Lending Tree Hires AMS Exec

LendingTree, Inc., the leading online loan center, Wednesday announced that David Anderson, a former senior principal at American Management Systems Inc., has joined the company as Vice President of Lender Management and Borrower Relations.

Anderson will work with the more than 30 lenders on The LendingTree Network to continually increase their closed loan rates. He will manage technical improvements of backend systems, as well as the re-engineering of lenders’ traditional loan processes.

During his 10 years with AMS, a leading technology consulting company, Anderson advised large financial institutions on best practices in credit origination and customer relationship management. His roles at AMS included serving as originations program manager, client engagement manager, and U.S. delivery services manager. He earned his bachelor’s degree in computer information systems from James Madison University.

“Last month alone, more than 30,000 consumers requested loans on LendingTree’s site worth $2.2 billion. We’re devoting substantial resources to ensure that this growing demand translates into more closed loans,” said Doug Lebda, founder and CEO of LendingTree. “David’s knowledge of lending processes makes him the ideal person to spearhead this effort.”

“I’ve worked with lenders for years to create efficient and effective origination channels, but I think the Internet blows these traditional tools out of the water when it comes to cutting costs,” said Anderson. “I couldn’t pass up the opportunity to be part of a company that’s completely re-engineering the lending industry.”

In addition to his work with lenders, Anderson will plan and manage the growth of LendingTree’s Borrower Relations call center. LendingTree is increasing the size of its call center staff to handle an anticipated boom in volume expected from partnerships with priceline.com, a name-your-price mortgage and home equity service, and Credit Management Systems, Inc. (NASDAQ: CMSS), a company that gives LendingTree access to the CreditConnection network of leading prime and non-prime automobile lenders.

About LendingTree, Inc.

LendingTree, Inc., founded by Doug Lebda in 1996 and based in Charlotte, N.C., is the only place – on or off-line – where a network of lenders bid for borrowers’ business. Loan types include personal, auto, mortgage, home equity, debt consolidation and credit cards. The company is led by a management team comprised of veterans in the banking, financial services and information technology industries. In addition, LendingTree has formed strategic partnerships with Snap! and priceline.com. The priceline.com relationship lets borrowers name their own rate and terms for mortgages and home equity loans on priceline.com. Borrowers get answers to their loan requests from lenders in The LendingTree Network. LendingTree is an equal opportunity lender. Go to [www.lendingtree.com][1] or call 704-541-5351 for more information.

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


InterACT ’99 Rome

A cadre of industry leaders, including international economist, best-selling author and financial journalist Paul Erdman, will speak on the future of banking and technology at Fair, Isaac and Company, Inc.’s InterACT ’99 conference Better Strategies, Better Technologies, Better Decisions in a World of Change June 27-30, 1999, at the Cavalieri Hilton in Rome, Italy.

In his speech, entitled “A World Emerging from Crisis,” Erdman, best known for his books “The Silver Bears” and “The Set-Up,” will take InterACT participants on a global tour, starting with Southeast Asia, Korea and China, moving on to Japan, then Russia, and Latin America. In each case, he will seek the answer to the question: “When will worldwide economic recovery begin in earnest?”

Other conference keynote speakers include:

* Hans van der Velde, president, Visa International, EU region, who will explore the future of international banking and payments, including the exchange of electronic information and smart card technology.

* Former governor of the U.S. Federal Reserve System and current executive vice president at Fair, Isaac, Robert Heller, who will talk about technology and the bank of the 21st century, exploring the impact of technological innovations that are increasing the scale and speed of banking activities.

* John Spence, chief executive of business banking, Lloyd’s TSB Bank Scotland plc, who will discuss the challenges of balancing personal customer relationships with automated banking via the telephone and the Internet from the viewpoint of a UK retail banker.

In addition, Fair, Isaac experts will host more than 40 sessions on global, leading-edge strategies and technologies in insurance, credit management, financial services marketing, mortgage, small business lending, and telecommunications. InterACT ’99 is Fair, Isaac’s third corporate conference in Europe.

Once again, a Product Expo at the conference will allow attendees to “test drive” advanced software from Fair, Isaac and alliance partners. InterACT Showcase sessions will debut Fair, Isaac’s new, innovative decision-making solutions.

