New borrowing on credit cards rose GBP 111 million in January, well below December’s GBP 223 million and somewhat below the six-month average of GBP 148 million. The British Bankers Association says overall consumer borrowing in January showed a stronger rise, largely through loans and overdrafts. Overall, net lending rose by an underlying GBP 5,312 million in January, compared to GBP 5,633 million in December and GBP 5,114 million in January 2005. Last year, credit card borrowing fell in three separate months, dropping a record GBP 146 million in August. The BBA collects data from Abbey National, Alliance & Leicester, Barclays, Bradford & Bingley, HBOS, HSBC Bank, Lloyds TSB, Northern Rock and The Royal Bank of Scotland.Details
VA-based credit card enhancement specialist Intersections, reported fourth quarter net income of $4.0 million, compared to $2.4 million for the year ago quarter, an increase of 68%. Total subscribers increased to approximately 3.7 million as of December 31st, compared to approximately 3.4 million as of September 30, 2005. Subscriber additions in the fourth quarter of 2005 were approximately 770,000. Total revenue for the fourth quarter was $43.2 million, compared to $35.9 million for the fourth quarter of 2004. Subscription revenue increased to $27.7 million for the fourth quarter from $22.9 million for the fourth quarter of 2004. For complete details on Intersections’ fourth quarter performance, visit CardData ([www.carddata.com]).
First Data has signed a three-year global merchant processing agreement between its affiliate OmniPay and HSBC. Under the terms of the agreement, OmniPay will enable HSBC to acquire merchants with a Pan-European or global presence on a single processing platform, consolidating all treasury, reporting and support requirements. Entering into a global acquiring contract with HSBC will eliminate the need for merchants to negotiate market-by-market contracts.Details
Electronic payments provider Euronet Worldwide posted revenues of $144.3 million for the fourth quarter, a 28% jump over 4Q/04. Net income nearly doubled to $8.5 million, compared to one-year ago. The EFT Processing Segment posted fourth quarter revenues of $29.3 million, a 24% gain over the fourth quarter of last year. The EFT Processing Segment processed 103 million transactions in the fourth quarter compared to 73 million transactions for 4Q/04. The segment completed the quarter with 7,211 ATMs owned or operated, compared to 5,742 ATMs at the end of the fourth quarter 2004. The Prepaid Processing Segment reported 4Q/05 revenues of $111.7 million, a 30% increase over the year-ago quarter. Total transactions processed by the Prepaid Processing Segment in the fourth quarter were 100 million, compared to 66 million prepaid transactions processed in 4Q/04. The Prepaid Processing Segment processes electronic point-of-sale prepaid transactions at more than 237,000 point-of-sale terminals across more than 127,000 retailers in Europe, Asia Pacific and the USA. For complete details on Euronet’s fourth quarter performance, visit CardData ([www.carddata.com]).
