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NF Edition #526 - 10/07/16
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Highlights this week...

Just Released - TSG's Attractive Vertical Analysis

This report, utilizing data from TSG's proprietary data warehouse of over 3.5M merchants, lists 282 merchant types and includes key metrics on each of them including volume statistics, profitability, and attrition. Using the Profitability and Attrition Metrics, a score is assigned to each merchant type. This is the "attractiveness" of the merchant.

Preview  |  Purchase - priced at $2,495

Users of this type of data have seen increases of $10 of net revenue per merchant per month by optimizing their portfolio pricing.

CFPB Adds Protections for Users of Prepaid Cards, Digital Wallets
Bloomberg | 10.05.16

Federal consumer protections common to debit and credit cards will apply to broad sections of the prepaid card market for the first time under a new rule from the Consumer Financial Protection Bureau. The agency completed a rule Oct. 5 that requires prepaid products to make more detailed fee disclosures and allow consumers to have easy access to their account balances and transaction history. The final regulation, effective in October 2017, also sets limits on customer losses in case of lost or stolen cards.


Wells Fargo Scandal A Setback To Lobbying Efforts By Big Banks
The Huffington Post | 10.05.16

Wells Fargo, the banking giant that defrauded its own customers by opening checking accounts they didn’t want, got a pointed lecture from the chairman of the House Financial Services Committee last Thursday. It was about the business that the San Francisco-based bank, led by CEO John Stumpf, dominates. “I have a mortgage with your bank,” Rep. Jeb Hensarling, a Texas Republican, told Stumpf at a hearing Thursday. “I wish I didn’t. I wish I was in the position to pay it off because you have broken my trust as you have broken the trust of millions and it’s going to take a long time to earn it back.”


The Race for Faster EMV Gets Crowded
ISO & Agent | 10.07.16

As more merchants worry about EMV card slowdowns ahead of the holiday shopping season—when bottlenecks at checkout points could lead to many lost sales—more companies are coming up with their own ways to slash EMV payment times. The U.S. Payments Forum this week released a white paper with advice for merchants and other parties to cut time required for a chip card to process at the point of sale, including details about adopting new, streamlined EMV implementation approaches from the card networks.

Related: US Payments Forum Provides Guidance on Optimizing Speed of EMV Transactions

Chip Card Lawsuit to Move Forward Against Visa, Mastercard, Others
ComputerWorld | 10.05.16

A federal judge has ruled it is plausible that four national credit-card companies improperly conspired “in lockstep” to set a deadline of Oct. 1, 2015 for requiring retailers to upgrade their technology to accept embedded chip cards for credit and debit card purchases. In an order issued Friday (Case number C 16-01150 WHA), U.S. District Court Judge William Alsup agreed with two small Florida businesses -- B & R Supermarket and Grove Liquors — which brought the lawsuit in March.

Fed Panels to Evaluate 19 Proposals for Faster U.S. Payments
American Banker | 10.04.16

The number of firms vying to build a faster U.S. payment system has been whittled down slightly. The Federal Reserve said Tuesday that 19 private-sector proposals are now under review by nearly 500 members of two separate task forces, one of which was established to chart a path toward a faster payment system, and the other focused on payment system security. The Fed received more than 20 proposals prior to its April 30 submission deadline, but some of the submissions were withdrawn after an initial evaluation process.

ATM Fees Climb to a Record High of $4.57
CNN Money | 10.04.16

The average fee of using an out-of-network ATM is now $4.57, according to Bankrate. This is the tenth straight year of increases. That means that you'll pay 9% in fees for withdrawing $50 from an out-of-network ATM. "Paying the fee every once in a great while isn't going to make or break you, but it's the habit of routinely paying these types of fees that is going to put you in the poor house," said Greg McBride, chief financial analyst at Bankrate.