Fair, Isaac () helps businesses worldwide maximize the value of data to make more profitable decisions about their customers, operations and portfolios. Known for its pioneering work in credit scoring and its use of data in transaction-level decisions, Fair, Isaac now delivers data management services, analytics, software and consulting to the financial services, direct marketing, personal lines insurance, retail and healthcare industries. Headquartered in San Rafael, Calif., Fair, Isaac employs 1,500 people in 17 offices worldwide. For the fiscal year ended September 30, 1998, the company reported revenues of $245.5 million.


EFTA I-Commerce Council

The Electronic Funds Transfer Association (EFTA), a leading trade association for companies in the electronic payments and commerce industry, announced formation of an Internet Commerce Council.

The mission of the Internet Commerce Council will be to provide members with governmental policy insight and business analysis regarding the Internet as a sales channel, according to H. Kurt Helwig, EFTA executive director.

The inaugural meeting of the Internet Commerce Council will be March 23 at the Loews Coronado Bay Resort in Coronado, California, near San Diego, said Helwig.

The Internet Commerce Council meeting with be part of EFTA’s semi annual Industry Summit, a one-day update of technology and policy issues affecting the electronic payments and commerce industry.

The March 23 Summit is entitled “The Internet–New Channels for a New Millennium.” Participating will be such Internet companies as ELOAN, CompuBank, InsWEB, and OnMoney, a new Internet site by Ameritrade, according to Helwig.

Charter members of the new Internet Council include First Data Corp., PFF Bank and Trust, InteliData, PULSE EFT Association, BISYS Information Group, Novadigm, M & I Data Services and Chase Manhattan Bank.

“EFTA has historically done its best to advance the use of electronic payment systems and commerce,” said Helwig, “and the Internet is an extension of that mission. The Council will be another EFTA venue for helping members take advantage of evolving technology.”

The Internet Commerce Council, which will be chaired by Matthew P. Lawlor, chairman and chief executive officer of Online Resources and Communications of McLean, Va., joins four other EFTA Councils. They are the Electronic Benefits Industry Council, the Network Executives Council, the Legal and Regulatory Affairs Council, and the Independent ATM Services Council.

For more information about the Internet Commerce Council, or to register for its inaugural meeting, contact EFTA at 888/488-7635.

About the Electronic Funds Transfer Association

Now in its 22nd year, the Electronic Funds Transfer Association is the nation’s leading inter-industry trade association dedicated to the advancement of electronic payments systems and commerce. Its members include First Data Corp., First Union National Bank, GEMPLUS Card International, Fujitsu ICL Systems, CyberCash and Online Resources and Communications.

Its web site is [www.efta.org][1].

About EFTA’s Summit Series

The EFTA Summit Series consists of two semi-annual meetings each year. The purpose of the meetings is to provide an intensive one-day update on the latest technology, business, and policy issues affecting the electronic payments and commerce industry. The meetings are geared towards the senior-level executive with little time for a three or four day conference.

The next Summit is scheduled for October 5 in Washington, DC. For more information on the Summit Series, contact EFTA at 888/488-7635.

[1]: http://www.efta.org


Digital Persona Card

Cylink Corp., a leading provider of network security solutions, and its wholly owned subsidiary, Algorithmic Research, will demonstrate advanced smart cards using Digital Persona’s fingerprint recognition technology this week at the CeBIT ’99 show in Hannover, Germany.

Using a fingerprint with a smart card provides added convenience for users who no longer have to remember passwords or PIN codes to unlock the card. The added user convenience also leads to better security because users will no longer be tempted to write down their access codes in order to remember them.

The demonstration illustrates a major advancement in smart card security in which part of the fingerprint matching required to unlock the card takes place on the smart card itself, rather than on a host computer. The new smart card will provide an added layer of protection for secure logon to a network, remote user authentication, and for accessing private keys for digital signatures.

“This sets a new standard for smart card security,” said John Marchioni, Director of Product Strategy, Cylink Corporation. “The smart card is used to handle the biometrics, in addition to the private key and signature operations, so that the most sensitive operations used for user authentication are not subject to viruses and trojan-horse software.”

“Cylink’s public-key smart card platform is ideal for integration with our technology,” said Vance Bjorn, Chief Technical Officer at Digital Persona. “Cylink’s subsidiary, Algorithmic Research, has been developing public-key smart cards for commercial use since 1989, which assured us a stable platform. Plus, the smart card interface allowed for the rapid development of this prototype.”

