FINANSBANK & KXEN

Finansbank has signed agreements to deploy KXEN’s data mining
technology to better serve loan and credit customers. With the KXEN
data mining solution, Finansbank can now provide analysts with answers
through methodology that’s fast and easy to use. With these developments,
the bank has been able grow its market share, increase credit card
transaction volume and pique the interest of nearly half its dormant
customers. In doing so, the data mining technology allowed the bank to
shorten execution times for analytics and identify useful investment
products
given its credit card customers’ spending patterns. KXEN provides banks
with solutions such as these to increase customer acquisition and provide
retention applications at more than 500 sites around the world.

Details

Dresser Wayne Certified by PCI and Interac

The Dresser Wayne fuel dispenser secure payment solution has become the first to receive “v2.0” security standard certifications for both the “PCI EPP” security requirements and the Interac Association “Chip PED Technical Specifications and Testing Requirements.” The payment security components will be available as a modular solution for easy implementation in “Dresser Wayne Vista”, “Ovation” and “Ovation iX” fuel dispensers. To be offered as an option group for new dispensers and as a retrofit kit for existing dispensers, the secure payment solution leverages Dresser Wayne’s “iX Technology Platform” for increased security and advanced marketing and dispenser management capabilities. The PCI EPP Security Requirements are designed to secure personal identification number (PIN)-based transactions globally. They apply to unattended terminals such as automated fuel dispensers that accept PIN entry for all PIN-based transactions. Similarly, the Interac Association requirements assure the security of debit transactions being processed on the Interac national payment network, which allows Canadians to access their funds through automated banking machines and point-of-sale terminals across Canada.

Details

CONTACTLESS OUTLOOK

After seven years of deployment, contactless payments in Japan are steadily increasing, with over 98.4 million payment devices currently in distribution and a projected market of nearly 180 million payment devices by 2010. A new report has concluded that the move has been supported by a number of drivers including Tokyo’s RFID train pass; the high number of mobile phone holders; the increasing use of online shops; and the fact that large retailers are issuing their own electronic money. The study by Boston-based Celent also found that the most popular train passes are “Suica” and “PASMO,” which is currently available in Tokyo. “Suica” is a train pass distributed in 2000 by Japan Railway East, while “PASMO” was distributed by the private railways in 2007. “PASMO” and “Suica” are now mutually available on all railways in Tokyo, including buses managed by the railway companies. Sister cards
of “Suica” will be available in spring 2008, which will enhance the area where the two cards will be accepted to Nagoya, Osaka, and Sendai. While the usage is expected to grow to nearly 180 million in 2010, the future of contactless payments in Japan is uncertain; it is difficult to determine whether they will expand enough to replace
small cash payments. Currently, the market is small and will take time to take off unless some other trigger impacts consumer payment behavior.

Details

GE Money Mulls Selling or Sharing U.S. Cards

Sensing a drag on its future profits, GE this week indicated it is looking to sell or form a partnership for some of its GE Money services including its U.S. private-label credit-card business. Overall, GE is reviewing between $30 billion and $50 billion in financial assets to sell or share. The Company cites a slowing U.S. consumer and a challenging housing market as reasons to reevaluate its financial services business. GE Money’s credit card business contributes about 16% of its $4 billion+ annual net income. For the third quarter, revenues for GE Money soared 23% to $6.2 billion. Profits grew by 13% to $942 million, compared to one-year ago, despite the impact in the quarter due to market volatility. For complete details on GE’s third quarter performance, visit CardData ([www.carddata.com][1]).

GE CONSUMER FINANCIAL TRACK RECORD
Income Revenues
3Q/06: $830 million $5064 million
4Q/06: $875 million $5811 million
1Q/07: $851 million $5807 million
2Q/07: $952 million $6145 million
3Q/07: $942 million $6207 million
Source: CardData (www.carddata.com)

[1]: http://www.carddata.com

Details

MC EUROPEAN WEBSITE

To help consumers budget for holiday spending, MasterCard has introduced
its online
microsite calculator. This new solution allows consumers to rationalize
spending into
categories such as gifts, food, travel and decorations. This will help
the consumer forecast
what a category will cost to eliminate a January “credit hangover” and
prevent surprises.
In addition to providing useful financial planning, the site offers
consumer tips. These tips
advise customers to “Use Price Comparison Sites”, ensure protection when
shopping
online, “Use a Prepaid Card”, and advises of deals that can be found on
retail goods from
overseas. The site is available to consumers across Europe in 10
languages and is soon
to include planning solutions for other holidays and events.

Details

VISION ELECTRONICS & ADS

Vision Electronics electronics retailer has joined Alliance Data’s
“Canadian
AIR MILES(R) Reward Program”. Participants in “AIR MILES” can collect
points when making purchases at any of the 100 retail sponsor locations for
redemption of various goods and services, such as travel, entertainment
attractions and merchandise, among much else. The program was introduced
over 15 years ago and has grown to include participation from over
two-thirds
of Canadian households. In total, Alliance Data manages over 120 million
consumer relationships and employs over 9,000 around the world while
Visions
Electronics has 25 superstores throughout Western Canada.

Details

FTC & State AGs Sue Payment Processor YMA

The FTC and seven state attorneys general have charged a payment processor with illegal activity involving debiting consumers’ bank accounts on behalf of numerous fraudulent telemarketers and Internet-based merchants. The defendants, collectively known as YMA, allegedly processed more than $200 million in debits and attempted debits to consumers’ bank accounts between June 23, 2004 and March 31, 2006 and more than $69 million of the attempted debits were returned or rejected by consumers or their banks for lack of consumer authorization. Named as defendants in the complaint are Your Money Access d/b/a Netchex, Universal Payment Solutions, Check Recovery Systems, Nterglobal Payment Solutions, Subscription Services; and YMA Company. Participating state AGs include Illinois, Iowa, Nevada, North Carolina, North Dakota, Ohio, and Vermont.

Details

ASIC & VIRTUAL MONEY

The ASIC has put an end to the sales of the “Virtual Money” ATM card
citing its customer distribution without an Australian financial
services license
(AFSL). The ATM cards are designed to provide cardholders with a
debit card solution that allows typical card functionality and because
this
offering is considered to be a non-cash payment Australian consumers, it
must hold an AFSL under ASIC regulation. In response to this
investigation, Virtual Money has complied and has instructed agents not
to sell any more cards.

Details

PAYPASS MILESTONE

MasterCard’s “PayPass” contactless technology has passed the 20 million milestone for its “PayPass” cards and devices issued globally, and is now accepted at more than 80,000 merchant locations. A recent “Global Cash Usage Survey” found that 56% of consumers believe that one day the world will be a cashless society. The study, by KRC Research and commissioned by MasterCard, also found that 49% are likely to use a contactless card if provided by their financial institution and 47% of those likely to use a contactless card cite convenience as the greatest benefit of the new technology. MasterCard reports it has “PayPass” roll-outs and trials in the Australia, Canada, China, France, Indonesia, Italy, Japan, Korea, Lebanon, Malaysia, Mexico, the Philippines, Spain, Switzerland, Taiwan, Thailand, Turkey, the United Arab Emirates, the U.K. and the U.S.

Details