Deutsche Bank’s $14 Billion Scare
Bloomberg | 10.06.16

This summer, U.S. Justice Department officials working on a mortgage securities investigation of Deutsche Bank AG expected the bank to settle the matter for $2 billion to $3 billion, according to people with knowledge of the matter. Then came last month’s news that the government had opened settlement talks by asking for $14 billion, a figure that Deutsche Bank said it wouldn’t pay. That September surprise roiled markets and pushed the German lender’s shares to a record low as investors asked whether it would have to raise capital to meet the U.S. demand, even as it grapples with other potentially costly investigations.

Apple Pay is Now Available in Ten Countries After Russia Launch
The Verge | 10.04.16

Apple launched Apple Pay in Russia today, continuing the international expansion of its contactless payment system. The service is available at first to Sberbank and Mastercard clients, according to the Tass Russian news agency, which cited a statement published on Sberbank's website. With today's expansion, Apple Pay is now available in 10 countries since launching in 2014, including the US, UK, China, Australia, and Canada.

Kohl's is the Latest Retailer to Roll Out Its Own Mobile Payments
Engadget | 10.05.16

If you like to shop at Kohl's and need an alternative to Apple Pay, Android Pay or Samsung Pay, you're in luck. The retailer announced today that its own mobile payments platform, Kohl's Pay, is now available to all customers nationwide. The company revealed last month that its take on payments would complement its existing mobile wallet app that gave customers a way to store payment info, organize rewards and collect promotions in the same spot.

Stripe Officially Launches in Japan as New Investor Comes on Board
The Irish Times | 10.05.16

“When we started our beta in Japan last year, we saw an opportunity for our product to make a difference for local entrepreneurs: there is a growing local start-up ecosystem, an appetite to build new types of businesses, such as SaaS companies and marketplaces, and an increasing interest from Japanese companies to expand beyond the local market and go global,” said Daniel Heffernan, who heads up Stripe in Japan.

Mastercard Makes Fingerprint and ‘Selfie’ Payment Technology a Reality
Mastercard | 10.04.16

Mastercard announced the European roll out of Identity Check Mobile, a new payment technology application that uses biometrics like fingerprints or facial recognition to verify a cardholder’s identity, simplifying online shopping. The technology is now being introduced across 12 markets in Europe. These markets include the UK, Austria, Belgium, Czech Republic, Denmark, Finland, Germany, Hungary, the Netherlands, Norway, Spain, and Sweden, following a series of successful trials in the Netherlands, the U.S., and Canada. The technology will be rolled out across the world in phases in 2017.

Nasdaq Wants to Patent Blockchain Backups for Exchanges
CoinDesk | 10.07.16

Nasdaq is looking to patent a method by which a blockchain could be used to secure records of exchange transactions. On 6th October, the US Patent and Trademark Office (USTPO) released an application for "systems and methods of blockchain transaction recordation", originally submitted by Nasdaq on 31st March. It is attributed to Tom Fay, Nasdaq’s senior vice president of enterprise architecture, and Dominick Paniscotti, associate vice president for enterprise architecture.

Shopify Now Lets Merchants Sell Through Facebook Messenger
ZDNet | 10.06.16

Shopify announced this week that its merchants can now sell products to consumers directly within Facebook Messenger. The small business e-commerce platform provider has had a long-standing relationship with Facebook. When the social networking giant announced earlier this year plans to build chatbots into the next generation of the Messenger platform, Shopify was first in line with a native integration for its sellers.

Staples and British Airline easyJet Now Accept Apple Pay on Web
MacRumors | 10.06.16

Staples, a leading office supplies chain, has announced that its mobile website now accepts Apple Pay for convenient and secure payments using Safari on iPhone or iPad. The feature eliminates the requirement to manually fill out account, shipping, and billing information repeatedly for a more seamless checkout experience. Likewise, British low-cost airline easyJet, the second-largest airline in Europe by number of passengers carried, has announced that customers can now use Apple Pay in Safari for bookings made on

Related: How-to: Use Apple Pay on the Web with Safari in iOS10 and macOS Sierra

Android Pay Removing 'Grandfathered' Credit Cards from Google Wallet on October 14th
9to5Google | 10.06.16

Google’s Android Pay mobile payment service has been decidedly more restrictive since day one, all in the name of security. How so? Android Pay has always relied on a connection with a supported bank, leaving many other users out of Google’s favor. In the early stages though, many former Google Wallet users were able to bring any card they had in Wallet to Android Pay, even if it wasn’t with a supported bank. 

