Talking ATMs

Citibank has installed New York’s first talking ATMs, launching a sixteen-month plan to install a talking ATM at each of Citibank’s Financial Centers and its ATM centers across the country. Citibank joins Bank One, BofA, Wells Fargo and Mellon in the migration to talking ATMs. Citibank said yesterday it has also installed five talking ATMs in California. The ATMs, using text-to-speech technology, deliver audible information privately through an earphone so that persons who are blind, or who may otherwise have difficulty reading an ATM screen in print, can independently use the ATM. Last month, Bank One installed its first talking ATMs in Illinois and Ohio. Bank One installed 30 of the newly developed ATMs in the Chicago and Columbus areas. By the end of the year the bank plans to install 100 additional talking ATMs in these and other markets. Mellon Bank announced in February the installation of eleven talking ATMS in Pittsburgh, Philadelphia, and Harrisburg. Last summer, Bank of America installed its first fifteen talking ATMs in California. BofA announced that over the next three years, more than 2,500 talking ATMs will be installed in California and Florida. In April 2000, Wells Fargo installed twenty talking ATMs in the San Francisco Bay Area, Los Angeles and San Diego. Wells Fargo is currently upgrading 1,500 ATMs in California. (CF Library 4/20/00; 6/6/00; 2/22/01; 3/30/01; 4/26/01)


Cyota & MS

Cyota, a leading payment security company, announced today a cross-licensing agreement with Microsoft Corp., giving Cyota a license to Microsoft patents in the area of proxy number technology. The companies will also be working together to develop secure transaction services, based on Microsoft .NET technologies, designed to help businesses deliver a new, richer customer experience.

“We are delighted to have signed a deal with Cyota,” commented Brian Arbogast, vice president, Personal Services Group at Microsoft. “Cyota’s products are positioned to help financial institutions deliver secure transactions to their customers shopping online, which is consistent with the Microsoft .NET strategy to enable the richest and most secure online experience possible; any time, anywhere and on any device.”

Cyota’s flagship product, SecureClick, allows consumers to shop online without revealing their real credit card number. This is achieved by replacing a customer’s real credit card number with a one-time transaction number, which expires after each transaction.

“This licensing agreement further advances Cyota’s position as the leader in the secure payments space,” commented Gary Heatherington, Cyota CEO. “We are thrilled to explore additional opportunities to work with Microsoft in the future.”

“Additionally, this agreement provides Cyota with comprehensive Intellectual Property coverage in the online payment space, and will facilitate the use and adoption of Cyota’s surrogate number technology for Internet purchases worldwide.” added Heatherington.

About Cyota

Cyota ( is an innovative technology company that is dedicated to helping financial institutions strengthen their customer relationships through reliable, flexible, easy to use online security, payment and transaction products. Founded in 1999 by leading card and security industry experts, Cyota is headquartered in New York with offices worldwide.


Proton Open Platform

Proton World announced that it had successfully implemented the new Open Platform 1.5.4 Terminal Framework specification, developed by the Device Committee of GlobalPlatform, a cross-industry organization that owns and develops the Open Platform specifications for multiple-application smart card platforms.

Proton World has developed and implemented OPTF-compliant modules for e-purse load, purchase and balance reading, using both the Proton R3 and the Proton Prisma technology releases. The modules are platform-independent, and were created using the JavaÔ programming language and inter-application and application-platform interfaces defined and specified by GlobalPlatform. Proton World and GlobalPlatform believe that the existence of large terminal infrastructures is key to the future development of large-scale smart card systems. Until now, there was a lack of global standards for terminals, and terminal development was a slow and costly process, often dependent on the specific requirements of each customer or scheme. The OPTF standard is an important step towards a new generation of smart card terminals that are platform and vendor-independent. Its adoption means that costly development work can be done once and then replicated in many different implementations. It will also open the terminal development process to developers without specific terminal knowledge.

The Proton World OPTF implementation was demonstrated at the Proton World booth at the CardTech/SecurTech trade show in Las Vegas from 14-17 May. The demonstration used a PC, a C-ZAM/Smash smart card terminal from Banksys and a Proton Prisma smart card.

Yves Moulart, CTO at Proton World, said “We believe that OPTF solves many of the problems associated with traditional terminal development, and opens the door to a new generation of terminals, just like OP 2.1 and CEPS have led to a new generation of smart cards. Both of these developments will help to realize the full potential of smart cards.”

