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NF Edition #533 - 11/23/16
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Highlights this week...

Preview: Holiday Spending Analysis
The U.S. Holiday Spending Analysis is an annual report released by The Strawhecker Group and the Electronic Transactions AssociationWatch for the full report to be issued next week.



ETA Debuts Premiere Group of Young Payments Professionals (YPP) Scholar Program

PR Newswire | 11.23.16

The Electronic Transactions Association (ETA) this week announced the 10 young payments professionals that have been selected as the first participants in ETA's YPP Scholar Program.

Those selected were chosen from over 50 candidates by an esteemed committee of ETA volunteer leaders to participate in this inaugural program. The ETA YPP Scholar Program provides support, education, and opportunity to young professionals, and encourages leadership within ETA and the industry at large.

TSG's Director of Marketing, Andrew Nuss, has been selected for this exclusive program

Visa Modifies Policies on Debit Routing
Visa | 11.22.16

Nov. 22, 2016-- Visa modified and clarified existing debit network routing rules to help merchants and acquirers better understand implementation options related to the adoption of EMV chip technology in the U.S. The modifications and clarifications follow new guidance recently issued from the Federal Reserve and address a Federal Trade Commission inquiry. With Visa chip cards, debit routing and processing are enabled by two payment application identifiers (AIDs) on the chip – the U.S. Common Debit AID or the Visa Debit AID. The Common Debit AID can support any of the more than one dozen domestic debit networks that issuers can choose to offer in addition to Visa Debit. This provides merchants with the ability to select the network over which a debit transaction is processed or routed.

Visa and Mastercard Could See Big Gains From India's Sudden Currency Ban

Fortune | 11.23.16

The two have already been holding talks with the Indian government on paperless payment. Public frustration may be simmering over India’s sudden withdrawal of its most widely used cash denominations, but credit card companies are sensing an opportunity: Visa and Mastercard, the world’s largest payment networks, are expecting to see a seismic switch to paperless transactions that they’ve awaited for years.  Bloomberg reports that the two companies had already been in discussions with the Indian government on ways to shift the economy away from cash.

Chase Pay App Debuts
BusinessWire | 11.21.16

Chase customers can now download and pay with Chase Pay, the new digital payment solution that works in stores, in app, and online. The Chase Pay app works at the more than 7,500 participating Starbucks locations in the U.S. and nearly 1,400 Best Buy stores. Chase customers can download the Chase Pay app from the App Store and Google Play Store. Once they sign in using the same User ID and password as they use on, customers will see their Chase Visa® Credit, Debit and Liquid® cards already loaded in the app. Touch ID can be used for future use of the app to make it easy to pay at the register.

Madison Square Garden Discloses Data Breach
Fortune | 11.23.16

If you bought food, drinks, or merchandise at the company’s venues you could be affected. The Madison Square Garden Company, which operates the popular self-named arena in New York City among other properties, has disclosed a data breach affecting its customers. Thieves stole credit and debit card information from customers of its concession stands over a year-long period, the company revealed on Tuesday. The cause of the breach has since been resolved, the company said.

Mastercard's Call to Digital Payments Action
PYMNTS | 11.21.16

Fact. Digital commerce has been a reality for more than two decades. Fact. The launch of the iPhone in 2007 and the App Store in 2008 opened everyone’s eyes to the impact that mobile would have on payments and commerce. Fact. Twenty years and hundreds of millions of smartphones later, the digital payments experience is anything but consistent anywhere — online, in-store and in-app. There are lots of reasons for that inconsistency.

Millennials Dominate Peak Shopping Days, While Baby Boomers and Retirees Avoid Them, According to Latest Vantiv ShopTalk Survey
Vantiv | 11.21.16

It's the most wonderful time of the year. Regardless of age, it is a time for celebration, visiting loved ones and of course, shopping. But who is going to be shopping after eating turkey on Thanksgiving and who is going to be staying at home? According to the latest Vantiv ShopTalk survey, conducted by Socratic Technologies, only one in five people (20 percent) plan to shop in stores on Thanksgiving Day, and only 31 percent on Black Friday. Millennials will be making up the biggest portion of that group, with 34 percent of Millennials saying they will shop on Thanksgiving and one out of two (51 percent) in malls and stores on Black Friday.