PrivateCard(TM), developed by AR, is for ISO 7816 IC cards. It provides 1024-bit public key services (digital identity and digital signatures) and secure data storage and access for applications. The PrivateCard platform makes the smart card usable for multiple applications, such as network authentication, physical security, and electronic business. Its operating system, file-store and API were designed so that the resources of the smart card could be shared among many applications while maintaining the integrity of data stored on the card.

Digital Persona’s fingerprint technology brings full security with minimal resources required from the smart card. It requires low processing power and memory resources in the card, freeing up those resources for other applications. Combined with the multi-application benefits of PrivateCard, this technology will allow users to get more flexibility from the same card, further protecting an organization’s investment.

“This solution is especially elegant because it combines one of the most efficient biometrics verification systems with one of the most versatile smart card implementations,” said Marchioni. “We are committed to delivering all the added benefits, on the same re-usable smart card, without overhead.”

About Digital Persona

Digital Persona is a three-year old company dedicated to mass market solutions for user authentication based on biometrics. The company’s first product, the U.are.U Fingerprint Recognition System, has won numerous awards including Best of Comdex, Editors choice from PC Magazine and Network Computing Magazine, and Technical Excellence finalist from PC Magazine. Digital Persona biometric hardware and software is sold through the retail, OEM and VAR channels worldwide. Visit Digital Persona at .

About Cylink and Algorithmic Research

Cylink Corporation and its wholly owned subsidiary, Algorithmic Research, are leading providers of cryptographic-based network security solutions. Their products enable the secure transmission of data over networks, including local-area networks (LANs), wide-area networks (WANs), and public packet-switched networks such as the Internet. Cylink and Algorithmic Research serve Fortune 500 companies, multinational financial institutions, and government agencies worldwide. For more information, visit our web sites at and .


Euronet 2X Revenue

Euronet Services Inc. reported this morning that revenues grew to $11.9 million in 1998, more than double the revenues in the previous year. Revenues for the fourth quarter of 1998 were $4.1 million, an increase of 32% over the third quarter 1998 revenue of $3.1 million. The number of live Euronet ATMs increased from 693 at the end of 1997 to 1,271 at the end of 1998. The number of countries in which Euronet has installed ATMs increased from five to seven. As of February 28, Euronet was operating 534 ATMs in Hungary, 425 in Poland, 199 in Germany, 69 in Croatia, 52 in the Czech Republic, six in the U.K. and two in France. Of the total 1,287 ATMs, 85% were part of Euronet’s proprietary network and 15% were operated by Euronet for client banks under ATM management outsourcing agreements.


MBNA On-line Deal

Despite being a laggard with on-line marketing, MBNA America announced this morning a major marketing alliance valued at $100 million. MBNA and Infoseek Corp., operator of GO Network, have signed an exclusive multi-year strategic credit card marketing alliance. Under terms of the agreement MBNA will provide a no-annual-fee affinity credit card program, including online solutions, to consumers at participating GO Network sites. Participating GO Network sites include GO.com, Infoseek.com, ABCNEWS.com, ESPN.com, Mrshowbiz.com, Wallofsound.com, NFL.com and NASCAR Online. The three-year agreement, which includes a mutual option to renew for two-years, will generate a guaranteed $85 million over five years, based on an advertising buy, and a total of up to $100 million in potential revenues for Infoseek, based on revenue upside related to account minimums, and a revenue share on charge activity. GO Network, which was launched in January, claims it currently has more than 22 million users.



St. Louis-based PaylinX Corp. and National CacheCard, Co., have formed a marketing partnership to integrate NCC’s smart card and encrypted debit card payment services into the PaylinX enterprise commerce payment processing platform. Using NCC technology, PaylinX is expanding its network architecture to include PaylinX for Vending and PaylinX for merchants, both of which include fully-integrated support for credit/debit and smart cards in a single device. Key-entered, card-swiped or card-inserted data is encrypted at the start of the process for fully secure sessions from front to back.


Gemplus Conference

Gemplus announced Tuesday the first worldwide developer conference for the smart card industry. ‘Gemplus Developer Conference ’99’ is the result of interest in Gemplus’ Internet Developers’ Program, launched in October 1998 to provide tools and a forum for smart card technology developers and researchers. The conference targets all developer communities, including all technical specialists from the ‘Gemplus Expert Network’, as well as current and future customers, system integrators, research centers, universities and all the persons / entities who develop around smart card products. The aim of the conference is to encourage the exchange of scientific and technological information among smart card application developers.