Bernard Morvant, chairman of the GlobalPlatform Device Committee, said ” I am delighted, but not surprised to see that Proton World is one of the first in the world to implement OPTF. They have been very active members of the Device Committee and this achievement confirms their commitment to remaining at the cutting edge of international smart card standards development.”

Vincent Roland, senior vice-president, Terminal and Card Applications at Banksys, said “Banksys is very pleased to have collaborated with Proton World in this development, which clearly demonstrates the suitability of our C-ZAM/Smash terminal for global deployment.”



LML Payment Systems Corp. has signed an electronic transaction processing contract with Advanced Purchasing Systems of Phoenix, Arizona.

LML, through its proprietary transaction processing software REPS (Retail Electronic Payments System) will provide check authorization processing along with credit, debit and EBT card authorization and selective routing services to Advanced Purchasing Systems’ four-store grocery chain operating under the trade name Premier Desert Markets, located in the Phoenix, Arizona area.

“We are pleased with this contract and look forward to providing these services to the Premier Desert Market stores. We also look forward to the opportunity to provide additional related check services in the months ahead,” said corporation president and CEO, Patrick H. Gaines.

The Corporation, through its subsidiary LML Payment Systems Corp., is a financial payment processor providing end-to-end check processing solutions including Electronic Check Conversion (whereby paper checks are converted into electronic transactions), electronic check verification, electronic check re-presentment (whereby returned paper checks are re-presented for payment electronically), and primary and secondary check collection to supermarkets, grocery stores, multilane retailers, convenience stores and other national, regional and local retailers. We also specialize in providing selective routing, including real-time monitoring of check, debit, credit and EBT transactions for authorization and settlement through our flagship transaction processing product REPS (Retail Electronic Payment System).



Any Bank of Montreal customer with an email address will be able to receive money by email in real time as a result of a letter of intent signed by Bank of Montreal and CertaPay Inc. The bank’s clients will have a secure person-to-person cash transfer system. To transfer funds, bank customers log on to their existing Web account, click on the email payment feature and enter the recipient’s name and email address. An email message instantly notifies the recipient that funds have arrived, and at the recipient’s choice, the cash can be directed to their preferred account – savings, checking or credit card.

“CertaPay’s email money system addresses a real customer need that, so far, has been unfulfilled in the payments industry. That’s the need to easily, securely and affordably transfer money person-to-person electronically,” said Marnie Kinsley, executive vice-president, E-Business, Emfisys, and president and CEO Cebra Inc., Bank of Montreal.

“It will be like sending an electronic check, which is a vast improvement over the paper-based process of mailing a check.”

When the CertaPay platform is up and running later this year, Bank of Montreal customers, along with those of CIBC, Scotiabank and TD Canada Trust, will have access to the first bank-based, email, P2P money system of its kind and magnitude in the world.

“Email is ubiquitous,” says Michael Ginsberg, CertaPay’s CEO. “It’s universal. It’s international. That makes email a perfect medium to facilitate money transfer. The very fact that we’ve attached money movement to email has a lot of foreign banks interested in our platform.”

ComQUEST Research Inc. estimates that today 58 percent or about 14 million Canadians adults use at least one email address. According to a March 2001 estimate by the Canadian Bankers Association, there are approximately 20 million retail banking customers in Canada.

Banking industry surveys show that Canadians have confidence in the safety and security of their banking system when conducting personal electronic financial transactions. P2P email money transfers will originate from within a bank’s password protected, authentication processes and infrastructure. This means customers do not have to establish new accounts, IDs or passwords with third parties other than their bank.

Also, customers do not need to know sensitive information about their recipient, such as a bank account number, for example. They require only the recipient’s name and email address, whether it’s to send money to family or friends, pay the rent, donate to charities, contribute to fundraisers or pay the daycare center.

“Canadians have been able to make direct electronic payments to established businesses and organizations for many years,” added Ms. Kinsley. “Using email as the messaging system, funds will be transferred and payments reconciled just as they’ve always been. By harnessing the power of the Internet, we’re helping clients manage their money more easily.”

About Bank of Montreal

Bank of Montreal, Canada’s first bank is a highly diversified financial services institution. The bank operates more than 30 lines of business within its group of companies, including BMO Nesbitt Burns, one of Canada’s largest full-service investment firms and Chicago-based Harris Bank, a major U.S. mid- west financial services provider.

