Banking Technology September 2016 issue out now
The latest edition of our flagship magazine – Banking Technology – is out now, packed with news, analysis and insights, case studies, research and expert commentary.
Payments
New NAB mobile banking app feast for control freaks
National Australia Bank (NAB) will launch a new mobile banking app later this year – which promises to give customers more control over how, when and where they use their cards. The new app will include card transaction controls to self-manage personal Visa debit and credit cards through a mobile device. And, in an “Australian […]
Android Pay gets four UK OKs
Natwest, Royal Bank of Scotland, Santander and Ulster Bank have all launched on Android Pay in the UK today (13 September), with TSB “coming soon”. The development follows hot on the heels from last week, when US-based Chase Bank customers were able to add their eligible Chase Visa cards to Android Pay. The cards include […]
Facebook Messenger Enables Payments by Chat Bot
Facebook Messenger platform updates announced Sept. 12 have enabled chat bots to accept payments, meaning Messenger users now can make payments within Messenger threads and not have to leave the app. Facebook says it has 1 billion users in 200 countries who use Messenger monthly, and developers and businesses have built more than 30,000 bots for the app.
Apple Warns of Gift Card Scam
Apple is warning consumers that fraudsters are using iTunes gift cards in a scam to trick victims into making payments over the phone. In a notice posted on its Website, Apple said the scam involves victims being called and then being pressured to transfer money over the phone to pay for a bogus claim of an unpaid bill or debt, or a relative who needs to be bailed out of jail.
Mastercard Hit with U.K. Interchange Damage Claim
Mastercard faces a £14 billion claim ($18.6 billion) in the U.K. over interchange fees in a case filed with the country’s Competition Appeal Tribunal. The claim comes two years after the European Union labeled the interchange charged by the payment card network as unfair. European interchange caps went into effect in December of 2015.
FFEIC Updates its Information Security Guides
The Federal Financial Institutions Examination Council has revised the “Information Security” booklet of the agency’s FFIEC Information Technology Examination Handbook.
Visa Rolls Out Red Carpet for Payments Innovation
Visa is offering a glimpse into the future of commerce during the Toronto International Film Festival, running until Sept. 18. In its 20th year sponsoring the festival, Visa is offering festival-goers access to a first-of-its-kind Connected Screen, powered by Ingenico, along with an “immersive virtual shopping experience” that enables them to virtually try on and purchase clothing from a film’s wardrobe department.
Visa, Mastercard Deny Litany of Allegations in Home Depot Complaint
Home Depot’s complaint asserts that Visa and Mastercard “unlawfully” fixed interchange fees at high levels.
Facebook Messenger v1.2 enables native payments in chatbots
Facebook has announced its Messenger bots can now accept payments natively, without redirecting users to external sites. The announcement was made by David Marcus, head of Facebook Messenger, at the TechCrunch Disrupt conference in San Francisco, as he unveiled the launch of the Messenger platform v1.2.
Klarna and Arcadia launch “buy now pay later” initiative for UK
Payments specialist Klarna and fashion retailer Arcadia Group have launched a new e-commerce retail financing offering to the UK market.
Capital Small Finance Bank rebrands for digital revamp; retains incumbent vendor Intellect Design Arena
India-based Capital Small Finance Bank has rebranded from Capital Local Area Bank as part of its digital transformation programme. For its technology, it has decided to stick to its existing provider, Intellect Design Arena and its core banking platform, Intellect Suite. Capital Small Finance Bank, after conversion from Capital Local Area Bank (which was founded […]
Mastercard: Nearly One Year in, Merchants, Consumers Getting on Board with EMV
As the one year anniversary of the U.S. payment networks’ EMV liability shift nears, new data released Sept. 12 from Mastercard shows that chip-enabled cards have helped reduce fraud costs for retailers and—despite some growing pains—are finally catching on with consumers.
Dodd-Frank Overhaul Plan Goes before Financial Services Committee
The House Financial Services Committee will meet Sept. 13 to mark up a bill that would overturn major provisions of the Dodd-Frank Act. Initially proposed in June by Financial Services Committee Chairman Jeb Hensarling (R-Texas), the Financial CHOICE Act would strip significant authority away from the CFPB, renaming it the Consumer Financial Opportunity Commission and tasking the agency with the dual mission of protecting consumers and ensuring competitive markets.