Hyundai Phone Cards

Hyundai Information Technology Co. Ltd. has selected Teleglobe for its international prepaid phone card business. Marketed under the Hyundai brand name, Hyundai will sell the cards through a team of distributors. Hyundai says it will market the card to U.S. military bases in Korea and other retail markets.The Teleglobe prepaid card also offers complete back office support, from customer service to billing and fraud protection; operator services available in more than 30 languages; and the use of Teleglobe’s global fiber optic and satellite network to place calls from nearly 90 countries worldwide.


AmEx Targets Corporate Canada

Amex Canada Inc. announced Tuesday that it is adding a new management consulting practice to its range of travel and expense management services. The company says the move will help Corporate Canada tackle one of its fastest growing overhead costs – travel and entertainment expenses.

Amex is boosting its consulting capabilities in direct response to growing demand from Canadian businesses for more sophisticated and customized advice on how to control travel-related costs, which are estimated to be a $13 billion annual expense. By paying closer attention to managing these expenses, it says Corporate Canada can save $1 billion annually.

Duke Butler, senior manager in charge of Amex’s Consulting group, says the company is now equipped to assess the travel and expense management (T&E) processes of Canadian businesses and has developed a series of technology tools designed to benchmark and analyze T&E practices.

“Companies are saying they want more from us than just ticket dispensing services,” says Butler. “They want help in studying the whole process of travel and expense reconciliation, and they want us to pinpoint where they can make savings and map out the steps needed to improve efficiency and reduce overall costs. We are prepared to provide this level of service by conducting thorough process reviews, benchmarking against global best practices, providing e-commerce and technology solutions, and formulating and implementing recommendations,” he added.

Amex sees this is a significant new area of business as more companies are getting serious about coming to grips with what is now ranked as their second largest controllable expense. By building a team combining experts in travel management with experienced management consultants, and by investing in technology, Amex believes it is uniquely positioned to bring the most comprehensive practice to the marketplace.

“We have built on the years of knowledge Amex has gathered in helping thousands of clients improve their travel management programs. And we are taking the rich information resources from around the world, and available only to American Express, and making them available to our clients using a management consulting approach,” says Butler.

New consulting technology tools are designed to help companies in several areas including:

– Cost Savings – Determine exactly where savings can be realized in the administration of corporate card programs, as well as through the processing of expense reports and reconciling invoices.

– Travel Policy – Simplify the time consuming process of developing formal policies on travel and business expenses for employees, with an easy-to-use interactive software program that allows companies to create their own guidelines based on the best practices of similar organizations from around the world.

– Purchasing Process – Using a one-of-a-kind database on the purchasing policies and practices of thousands of companies worldwide, clients are able to benchmark their costs, use the information to drive improvements in their overall program and negotiate deals with their suppliers.

American Express in Canada operates as Amex Canada Inc. and Amex Bank of Canada. Amex Canada Inc. is a leading provider of travel related services in Canada and assists companies in managing and controlling their business and travel expenses. Amex Bank of Canada is the issuer of American Express Cards in Canada. Both companies are wholly-owned subsidiaries of the New York-based American Express Travel Related Services Company, Inc., the largest operating unit of American Express Company, which provides a wide range of financial and travel related services for consumers and companies.



JCP announced Tuesday that it is developing its PKI application platform, ‘Trustbase’, to support Barclays’ ‘Endorse’. ‘Endorse’ , piloted in June 1998, is a smart card based digital signature service which enables cardholders to establish a trusted their identity online to both public and private sector organizations. ‘Trustbase’ contains pre-built functions such as digital certificate based authorization, rapid PKI-enablement and non-repudiation. Barclays says the key factor in choosing to work with JCP was that ‘Trustbase’ dramatically cuts the costs of supporting the projected high number of ‘Endorse’ customers, since they can safely receive automatic software updates over the Internet thanks to JCP’s pioneering implementation of a ‘limited trust’ security architecture. In addition, customers using ‘Trustbase’ are protected from inadvertent or malicious security breaches by the comprehensive code integrity checking and code isolation features unique to the platform.