About CertaPay

CertaPay Inc. specializes in point-to-point Internet payment solutions for financial institutions (FI). The CertaPay platform is designed to work under FI brands, under FI security and under FI control. CertaPay’s solutions empower FIs to retain full control over their customer relationships, offer new electronic payment services and leverage their high levels of trust for security and moving money. Bank of Montreal, Canadian Imperial Bank of Commerce, Bank of Nova Scotia and TD Canada Trust are integrating CertaPay’s person-to-person payment capability, which enables online banking customers to email money.


Check Solutions Sold

First Tennessee National Corp. announced that its principal banking subsidiary, First Tennessee Bank N.A., along with its partner, International Business Machines Corporation, has entered into a definitive agreement with Carreker Corporation, Dallas, Texas, for Carreker to acquire all of FTB’s and IBM’s partnership interests in Check Solutions Company, a check and image processing software development and installation business.

The transaction is expected to be completed in the second quarter of 2001, subject to necessary approvals, routine closing conditions and the completion of financing for which Carreker has arranged a commitment.

Check Solutions is a partnership formed in 1990 between FTB and IBM that provides financial institutions with check processing and related software solutions, implementation services and education programs. First Tennessee decided to sell its partnership interests in Check Solutions as part of its plan to improve its long-term growth rate by enhancing its overall business mix.

John Kelley, First Tennessee president of business financial services, said, “Carreker’s expertise in developing and marketing bank software solutions and related services clearly demonstrates its leadership in the industry. We are pleased to have concluded this sale to a company that shares First Tennessee’s commitment to providing the best products and services available.”

About First Tennessee National

First Tennessee National Corp., parent company of First Tennessee Bank, has assets of $19.3 billion and is a nationwide, diversified financial services institution and one of the 50 largest bank holding companies in the United States in asset size and market capitalization. Banking and other financial services are provided through the regional banking group and three national lines of business: First Horizon Home Loans, First Tennessee Capital Markets and transaction processing which includes First Horizon Merchant Services (credit card merchant processing) and Express Processing (nationwide payment processing operation). More information is available at



Equifax announced that its Payment Services division, which will be spun off, has selected Certegy as its new name. In October, Equifax approved a plan to create an ‘Information Services’ company and a ‘Payment Services’ company. Equifax’s Payment Services division provides credit and debit card transaction processing, card processing software, portfolio management and analysis, cardholder customer service, card enhancements, credit marketing, risk management, merchant processing, and collections to independent banks and credit unions in the U.S. and major card issuers globally.


NPC Signs K*B

National Processing Company announced the signing of a multi-year processing agreement with K*B Toys. Under the agreement, NPC will provide an end-to-end processing solution for all K*B Toys’ Visa and MasterCard transactions.

K*B Toys is the nation’s largest combined mall-based and online specialty toy retailer operating more than 1,300 stores across the United States, Guam and Puerto Rico. Under the agreement NPC will provide front-end authorization and settlement services for all card-based transactions accepted at K*B Toys locations and outlets. NPC will also process all Visa and MasterCard transactions from online sales on their website,

“We were impressed with the level of quality and service that NPC has continued to deliver retailers,” said David MacPhee, vice president of Finance and controller for K*B Toys. “Partnering with NPC allows us to take advantage of processing scale and efficiencies as well as minimize costs associated with the acceptance of card-based transactions. NPC strives to understand and deliver merchant processing solutions that allows us to concentrate on issues critical to our business.”

“NPC is delighted to continue its relationship with K*B Toys,” said Mark Pyke, executive vice president of Merchant Services for NPC. “A key advantage of being a single-source processor is that we are able to partner with our clients. Since we are involved on an end-to-end basis, we are able to work more effectively with our clients to help expand their payment alternatives and reduce their cost.”

About K*B Toys

K*B Toys is the nation’s largest combined mall-based and online specialty toy retailer, operating more than 1,300 stores in all 50 states, the American Territory of Guam and the Commonwealth of Puerto Rico, doing business as K*B Toys, K*B Toy Works, K*B Toy Outlet, K*B Toy Liquidators, K*B Toy Express and with Online Shopping at ( ).

About National Processing, Inc.

National Processing, Inc. through its wholly owned operating subsidiary, National Processing Company (NPC(R)) is a leading provider of merchant credit card processing. National Processing is 87 percent owned by National City Corporation (NYSE: NCC) ( ), a Cleveland based $91 billion financial holding company. NPC supports over 500,000 merchant locations, representing nearly one out of every five Visa(R) and MasterCard(R) transactions processed nationally. Additional information regarding National Processing can be obtained at .