The Chip Card Migration Needs More Speed & Consistency
PaymentsSource | 11.21.16

Despite the breakneck speed of technological advances, however, the United States has been slow to evolve its security practices compared with other countries, many of which began adopting EMV more than a decade ago. Last year’s liability shift for the majority of businesses in the United States created financial impacts and a risk of longer queues – both delayed adoption of EMV at the point of sale. The U.S. implementation has been inconsistent, and some small businesses struggle to afford new EMV technology acceptance devices and to complete EMV certification.

Bank of America Suffers 'Sporadic' Teller System Outages
American Banker | 11.22.16

Consumers flooded Twitter and with complaints that Bank of America's teller system was down Tuesday afternoon. A bank spokeswoman contacted late in the afternoon said everything was operating normally. "Some of our tellers were having sporadic issues with their terminals, but they were able to serve customers manually," Jumana Bauwens said. "Also, there were no issues with ATMs or any other services." She declined to answer questions about possible causes.

Goldman Sachs Leaves R3 Blockchain Consortium
CoinDesk | 11.21.16

Goldman Sachs has reportedly elected not to renew its membership in blockchain consortium R3CEV. According to The Wall Street Journal, the bank has left the group, but notably intends to continue developing blockchain projects on its own. (Goldman Sachs is an investor in blockchain technology startups Circle and Digital Asset Holdings). In response to the departure, R3 has said that exits among members are to be expected over time.

Related: Another Bank (Santander) Quits Blockchain Alliance R3

The team behind Cookies is joining Klarna

TechCrunch | 11.22.16

All the work that went into creating peer-to-peer payment app Cookies isn’t disappearing forever. After filing for bankruptcy, Swedish tech company Klarna approached the team behind Cookies so that they can join another fintech company. The entire Cookies team except one co-founder is joining Klarna, as Klarna announced and t3n reported. I don’t think the two co-founders can work together again after the big meltdown that led to the bankruptcy. At least Cookies isn’t simply shutting down with nothing left but a few app screenshots. Klarna showed up during the insolvency process and made the best offer.

Barclays Launches Contactless Cash
Finextra | 11.21.16

Barclays Bank is to install contactless cash machines in branches across the country, enabling customers to withdraw up to £100 by tapping their mobile phone or debit cards at the terminal. The service is initially being piloted in the North before rolling out to over 180 Barclays branches in the New Year. It will be available on over 600 in-branch machines, says the bank, allowing customers to withdraw cash with just a tap of their Android smartphone or contactless debit card.

U.S. is the Global Fraud Hotspot, with Online Fraud Attempts Expected to Increase 43% During Peak Holiday Season Due to EMV Shift
BusinessWire | 11.22.16

As the busy holiday shopping season approaches, global retailers can expect a 12 percent growth in online fraudulent activity in the upcoming holiday season, compared with the same period last year—and lower ticket prices on fraudster-targeted gifts and products, according to new benchmark data from ACI Worldwide. The data, based on hundreds of millions of transactions from retailers globally, provides actionable insights that merchants can leverage to protect against fraudulent activity this holiday season.

Telcom Company Three Mobile Breached in Scam
Bank Info Security | 11.21.16

Three Mobile, one of the largest U.K. mobile providers, has apologized after scammers gained access to its systems, ordering new phones for a handful of the company's customers with the intent of intercepting the deliveries and committing fraud. The fraudsters accessed a database that's used for upgrading consumers to new devices. All told, 133,827 accounts were at risk, but only eight customers had been upgraded without their knowledge.

Symantec Buys Anti-ID Fraud Firm LifeLock for $2.3B
Ars Technica | 11.21.16

Symantec, one of the biggest consumer computer security firms in the world, is about to become even bigger with plans to buy LifeLock—an identity-theft protection service. The proposed $2.3 billion (£1.86 billion) deal has been okayed by the boards of directors of both companies, and is expected to close in the first quarter of 2017, pending regulatory approval. LifeLock's shareholders will receive $24 (£19.45) per share—a 16 percent premium to its closing price on Friday of $20.75.

EU rules to stem payment fraud may disrupt six billion euros of e-commerce: Visa
Reuters | 11.21.16

The European Union's planned rules to reduce fraud by forcing the use of passwords or codes to authenticate electronic payments above 10 euros ($10.60) risk disrupting online shopping and may not increase security, Visa said on Tuesday.

As cybercrime and online fraud are on the rise, the European Banking Authority, the EU's banking regulator, proposed in August draft technical standards to prevent illegal activities, including the passwords.