Report: Yahoo Complied with Government Spying Order
Bank Info Security | 10.05.16

Yahoo complied with a classified U.S. government directive last year by building special software that could scan through hundreds of millions of email accounts for a slice of content of interest to intelligence officials, according to a Reuters report. The report will no doubt rekindle debate over whether the U.S. government overstepped legal boundaries to collect electronic intelligence, and whether it has been unduly pressuring technology companies.

Feds Charge Two In Lizard Squad Investigation
KrebsonSecurity | 10.06.16

The U.S. Justice Department has charged two 19-year-old men alleged to be core members of the hacking groups Lizard Squad and PoodleCorp. The pair are charged with credit card theft and operating so-called “booter”or “stresser” services that allowed paying customers to launch powerful attacks designed to knock Web sites offline.

UK Cops Arrest ATM Malware Suspect in Romania
Finextra | 10.06.16

London police have arrested a man in Romania in connection with a malware attack on ATMs which resulted in the theft of more than £1.5 million. Emanual Leahu was picked up by the London Regional Fraud Team in Bacau this week and charged with conspiracy to defraud. The charges are in connection with an investigation into a gang that organised a malware attack on a 51 cash machines in 2014, say police.

UK Stands Up GCHQ National Cyber Security Center in London
Bank Info Security | 10.05.16

The U.K. government on Oct. 3 launched a new National Cyber Security Center to help British organizations better defend against cyberattacks and respond to security incidents. The new center is part of GCHQ, Britain's signals intelligence and cybersecurity agency that's comparable to the U.S. National Security Agency. It's being led by Ciaran Martin, a career civil servant who previously helped GCHQ connect with private industry via his position as director general for government and industry cybersecurity.

US Created Lower-Than-Expected 156,000 Jobs in September
CNBC | 10.07.16

Job creation edged lower in September as the labor market showed there still may be room to run. Nonfarm payrolls increased 156,000 for the month and the unemployment rate ticked up to 5 percent, the Bureau of Labor Statistics reported Friday. Economists surveyed by Reuters had expected 176,000 new jobs and the jobless rate to hold at 4.9 percent. The total was a decline from the upwardly revised 167,000 jobs in August (compared with the original number of 151,000).

US Small Businesses Ring in Election, Holiday Seasons With Good Cheer
BusinessWire | 10.06.16

Despite the uncertainty of the U.S. presidential election and the holiday shopping season, most small business owners are optimistic about their companies’ prospects, according to the inaugural 2016 Fall/Winter Chase Business Leaders Outlook report released today. About two-thirds of the nearly 900 small business owners surveyed said they are optimistic about their business over the next 12 months, and 55% felt the same way about their industry. However, only 49% were optimistic about their local economy and 42% about the national economy. Both of those have dropped in each of the past two surveys.

How Much Will Hurricane Matthew Cost the U.S. Economy?
Bloomberg | 10.06.16

Hurricane Matthew could become the first major hurricane, with winds of 111 miles per hour or more, to hit the U.S. since Wilma struck Florida in 2005. The storm’s track up the coast could mean $25 billion to $35 billion in damage, with some worst-case scenarios pushing that figure as high as $50 billion. 

I.M.F. Warns of Anti-Trade Sentiment Amid Weak Global Growth
The New York Times | 10.04.16

The International Monetary Fund has warned that sluggish economic growth throughout the world could bolster an anti-trade backlash that has become a feature of politics in both the United States and Europe. As part of the release of its October World Economic Report at the fund’s semiannual meetings here, the fund forecast global growth to be 3.1 percent this year, rising to 3.4 percent in 2017.

