entry, expansion to which the
organization credits its reputable and fair business practices with its
customers. These customers are composed mostly of merchants looking for
business financing to support their growth, purchase new inventory,
leverage seasonal opportunities or reduce other financial obligations.
Merchant Cash Express Limited has for over 50 years provided an
alternative funding to merchants for growth capital not available
through conventional sources.

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First Data Promotes Wall to the CFO Position

First Data has announced the promotion of Phil Wall from SVP of finance, where he has served since 2002, to CFO. Wall oversaw acquisitions and alliances across 37 countries over the past six years. Succeeding Kim Patmore, who has filled the role since 2000, Wall and FDC are expecting a smooth transition, given his knowledge and experience in the industry, particularly within the organization itself. Phil’s additional experience includes his financial management roles with Equifax and with Schlumberger, combined with his advanced education, which includes a mechanical engineering degree from Imperial College and an MBA from Oxford, Brookes University. First Data processes transaction data and has operations in 37 countries, serving over 5.4 million merchant locations and more than 2,000 card issuers’ customers.

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Fair Isaac Inks a Strategic Deal with Equifax

Equifax and Fair Isaac have inked a deal to develop and sell advanced analytics and scoring solutions for businesses and consumers. Under the agreement, the two companies will jointly market and sell new “FICO” analytic products. The companies also agreed to work together to accelerate testing and roll-out of the “FICO 08” model for Equifax customers. Separately, Fair Isaac has agreed to dismiss Equifax as a defendant in its lawsuit against VantageScore and the three national credit reporting companies. Equifax and Fair Isaac have a long history of providing products that combine the Equifax credit report with the “FICO Score,” including the delivery of “ScorePower” and “ScoreWatch” through Equifax’s Personal Information Solutions business at Equifax.com, as well as through Fair Isaac’s myFICO.com web site.

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Prepaid Resources Expands its CONNECTIONS Council

Prepaid Resources resource provider for the prepaid debit card industry has compiled a team of payment experts to form its “CONNECTIONS” advisory council. These experts are to provide product guidance on law, risk, compliance, bill payment, merchant services, mobile payments, ACH, Check 21 processing, loyalty and rewards, and anti-money laundering (AML) for Program Development, Creative design, Technical Design and Cardholder Marketing. Collectively, these initiatives will provide strategic guidance for prepaid solution engineering, planning custom card program design projects and development.

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NetSpend Expands it Prepaid Management Team

Prepaid solution provider NetSpend has promoted James DeVoflaer to SVP of IT, Paige Ellis to VP of HR , Lisa Henken joins the senior management team as VP of partner services and Todd Ginsberg, previously a senior software developer, moves into a new position as application architect senior software developer for the company’s eBusiness unit. NetSpend’s proprietary processing platform allows it to support prepaid card programs end-to-end from customer acquisition and card fulfillment to customer service and risk management. The NetSpend Prepaid Card Network includes leading consumer brands and companies serving the un- banked and under-banked markets, and its strategic relationships include card issuers, EFT networks and payment card associations.

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Facecard to Generate Charity for Bonnaroo Event

Prepaid Mastercard provider Facecard has teamed up with the presenters the Bonnaroo music and comedy event opening June 13 in Manchester TN. Facecard will make a charity donation of $10,000 to Bonnaroo charities for everyone from the Bonnaroo community who signs up for a Facecard and the 1st 10,000 people to sign up for the card will automatically get $5 loaded on their card to purchase Bonnaroo merchandise. The Facecard MasterCard Prepaid Card and the Facecard MasterCard Gift Card are issued by MetaBank.

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FTC & FDIC Find a Sub-Prime Card Whipping Boy

The FTC has filed a lawsuit charging CompuCredit and Jefferson Capital Systems with deceptive marketing practices in selling credit cards to consumers in the subprime market. The FDIC also issued notice of administrative charges against CompuCredit and two banks that issued credit cards marketed by CompuCredit. The FTC alleges that CompuCredit violated the “FTC Act” by misrepresenting the amount of credit that would be available immediately to consumers, failing to disclose up-front fees, failing to disclose that certain purchases could reduce a consumer’s credit limit and misrepresenting a debt collection program as a credit card offer. CompuCredit says the claims asserted by the FTC and FDIC regarding CompuCredit’s past credit card marketing practices are untrue and without merit. The FDIC repeatedly determined over the years that the marketing materials fully disclosed fees and terms in compliance with consumer protection laws. CompuCredit says it intends to vigorously contest these unsupported allegations and is confident that it will prevail. The Company also noted that the FDIC retained CompuCredit for the express purpose of marketing credit cards to customers of a bank directly controlled by the FDIC. Specifically and ironically, the FDIC retained CompuCredit in June 2002 to serve as its marketing partner for a portfolio of the Nextbank credit card.

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