IRS Wants Court Authority To Identify Bitcoin Users & Transactions At Coinbase
Forbes | 11.21.16

Okay, maybe it wasn’t quite that sweet, but it was definitely that broad. Last week, the Department of Justice (DOJ) filed paperwork in federal court (California Northern District Court, Case No. 3:16-cv-06658-JSC) requesting the identities of United States Coinbase customers who transferred convertible virtual currency at any time between December 31, 2013, and December 31, 2015. Coinbase, which is headquartered in San Francisco, California, is a company which facilitates transactions of digital currencies like bitcoin and Ethereum.

Bank Regulator Weighs Tougher Restriction in Enforcement Actions Against Big Banks

The Wall Street Journal | 11.21.16

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The Office of the Comptroller of the Currency is considering placing tough restrictions on large banks’ ability to govern themselves if they violate banking laws, people familiar with the deliberations said. The policy change would reverse the OCC’s longstanding practice of granting large banks waivers from certain restrictions that otherwise would automatically kick in when enforcement actions are taken.

More People Than Ever Will Shop Online Over the Holidays, Spending to Rise by 18%
TechCrunch | 11.21.16

The fourth quarter is always the busiest for e-commerce businesses, with the biggest sales and more consumers than the year prior turning to the web and mobile devices to complete their holiday shopping. This year proves no different, according to the latest holiday sales forecast, which estimates that nearly half (47%) of consumers will shop online this season, 33 percent of them from mobile devices. The projections come from Visa, which has a stake in e-commerce through its PayPal and Apple Pay rival, Visa Checkout. The digital payments service today has over 15 million consumer accounts, hundreds of thousands of participating merchants, and support from over 1,400 financial institutions across 16 countries.

Dow Closes Above 19,000 as Stocks Log Second Straight Record Session
MarketWatch | 11.22.16

Major U.S. stock indexes closed at record highs for a second straight session Tuesday, with the Dow industrials and the S&P 500 also clearing noteworthy psychological barriers. U.S. stocks closed higher Tuesday as the Dow industrials and S&P 500 cleared psychological milestones but major indexes simultaneously reached record highs for a second straight day. The Dow Jones Industrial Average rose 67.18 points, or 0.4%, to finish at 19,023.87, its first session of surpassing and closing above 19,000.

39% of the World’s Population Does Not Have a Bank Account
LTP | 11.21.16

As shocking as it may seem to the developed world, 39% of the world’s population, mostly comprised of the population in developing countries, does not have a bank account. Despite the increased adoption of non-cash forms of transactions (cards) with the volume having grown by more than 10% to reach ~426 billion in 2015, the circulation of cash has increased only slightly across multiple markets during the past five years. The latest World Payments Report suggests that in Europe and the US, cash-to-GDP ratio grew 4.4% and 3.9% respectively during 2013–14.

More stores staying closed on Thanksgiving

PaymentsSource | 11.23.16

Rebellious retailers are fighting to halt the reverse creep of Black Friday into Thanksgiving Day. Stores clamoring for more shopping days during the gift-giving season began infringing on the holiday a decade ago, and now most of the biggest retailers open their doors on Thursday. Among them are Wal-Mart Stores Inc., Kmart Corp., Toys ‘R’ Us Inc., Best Buy Co., Target Corp., and Macy’s Inc. That means a sizable chunk of the almost 5 million retail salespeople in the U.S. are forced to work on the holiday. But there are those who refuse, like video game seller GameStop Corp., bookstore Barnes & Noble Inc., and discount clothing shop TJ Maxx.

Cardtronics Now Exclusive ATM Provider to Carnival Cruise Line
Nasdaq | 11.21.16

Cardtronics announced an expanded ATM services relationship with Carnival Cruise Line, making Cardtronics the exclusive provider of ATM services to both guests and crew onboard Carnival’s entire fleet. Carnival is a unit of Carnival Corporation & plc. Cardtronics is the world's largest ATM owner / operator. A provider of ATM services to the passenger areas of Carnival’s fleet since 2009, Cardtronics now also provides cash machines to the crew member sections of each ship. 

Verifone Engage Goes Live in Europe
Verifone | 11.21.16

Verifone announces the European launch of Verifone Engage with the all-in-one countertop solution, Verifone V200c, installed at Anne Rueschenschmidt, a boutique fashion retailer in Rheine in northern Germany. A key strategic milestone in building a commerce-enabled payment infrastructure in Europe, Verifone Engage family of devices are now available to small- to medium-sized businesses (SMB) across Germany through InterCard, a leading network service provider (NSP) acquired by Verifone in 2015.