Fair Isaac reports that 20 organizations have joined the company’s roster of “TRIAD” adaptive control system users over the last 15 months. Nearly 300 credit portfolios, representing 85% of the credit card volume in the U.S. and 65% of the world’s credit cards, are managed using “TRIAD” systems. Fair Isaac also says it saw an unprecedented migration of existing customers to its newest “TRIAD 8.1” platform last year, with 14 installations currently in process at client sites on five continents. “TRIAD 8.1” is the first portfolio management solution to combine industry-standard account and customer strategy management capabilities onto a single platform. Fair Isaac’s “TRIAD” adaptive control system applies actionable analytics and executes strategies that help businesses segment customers based on risk and revenue.Details
GERS Retail Systems has deployed I4 Commerce’s “Bill Me Later” payment option at its Fred Meyer and Littman Jewelers stores. With Bill Me Later, consumers who do not have a credit card on hand or those who, for security reasons, prefer not to give out credit card information, simply provide basic information such as date of birth to make a purchase. Within seconds, qualified customers complete their purchase, receive a bill from I4 Commerce, and have the option of paying in full or financing their purchase over time. I4 Commerce’s provises a network of alternative payment solutions to multichannel retailers. GERS Retail Systems is a supplier of software solutions for retailers.Details
Metavante has hired John Reynolds, formerly with Wells Fargo, as President of its Healthcare Payment Solutions division. Reynolds is a 20-year banking industry professional who previously served as senior vice president and business director for Health Benefits Services at Wells Fargo Institutional Trust Service. Metavante Healthcare Payments provides a health benefits payment platform.Details
Illinois-based Abanco has released “Abanco Vista Merchant View,” the industry’s first ISO-Agent business intelligence tool that enables Abanco ISO agents to manage their merchant portfolio via a Web interface. Abanco Vista was designed to provide Abanco’s ISO sales partners with information on merchant underwriting and other status questions as well as provide visibility into the ongoing merchant services contacts and activity on individual merchant accounts and has the capability to build cross merchant statistical trend reporting as well as residual paymentinformation and other reporting queries requested.Details
Minneapolis-based Cash Systems announced that CFO David Clifford is leaving the company for personal reasons. Chris Larson, the Company’s COO and former CFO, will assume the position on an interim basis until a permanent replacement is found. The Company also announced a new contract with Boomtown Casino and Hotel in Reno. The deal includes check cashing, ATM and cash advance services, as well as the “All-In-1 ATM” product, which offers an array of cash services such as debit card withdrawals and credit card cash advance at the point of sale.Details
RI-based Citizens Financial Group is offering Citizens Bank and Charter One Bank customers with MasterCard “PayPass” payment technology on their debit cards. This month, customers receiving reissued cards are also being given the “PayPass” feature. In March, Citizens and Charter One will begin replacing all other existing customers debit cards with PayPass-enabled debit cards. MasterCard “PayPass” is now accepted at approximately 25,000 merchant locations in the U.S. at retailers such as McDonald’s, CVS, Duane Reade, 7-Eleven, Regal Cinemas and Wawa. Citizens Bank Park in Philadelphia, PA has also installed PayPass readers at all of its concessions. Citizens has more than 1,600 branches and approximately 3,100 ATMs in 13 states.Details
AZ-based eFunds reports that fourth quarter net revenue increased 6% to $138 million, compared to the fourth quarter of 2004. Operating income increased 23% to $20.2 million, or 15% of net revenue, compared to $16.4 million, or 13% of net revenue, reported in the equivalent quarter of 2004. For 2005, the Company reported net revenue of $501.7 million, down 9% compared to the $552.1 million of net revenue reported in 2004. The decline is reflective of the disposition of the Company’s ATM deployment business in late 2004. The decline was partially offset by acquisitions completed by the Company last year and organic growth in its continuing businesses. Reported operating income for 2005 was $75.2 million, or 15% of net revenue, as compared to $58.5 million, or 11% of net revenue, for the prior year. The Company says it expects full-year net revenue for 2006 to increase approximately 15% to 25% over full-year 2005 net revenue. For complete details on eFunds’ fourth quarter performance, visit CardData ([www.carddata.com]).
eFunds Revenues Historical
4Q/03: $135.4 million
1Q/04: $140.9 million
2Q/04: $140.7 million
3Q/04: $140.1 million
4Q/04: $130.5 million
1Q/05: $114.2 million
2Q/05: $116.3 million
3Q/05: $133.2 million
4Q/05: $138.0 million
Source: CardData (www.carddata.com)
VASCO Data Security International reported revenues for the fourth quarter of $17.5 million, an 88% increase over the year ago quarter. Net income for the quarter soared from $0.5 million for 4Q/04 to nearly $3.0 million for 4Q/05. During the quarter, VASCO signed 251 new customers and shipped 2,425,000 “Digipass” authentication products. Also, Friesland Bank (The Netherlands) agreed to use VASCO’s “Digipass 815” card reader for retail banking. For complete details on VASCO’s latest performance, visit CardData ([www.carddata.com]).