Global Payments Reports First Quarter Earnings and Increases Fiscal 2017 Outlook
Global Payments | 10.05.16

Our fiscal 2017 is off to a terrific start, with organic growth accelerating sequentially across our key markets in the first quarter," said Jeff Sloan, Chief Executive Officer. "Heartland continued its strong growth momentum in the United States. Our businesses in Europe performed exceptionally well, and our Asia business produced its highest rate of organic revenue growth in several quarters." Sloan concluded, "We also could not be more pleased with our Heartland integration efforts, which continue to track ahead of our expectations.

Cross-Border Payments Startup Payoneer Raises $180 Million
Bloomberg | 10.05.16

Payoneer Inc. has raised $180 million from investors betting that the company will capitalize on the explosion of businesses globalizing their operations. Eleven-year-old Payoneer provides digital cross-border payments and transaction-related services. While the New York-based company has been profitable for three years, Payoneer raised cash to give it more flexibility to spend on expanding its workforce and global presence and build a bigger acquisition arsenal, said Chief Executive Officer Scott Galit.

Cardtronics to Acquire DirectCash Payments
MarketWired | 10.03.16

Cardtronics plc and DirectCash Payments Inc. announced a definitive agreement under which Cardtronics would acquire DCPayments. The purchase price of CAD$19.00 per share includes the assets of First Data Corporation's Australian retail ATM and managed services ATM portfolio ("First Data ATM portfolio"), which was acquired by DCPayments on September 30. DCPayments is a leading global ATM services provider with approximately 25,000 ATMs (inclusive of its First Data ATM portfolio acquisition) with primary operations in Australia, Canada and the United Kingdom.

Governor Cuomo Announces New Payment Options for MTA eTIX
Mastercard | 10.04.16

Governor Andrew M. Cuomo announced the addition of Apple Pay and Masterpass digital wallet technology to MTA eTix, the mobile ticketing app that enables Metro-North Railroad and Long Island Rail Road customers to purchase their tickets anywhere, anytime. Starting tomorrow morning, customers of these services will be able to use both services to purchase one way, round trip, ten trip, weekly, CityTickets — as well and monthly passes —through MTA eTix.

Industry Veteran Martin Drake Appointed to President of USAePay
PRWeb | 10.06.16

USAePay, a GorCorp company, is pleased to announce the appointment of Martin Drake to President. In his new position, Drake will continue to oversee the reseller channel while maintaining an active role in strategic product and project planning, operations and legal. An industry veteran with over 17 years of experience, Drake joined USAePay in 2009 as Vice President of Business Development to assist with key strategic initiatives to drive growth for the company. Working closely with a team of Channel Sales Associates, Drake has been responsible for building and cultivating reseller relationships, developing partnership agreements and introducing new products and technology to the sales force.

American Express Launches New Shop Small® Studio and More to Provide Small Businesses with Tools for a Successful Holiday Shopping Season
American Express | 10.06.16

With holiday shopping season kicking off next month, American Express today announced its plans to help small business owners get ready for Small Business Saturday, which takes place the Saturday after Thanksgiving, November 26. Small businesses -- from the cozy bistro on the corner to the go-to boutique for unique gifts -- can now take advantage of even more free resources, customizable materials, and educational content from American Express to help them prepare for the day and a successful holiday season during this critical shopping period.

Apriva ISS Added to NSA’s CSfC Program Trusted Integrator List
BusinessWire | 10.03.16

Apriva, the leading provider of secure end-to-end wireless transaction and information security solutions, announced that they are now listed as a Trusted Integrator within the National Security Agency’s (NSA) Commercial Solutions for Classified (CSfC) Program. This distinction indicates that Apriva has passed a strict government review and has met the stringent security and management requirements established by the CSfC program, setting Apriva apart from other wireless information security solutions providers in the market today.