PCI Council Updates Payment Device Standard to Keep Up with Criminals
In an effort to thwart advanced attacks by criminals, the PCI Security Standards Council has released updated specifications to protect cardholder data stored on mag stripe and EMV chip cards when used at ATMs, in-store and unattended payment terminals and mobile devices.
South Korean fintech wants Apple to open its API
South Korean fintech firms plans to file a complaint with regulators over Apple’s refusal to open its API.
Allevo’s FinTP gets SEPA compliant for EximBank
Allevo’s open source application, FinTP, is now SEPA (Single Euro Payments Area) compliant for EximBank (Export-Import Bank of Romania). The FinTP collaboration between state-owned EximBank and Allevo started one year ago, when the bank chose to implement the solution for low-value Euro payment instructions. EximBank now takes the partnership “one step further with the implementation of […]
The global economy, brought to you by APIs
The Brexit unrest aside, Europe is taking initiatives to make a sounder, more user-friendly economic landscape. By using technology solutions and digital innovation, the European Union (EU) is encouraging greater transparency, usability and higher standards of security for all manner of web-based banking and financial transactions. Irrespective of any governmental re-organisation, and the trickled-down impact […]
Fundflow and Wirecard launch invoice discounting platform for SMEs
Wirecard and fintech start-up Fundflow have launched an invoice discounting platform for SMEs in Germany. The firms say that SMEs and freelancers can sell their outstanding invoices on the Fundflow website, which then enables refinancing with institutional investors. Wirecard Bank has provided its German banking licence and will handle the payment process. Joachim Kaune, MD […]
Chase Bank chooses Android Pay for payments
It’s expansion time for Android as it reveals that US-based Chase Bank customers can now add their eligible Chase Visa cards to Android Pay. The cards include Freedom, Slate, Sapphire, United Mileage Explorer and Hyatt Credit Card. On top of this American development, in the UK, Android says Santander and TSB customers “will soon be […]
Wells Fargo fined $185m for fake bank account scam
Fake it until you make it… unless you get caught. Employees at Wells Fargo have been found guilty of creating millions of fake bank accounts and credit card numbers over the past five years, as an unsubtle attempt to boost sales figures. For this illegal activity, the bank has been fined $185 million, including a […]
Deloitte launches its first Bitcoin ATM
Deloitte has unveiled its first Bitcoin ATM in its Toronto office in Canada – as it looks to promote cryptocurrency technology. The Toronto office, home to its Rubix blockchain division, initially offered the bitcoin ATM to employees only. But this was quickly followed by a public launch. Deloitte’s Rubix strategy director, Iliana Oris Valiente, says […]
Top fintech stories this week – 9 September 2016
Catch up on Banking Technology’s top five fintech stories of the week – all in one place! Barclays and Wave pioneer blockchain trade finance transaction What is a fintech day without blockchain? UK challenger banks: who’s who The list has been updated. US credit union consortium plots blockchain use Watch out R3. Smile and an […]
CFPB Levees Record $100 Million Fine on Wells Fargo
The CFPB on Sept. 8 announced a $100 million fine against Wells Fargo for what the agency called “widespread unlawful sales practices.” The agency said the fine is the largest such penalty it has ever issued.
MasterCard faces £19bn lawsuit over inflated card charges
Priceless? Not this time. MasterCard is facing a £19 billion lawsuit (which now has been reduced to £14 billion and filed, as of 8 September 2016) – the biggest in UK legal history – in a collective action over card charges that were passed on to shoppers. The claim is headed by ex-financial services ombudsman […]
N.Y. DOL Issues Strongly Opposed Final Rule on Payroll Cards
A New York Department of Labor (DOL) rule that has been bitterly opposed by a major prepaid card association is being implemented anyway. The N.Y. DOL has issued its final rule regulating methods and payment of wages, including the use of payroll cards, in the state and includes no substantive changes from its second revised proposal in June.
