Mighty Net, the owner of CreditReport.com responded to its recent settlement with Experian’s ConsumerInfo.com over a trademark infringement case lawsuit. Mighty Net denied and continues to deny all claims of ConsumerInfo, in an effort to appease their concerns, Mighty Net modified and/or removed particular aspects of the landing page about which ConsumerInfo voiced concern. Notwithstanding Mighty Net’s good faith efforts to resolve this early on, ConsumerInfo continued forward with its lawsuit. Mighty noted it launched its Web site prior to ConsumerInfo.com, has grown to be the one of the largest privately owned companies in its sector and that clients value its personalized business practices and reliable credit monitoring services. Experian Consumer Direct filed suit against Mighty Net in March 2006 for trademark infringement, claiming that Mighty Net copied Experian Consumer Direct’s URLs, logos, and the look and feel of its Web sites in order to drive traffic and create interest in Mighty Net’s products and services. (CF Library 8/13/07)Details
Hedge fund Pershing Square has made an about face over its objection to Ceridian’s proposed sale to Fidelity National Financial and private equity firm Thomas H. Lee. Pershing Square says it now it intends to fully support the $5.2 billion buyout. The hedge fund said that significant recent developments in the credit markets raised its confidence that the deal is the highest all-cash price reasonably attainable for the company. In a proxy filing filed this week with the SEC, Pershing Square stated that, if elected, its nominees plan to fully support the company’s efforts to complete the transaction as soon as possible. Pershing Square also disclosed that its nominees plan to make no changes in management pending the completion of the deal. Pershing Square owns about 15% of Ceridian. (CF Library 7/27/07)Details
BankAtlantic has become the first Florida bank to become an agent offering American Express business cards. The new “Business Gold Rewards Card” and the “CardSimplyCash Business Card” offer access to the “OPEN Savings” program for small business customers. The “Business Gold Rewards Card” includes automatic enrollment in the “Membership Rewards” program. The “SimplyCash Business Card” offers up to 5% cash back annually on gas, office supplies, and wireless purchases and 1% on most other purchases. The agent bank agreement calls for the companies to jointly market small business charge and credit cards that carry the BankAtlantic and American Express brands. The two new cards will be marketed to BankAtlantic’s small business customers in nearly 100 stores in Florida.Details
San Antonio-based SmartCard Marketing Systems has signed a significant agreement with Kahnawake Your Server Solution to provide exclusive service with the prepaid cards and “Velocitymoney” platform. The platform allows the subscriber to alter their place of origin for the purpose of the transaction so hackers or unprotected processors don’t put the customer at risk. Once the customer or merchant has been authorized and properly screened, they will become recipients of the new service features that will create a protected host environment.Details
SD-based sub-prime credit card specialist First Premier Bank has agreed to settle with the New York State AG over its marketing practices including the charging of upfront fees upon card issuance. Under the terms of the settlement, First Premier will pay $4.5 million in refunds and $105,000 in penalties and costs. The company has also agreed to reform its billing and marketing tactics. First Premier is prohibited from charging consumers until they activate or use their credit card to make purchases or obtain cash advances. The bank must refrain from marketing sub-prime cards as “Gold” or “Platinum” cards unless it clearly and prominently discloses associated features and risks. First Premier is also banned from promoting credit cards as having “no processing fees,” if it charges consumers for applying or activating a credit card. According to CardData, First Premier had 4,253,830 accounts at the end of the second quarter.Details
Chicago-based AmbironTrustWave has hired Larry Podmolik, formerly with Redpoint Technologies as CTO and Ronald van Geijn, formerly with Cybertrust, as SVP product management. Podmolik joins AmbironTrustWave with over 20 years of experience building mission-critical large-scale business systems across a wide range of business domains. Prior to joining AmbironTrustWave, Podmolik was president and CTO of Redpoint Technologies, a high-tech professional services firm in Chicago.As chief technology officer at AmbironTrustWave, Podmolik’s responsibilities include the development of data security and compliance management technologies. Van Geijn has 20 years of product marketing and management experience in the information security industry. Previously, he was senior director of product marketing at Symantec, where he managed the compliance and vulnerability management product portfolio, overseeing a global team of product marketing managers. AmbironTrustWave is a global provider of information security and compliance management solutions to businesses and the public sector.Details
Rahaxi Processing Oy has signed agreements to distribute and market
Spectra Technologies transaction solutions, including EMV and PCI
certified point-of-sale terminals. The agreement covers distribution in
Norway, Finland, Sweden, Ireland, Iceland, Estonia, Latvia and
Montenegro and enables Rahaxi to provide merchants and partners
economical EMV/PCI solution technology. EMV is an international
standard to replace the magnetic strip with chip-and-pin technology for
credit cards and bank cards. PCI/DSS is an industry-wide security
requirement for cardholder account data.