U.S. Bank Adds Geolocation Feature to Select Credit Card Products
BusinessWire | 10.04.16

When you’re on vacation, the last thing you want to worry about is having your credit card declined because your purchases are not in-sync with your normal buying patterns. U.S. Bank is one of the first banks to offer consumers the Visa-developed Geolocation Service, a new, opt-in technology integrated into U.S. Bank’s mobile apps that enable the location of a card transaction to be matched to the location of the user’s phone.

BluePay Launches Account Updater Feature on Payment Gateway
Online PR Media | 10.05.16

BluePay, a leading provider of advanced payment solutions, is pleased to announce the launch of Account Updater on the BluePay Gateway. This new feature on BluePay's secure payment platform works with Visa and Mastercard to automatically update cardholder information for merchants who have card-on-file clients set up for recurring billing or subscription services.

Bluefin Announces the Issuance of a Patent on Systems and Methods for Decryption as a Service
Press Release Rocket | 10.04.16

Bluefin Payment Systems, the leading provider of PCI-validated Point-to-Point Encryption (P2PE) solutions for retail, healthcare and higher education, announced the issuance of patent #9,461,973 by the United States Patent & Trademark Office (USPTO) on systems and methods for decryption as a service. The patent encompasses both Bluefin’s high-speed decryption platform and P2PE Manager.

McCoy Federal Credit Union Selects Vantiv for Complete Suite of Card Payments and Fraud Solutions
PR Newswire | 10.04.16

Vantiv, Inc., a leading provider of payment processing services and related technology solutions for merchants and financial institutions of all sizes, announced today that it has been selected by McCoy Federal Credit Union, one of the largest credit unions in Central Florida with assets of more half a billion dollars, as its payments processor. "Vantiv is a payments technology leader with a full range of solutions for our members," said Basil Buchanan, vice president of lending at McCoy FCU. "The reason we partnered with Vantiv is simple, they have the technology and the view into everyday spend of our cardholders, which can help us to better serve our 60,000 members."

Ingenico Group Awarded Grand Prix de la Transparence 2016
Ingenico | 10.05.16

Since 2009, the Grands Prix de la Transparence reward the quality of regulated information provided by companies incorporated under French law, listed on Euronext and included in the SBF 120 index. An independent scientific committee made up of ten representatives from all parties interested in financial information guarantees the neutrality and fairness of the ranking. They compile it to acknowledge companies that demonstrate the best practices regarding regulated information.

Sterling Payment Technologies and Focus POS Announce EMV Solutions for Hospitality Industry
Sterling Payment Technologies | 10.05.16

Sterling Payment Technologies, a leading provider of payment processing, announced it has partnered with Focus POS Systems, a provider of restaurant point of sale software, to offer a semi-integrated EMV solution to businesses in the hospitality industry, utilizing both Datacap NETePay and Ingenico Group’s smart terminals. The EMV solutions also include a tip processing feature and the ability to accept payments from mobile wallets, thanks to NFC technologies.

FIS Coders Compete Worldwide to Develop Newest FinTech Innovations
FIS | 10.05.16

Creating the future of financial technology isn’t just a challenge – it’s the goal behind FIS’ annual Hackathon competition. FIS, a global leader in financial services technology, hosted the final of its Hackathon 2016, a worldwide coding competition between FIS technologists, last week in Singapore with 13 finalist teams competing against each other for 48-hours, non-stop. Their goal was to develop the best use of blockchain technology to handle “smart contracts” – computer protocols that enforce or facilitate contracts.

LG Brings Streamlined Payment Option to Smart TVs
LG | 10.04.16

LG and Paymentwall will give developers the opportunity to create apps that enable LG webOS Smart TVs in over 200 countries to support more than 140 different payment methods. This partnership will give consumers easier access to paid apps, movies, games and much more through LG’s intuitive webOS Smart TV platform. By expanding the number of markets where online payments via LG webOS Smart TVs will be accepted, this integration with Paymentwall will allow LG customers to enjoy a larger selection of paid content globally via the LG app store.