USAePay's Partnership with IVR Technology Group Brings Secure Voice and Text Payment Solutions for Merchants
PRWeb | 11.21.16

USAePay, a leading payment gateway service provider, is proud to announce a partnership with IVR Technology Group, a leader in secure voice and text applications. By partnering with USAePay, IVR Technology Group will attract a wide range of industries looking to attain PCI Compliance Level 1. “We are very excited to be working with the IVR Group” says Martin Drake, President of USAePay. “The offering will make the USAePay service more well rounded, and will give our Resellers more value-added service options.”

Ingenico Group Offers Room to Grow for Brantano and Jones Bootmaker's Multichannel Ambitions
Ingenico | 11.22.16

Ingenico is enabling end-to-end payments both in-store and online, with a wide range of payment types and powerful centralized analytics to help meet their customers’ fast-changing demands. This deployment will provide Brantano and Jones Bootmaker with best in class solution, service and technology for in-store and online payment acceptance and management. Ingenico’s Point-to-Point Encryption (P2PE) technology, OnGuard, will ensure that cardholder data is fully protected as it passes through their payment infrastructure. These security features help lower the risk to Brantano, Jones Bootmaker, and their customers as well as making PCI DSS certification considerably less onerous for the retailer.

Ingenico Group to introduce its first Android-based POS at Trustech
Ingenico | 11.23.16

Ingenico Group, the global leader in seamless payment, today announced that it will present the APOS, its new Android-based payment terminal, at the upcoming Trustech event in Cannes, France. This device was designed to complement the Telium Tetra offer and further integrate the business and payment ecosystems.This launch represents the third stage of a strategy to achieve greater integration of payment acceptance solutions and business services.

Boku Partners With Mansion to Power Deposits Across Its Casino Brands
BusinessWire | 11.22.16

Boku is pleased to announce a new partnership with Mansion, one of the largest entertainment and gaming companies in the UK, to enable users to make deposits to their mobile casino accounts with a single click. Boku has expanded their existing agreements with O2, Vodafone and EE, who account for nearly 60 million UK mobile subscribers, to enable Boku deposit functionality for all Mansion mobile players on these networks.

Hyperwallet Partners with USA Media Rights to Tackle Royalty Payments
PaymentWeek | 11.22.16

Hyperwallet, a leading global payouts provider to millions of independent workers, today revealed its partnership with USA Media Rights, a music and media rights company providing a broad range of music business services. Through this strategic alliance, USA Media Rights will continue to connect Hyperwallet with music industry organizations to improve the processing and delivery of royalty payments for recording artists, music producers, and songwriters worldwide.

Updated Paytm app to allow shopkeepers accept card payments 
The Economic Times | 11.23.16

Digital payment company Paytm on Wednesday launched an updated app that will allow small shopkeepers to accept payments made through credit and debit cards. The app will be particularly useful for small shopkeepers without card swiping machines, ensuring they do not lose out on business amid the ongoing cash crunch following demonetisation. 

Starbucks takes mobile payments to 260 stores in Indonesia

NFC World | 11.23.16

Customers at coffee chain Starbucks in Indonesia can now make mobile payments at 260 stores nationwide by scanning a barcode at the point of sale using the company’s mobile app and completing the payment using a registered Starbucks Card. “Customers can register multiple Starbucks Cards onto their account, all of which are linked to the Starbucks mobile app,” Starbucks says. “In addition to mobile payment, the Starbucks Indonesia mobile app puts the latest information on Starbucks products at customers’ fingertips with an easy-to-browse menu of beverage, food and merchandise as well as a convenient store locator.”

North American Payment Solutions is Now Going to Deliver American Express Opt-Blue© Credit Card Processing Program to Canada
PRWeb | 11.22.16

This morning, North American Payment Solutions (NAPS) announced their ability to offer the American Express OPT-Blue credit card processing program to all of their current and future customers in Canada. Phillip Heath, President of North American Payment Solutions, states: “It is a privilege and a pleasure to deliver the services and solutions that our clients need. Because Amex Opt-Blue merchants in the United States have received amazing results, we look forward to providing the same success to our current and future Canada-based customers.”

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