Wireless Juniper

Juniper Bank has extended its wireless banking capabilities to owners of Palm OS-based PDAs. Customers can download Juniper’s wireless banking application for their ‘Palm V’, ‘Palm VII’ or ‘Handspring Visor’ for free. Customers can view account balances, pay bills, receive alerts about important account activity and transfer funds between their Juniper and external bank accounts. Juniper Bank’s wireless platform was developed by Aether Systems.


Hawaiian Do-Gooders

VISA has joined with First Hawaiian Bank and American Savings Bank to launch a multi-million dollar financial literacy program for high school students in Hawaii. The announcement comes on the eve of the conversion of more than 200,000 Bank of Hawaii VISAs to American Express cards. In December, Bank of Hawaii agreed to sell its $226 million, 148,000 account, VISA credit card portfolio to American Express. It was the first purchase of a significant U.S. VISA card portfolio by American Express. The VISA program, announced yesterday, involves ten high schools throughout the Islands that will receive computer labs, a comprehensive financial literacy curriculum ‘Practical Money Skills For Life’ and teacher training. The computer labs segment of the program involves giving away five computers of each school’s choice. Teachers from all of the schools will attend a 2-day training seminar in August. Two months ago, American Express announced a series of philanthropic and marketing activities in support of the Hawaii Nature Center. AmEx gave a $100,000 grant to support a new coastal curriculum and field program for fifth graders that will serve approximately 3,500 additional students each year. AmEx also agreed to make a donation to the Hawaii Nature Center for every American Express transaction that a cardholders makes at any merchant location in Hawaii, up to $100,000. (CF Library 12/21/00; 2/9/01; 3/30/01)


Wachovia Deal

Today Wachovia’s board is expected to debate First Union’s friendly offer to acquire the bank and SunTrust Banks’ hostile counteroffer. The outcome may have an impact on the sale of Wachovia’s $7.7 billion bank credit card portfolio to Bank One/First USA. There are indications that Wachovia’s board favors the First Union bid while institutional investors favor the SunTrust Banks offer. There are also indications that no matter which way the deal goes, MBNA will most likely emerge as the issuer of future credit cards for Wachovia. On April 9, Wachovia agreed to sell its credit card portfolio to Bank One/First USA and enter into an agent bank relationship. One week later Wachovia announced plans to merge with First Union. Last August, First Union agreed to sell its remaining credit card portfolio to MBNA and sign a long-term agent bank relationship. Shortly after the announced Wachovia-First Union merger, SunTrust unleashed its hostile bid. However SunTrust Banks sold its $1.5 billion bank credit card portfolio to MBNA in October 1999. SunTrust also entered into an agent relationship with MBNA for personal credit card products. There is a possibility that Bank One/First USA could still acquire the Wachovia portfolio but relinquish its right to issue future cards under the agent relationship. However the Bank One/First USA deal could totally collapse, shifting existing Wachovia credit cards to MBNA’s portfolio. At the end of the first quarter, Wachovia had 2,483,924 active accounts, according to CardData ([][1]). (CF Library 10/15/99; 8/15/00; 4/19/01)

[1]: /carddtaa/main.html


c2it Global

Citigroup continues building the backbone of its international credit card and foreign exchange businesses with the globalization of the ‘c2it’ service. Citigroup announced this morning it has expanded its person-to-person payments system to enable U.S.-based customers to send money from their desktops to recipients in 30 countries. Recipients in the destination countries, who may be either individuals or merchants, will receive their funds via an international direct deposit into their bank accounts, or via a paper check that will be sent to them through the postal service. They do not need to have access to the Internet or have e-mail to receive the funds. Money can be sent using a debit or credit card. In most cases, money can be sent in the currency of the country in which it is received, and the exchange rate is automatically guaranteed at the time of the transfer. Fees are based on flat rates of US$10 if the sender requests that a paper check be sent to the recipient, and US$15 if the sender requests a direct deposit into the recipient’s account. All costs are paid by the sender, and no fees are charged to the recipient by Citibank. Beginning today, money can be sent via ‘c2it’ from the U.S. to: Argentina, Australia, Austria, Belgium, Brazil, Canada, Czech Republic, Denmark, Dominican Republic, Finland, France, Germany, Greece, Hong Kong, India, Ireland, Italy, Jamaica, Japan, Mexico, Netherlands, New Zealand, Norway, Poland, Portugal, Singapore, Spain, Sweden, Switzerland, and the United Kingdom. (CF Library 5/1/01)