Hypercom has announced the appointment of Michel Sohrabi as Vice
President of Marketing and Business Development. Sohrabi’s VP
position concerns operations in the European, Middle East and Asian
Market (EMEA). His previous experience includes Security & Payment
Business Development Director for Wavecom, since 2005, and sales,
marketing and business development for Ingenico Group and COM One
Group. Sohrabi’s experience in the industry totals 21 years with an
education consisting of a Master’s degree in Marketing from Washington
University and a Master of Engineering degree from the University of Orsay in France.
Barclaycard has announced the agreement with over 1,000 merchants
to deploy their contactless payment solution, mostly consisting of smaller
shops and chains. The solution, called “OnePulse”, carries a contact
chip-and-PIN application on a dual-interface chip and is targeted to
replace the 93% of transactions under GBP10 that consumers conduct
using cash. Experts believe that larger merchants and retailers are
waiting to upgrade to see how well received the contactless solution will
Portland, OR-based TRM reports second quarter gross sales of $23.5 million compared to $27.6 million in 2Q/06. However, on a sequential basis, sales were up nearly 3% compared to $22.9 million in the first quarter. The Company noted that compared to the first quarter it reduced selling, general and administrative costs by 18.9% and cut its quarterly operating loss in half. The average number of transacting ATMs was 10,473 during the second quarter, compared to an average of 10,808 during the first quarter. To date, the Company has added 1,093 new ATM units since the beginning of the year, including 531 in the second quarter. TRM says it is continuing to explore strategic opportunities and hopes to have something positive to say in the coming weeks. Among recent news TRM expanded its contract with The Pantry to include 80 new ATM units in the northeast U.S. and was recently awarded an ATM processing contract with Dade County Municipal Building for 13 units. For more details on TRM’s latest performance visit CardData ([www.carddata.com]).
TRM HISTORICAL GROSS SALES
2Q/06: $27.6 million
3Q/06: $26.4 million
4Q/06: $24.9 million
1Q/07: $22.9 million
2Q/07: $23.5 million
Source: CardData (www.carddata.com)
The U.K. banking industry announced that the new “Faster Payments Service” will be introduced at the end of May 2008 instead of November 2007. The delay is needed to allow sufficient time for the
more rigorous testing required at both the center and by banks.
The thirteen founding members of the Faster Payments Service are
Abbey, Alliance & Leicester, Barclays, Citibank, Co-operative Bank,
HBOS, HSBC, Lloyds TSB, National Australia Group, Nationwide Building
Society, Northern Bank, Northern Rock, Royal Bank of Scotland Group.
They account for over 95% of all payments made in the UK.
San Antonio-based Payment Data Systems posted a 41% increase in second quarter revenues to $761,935. Gross profit increased to $153,222 for the quarter from $109,081 for the first quarter. The Company says that credit card transaction dollar volume for the second quarter was up 24% from the first quarter. PDS says it expects the trend of increasing card-based revenues to continue with more growth anticipated in its merchant processing portfolio and additional revenue generated from its debit card products coming into production, specifically the new “Natalie Gulbis Gift MasterCard” due out this month. For complete details on PDS’ latest performance visit CardData ([www.carddata.com]).