Revel Systems Announces RevelGuard
BusinessWire | 10.04.16

Revel Systems, the world's leading iPad Point of Sale management solution for brick-and-mortar retail, food businesses and more, today announced the launch of RevelGuard, a hardware device that monitors the network health and builds alerts for clients with POS terminals using Revel. The hardware device launches at the cusp of an ever-changing business environment, where innovation and change are required in order to stay competitive.

EIC Software and FTNI Form Partnership to Deliver True Integrated Receivables Solutions to EIC’s Food and Beverage Distribution Customers
FTNI | 10.04.16

Financial Transmission Network, Inc. (FTNI) announced a new partnership with EIC Software to become a preferred provider of integrated receivables solutions to the food and beverage distribution software provider’s growing customer base.  The new partnership will establish seamless integration options between EIC’s full suite of ERP solutions and FTNI’s integrated receivables platform, ETran, to help customers achieve straight-through processing.

PaySimple Introduces First eCommerce Platform for Services
PR Newswire | 10.05.16

PaySimple, the leading service commerce platform for businesses, is pleased to introduce the first online store built specifically for service providers. The ecommerce industry is ever growing, and service-based businesses are at a disadvantage when it comes to retail-focused website and shopping cart solutions on the market. Business owners are challenged to create the strong online presence that consumers have come to expect, but are still growing primarily with manual phone, email, and paper-based processes.

First American Payment Systems and ShearShare, a Tech.Co Startup of the Year 2016, Partner to Bring Mobile Payments Solutions to the Beauty & Barbering Industry
PR Web | 10.06.16

First American Payment Systems, a leader in the payment processing industry, has partnered with ShearShare, a Tech.Co Startup of the Year 2016 and a technology company that matches licensed cosmetologists and barbers to empty salon space, to deliver a mobile payment solution for users of their platform. Tye Caldwell, Co-founder and CEO of ShearShare, stated, “We are excited about our partnership with First American Payment Systems. First American adds additional value to our users by providing them with secure payments on the go. Added services like this one affirm our vision of helping beauty professionals build long, successful careers on their terms.”

West Virginia Wesleyan College Improves Tuition Payment Experience with ACI Worldwide UP Bill Payment Solution
ACI | 10.06.16

ACI Worldwide, a leading global provider of real-time electronic payment and banking solutions, announced that West Virginia Wesleyan College has selected the company to power its tuition payment system. West Virginia Wesleyan College wanted to make payments easier and more digitally accessible for both students and parents, and needed a flexible solution to meet its needs. The college narrowed its search to proven electronic payment systems that integrate into Colleague by Ellucian®, the leader in higher education technology.

Fiserv to Assist Distressed Borrowers With Loan Modifications in Seconds Through CoreLogic Integration
Fiserv | 10.03.16

Fiserv, Inc., a leading global provider of financial services technology solutions, announced today an agreement with CoreLogic, a leading global property information, analytics and data-enabled services provider, to integrate its IntelliMods loan modification decisioning tool with LoanServ, a comprehensive servicing platform. "Facing default is a truly distressing situation for a borrower," said Joe Dombrowski, director of product management, Lending Solutions, Fiserv. 

German Banks Reportedly Launch Sale of Payments Group, Concardis 
Yahoo! Finance | 10.06.16

German banks are putting jointly-held payments group Concardis up for sale, with the group seeking a partner for investments in new technologies, people close to the matter said on Thursday. Concardis offers card payment terminals as well as payment technology for e-commerce groups and may appeal to peers as well as to private equity companies, the people said. It posted core earnings of 33.9 million euros ($37.9 million) and a net profit of 24.2 million euros on sales of 480 million euros last year. It said in its annual report that core earnings were expected to rise 7 percent this year.

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