Android Pay Adds Chase, Apple Pay Coming to Japan
Two of the leading mobile payments services made significant moves on Sept. 7, with Android Pay adding support for more payment cards in the U.S. and U.K. and launching on the mobile Web, while Apple announced it will bring Apple Pay to Japan in October.
FinCEN Gives Iran a Bit of Financial Breathing Room
Iran has won a slight reprieve in FinCEN’s latest advisory for anti-money laundering and countering terrorism measures.
Barclays and Australian Bank Launch Linked Mobile P2P Payments
Barclays said it will link its Pingit m-payments app to the CommBank app from the Australian bank, enabling customers to send payments via their phones, including between customers in the two countries.
Monitise turns corner in profit quest
UK-based payments vendor Monitise is beginning to turn its fortunes around – with a 45% reduction in operating costs and EBITDA profitability of £600,000 in the second half of the year. As Banking Technology reported in May, the firm brought in a new COO and a new, re-focused business structure. It seems the initiatives have […]
CBA and Barclays partner for Australia-UK mobile payments “first”
Commonwealth Bank of Australia (CBA) and Barclays have joined forces to let their retail customers move money between Australia and the UK with “just a mobile number”. In a “first between the two countries”, CBA and Barclays say they have worked to connect each of their payment apps together – CBA’s CommBank and Barclays’ Pingit. […]
Finding the Future of Fintech
The term “fintech” has long been tied to the idea of disrupting the existing financial services industry. Although that spirit remains, Discover sees a maturation of the market and a growing realization from investors and startups that there is a greater value in collaborating with the industry rather than trying to supplant it.
Banking Technology Awards 2016 – shortlist unveiled
Our rejuvenated Banking Technology Awards have received an unprecedented amount of entries this year – from banks, financial institutions, fintech firms and individuals worldwide – and we are happy to reveal the shortlisted candidates. Now in their 17th year, Banking Technology Awards recognise and reward excellence and innovation in the use of IT in financial […]
Swift admits attacks are “here to stay” – so what can banks do?
There’s a cultural misconception that security equals lockdown in the financial sector; disclosure runs counter to that perception. Banks are less inclined to share intimate details of attacks because they don’t want to damage market confidence and that makes cyber security a major challenge for the sector. Swift has recently sent a letter out to customers […]
Rash of Email Fraud Schemes Prompt FinCEN to Issue Advisory
A spate of email fraud schemes involving stolen consumer information and financial institutions being duped into conducting wire transfers has prompted the Financial Crimes Enforcement Network (FinCEN) to issue an advisory Sept. 6 in an effort to thwart the illegal activity.
Executive Profile: One on One with Sam Shrauger, Visa
Discovering the secrets of the universe may not be part of Sam Shrauger’s day job, but exploring what’s possible in payments is. As senior vice president of digital solutions at Visa Inc., Shrauger is responsible for making sure the payments network is leading the charge into new territory—whether that’s through Visa Checkout, contactless payments, wearables or whatever comes next.
Officers Use Prepaid Card Reader to Seize $10 Million
A handheld card reader released last year has helped U.S. law enforcement agencies seize or recover about $10 million in fraudulent prepaid funds, according to the Dept. of Homeland Security.
EMV Hurdles Hurt U.S. Sales for Major Terminal Makers
As EMV faces rollout hurdles in the U.S., two major terminal makers, reporting adoption delays from smaller merchants, are paying the price.
PayPal Signs Deal with Mastercard, Expanding ‘Ubiquity’ of Brand
PayPal has struck a deal with Mastercard, resulting in, among other terms, Mastercard being presented as an equal payment option within the PayPal Wallet, customers having the option to select Mastercard as their default payment method and Masterpass becoming a payment option for merchants of Braintree, a PayPal subsidiary.
Report: Mobile Payments Surge, Banks Could Play Larger Role as Wallet Providers
Consumer adoption of mobile payments is on the upswing, according to a new report by First Annapolis Consulting, which found that 74 percent of respondents had made at least one mobile-based payment in the preceding 12 months—up significantly from just 40 percent a year earlier.
