CFPB Hearing on Arbitration Tomorrow (Oct. 6, 2015)
The controversial prospect of new regulations for arbitration agreements will be front and center during a CFPB field hearing on the matter tomorrow morning in Denver.
Regulation
Nedbank South Africa revamps payments ahead of September 2016 deadline
South Africa’s Nedbank has chosen Volante Technologies to help it revamp its payments message service using VolPay Foundation, which focuses on validating and processing payments. The move comes ahead of regulatory change next year, which will force all South African institutions to change the way they handle payments.
Rep. Tipton, CFPB Director Cordray Square off on Prepaid (Oct. 1, 2015)
Rep. Scott Tipton (R-Colo.) and more than 40 other lawmakers are urging CFPB Director Richard Cordray to be cautious in prepaid rulemaking and to make sure the government Direct Express program is not adversely affected by the forthcoming rule.
EC Seeks Input on Simplifying Cross-Border VAT Payments (Sept. 28, 2015)
With European Union law now requiring merchants to tax digital goods based on which country the buyer is located in—instead of where the seller is located—the European Commission (EC) is canvassing interested parties for feedback on the system of reconciling and paying taxes to national governments.
JWG hires MD for RegDelta platform push
JWG, the financial services regulation specialist, has appointed Blythe Barber as managing director as part of the continuation of the company’s expansion. Barber has been hired as part of an expansion of JWG’s RegDelta regulatory change management platform.
The CFPB to Host Arbitration Hearing in Denver (Sept. 24, 2015)
The CFPB has announced a field hearing on arbitration, which will be held in Denver on Wednesday, Oct. 7 at 11 a.m. MDT.
Automating incentives boosts bottom line
Sometimes the least obvious changes can have a big effect, and very often those changes are in areas that might considered outside the remit of the people best placed to make them. Bank staff remuneration, for instance …
New York State Issues First BitLicense (Sept. 22, 2015)
After much debate over whether New York Department of Financial Services’ (NYDFS) state-level framework for licensing digital currency companies is too restrictive, the state agency has issued its first regulatory license, the so-called BitLicense, to Boston-based mobile payment company Circle Internet Financial.
Insurance and education should be weapons in fight against cyber-crime
The majority of businesses do not have cyber security insurance, with many not even aware such protection exists – and even those that do have insurance in place may find themselves at a loss if they don’t have the correct cover. The solution may be to mandate more data sharing and raise public awareness, according to speakers at a roundtable organised by software security company Kaspersky Lab.
UKGCVA: Ireland’s Proposed Gift Card Expiry Ban Too Broad
UKGCVA’s reply to Ireland’s proposal to ban expiration dates on gift cards and vouchers.
Visa Sets Deadline for Issuers in Target Settlement
Visa set a deadline for its debit card issuers to request extra payment on top of the monies the issuers will receive in accordance with an earlier settlement reached with Target related to the 2013 breach.
Visa, MasterCard Urge Approval of Settlement, Despite Attorney Misconduct
Litigation involves a $7.25 billion settlement deal with retailers, after it was disclosed that a defense attorney shared information with an attorney for the plaintiffs.
Litigation: Retail Gift Card Updates
Abercrombie & Fitch and RadioShack class action decisions involving closed-loop gift cards warrant attention.
Chief digital officers aren’t the solution to winning the digital banking war
A bank cannot hope to compete in today’s retail banking market without a ‘digital executive team’ and banks need to reinvent their upper echelons’ if this is currently lacking, as Atom Bank and Apple Pay are merely the start of an avalanche of a new era of digital disrupters, looking to steal the lunch from traditional high street banks.
Looking for the best of all worlds in real-time payments
Central banks need to play a greater role in the provision of infrastructure for low value payments and existing models revised to balance risk and rewards, according to new research published by the Swift Institute.
The payment services market under the eye of the regulator
The UK payment services market has been under the spotlight in recent months with the introduction of a new Payment Systems Regulator created with the intention, amongst other things, of opening up the industry to new and emerging payment service providers.
Russia’s NSD introduces off-exchange settlement
Russia’s central securities depository NSD has implemented back-to-back settlement technology for off-exchange delivery-versus-payment transactions with securities denominated in Russian rubles. The bank accounts and transactions may be in rubles, US dollar, Euro and Chinese yuan.
Payment Systems Regulator names members of strategy forum
The Payment Systems Regulator, the new economic regulator for UK payment systems, today confirms the line-up of the Payments Strategy Forum it has set up to set the strategy for innovation in payment systems where the industry needs to work together.
Barclays launches cloud contingency payments with AccessPay
Barclays has launched a cloud-based contingency payment service for corporates, which the bank says will help corporates to make payments even if they are unable to use their primary channel, for example during an internet outage. The deal comes as financial institutions and corporates increase their focus on risk mitigation.
Cyber attacks on the rise warns Gemalto
Data breaches are getting worse with 246 million records compromised by criminal activity in the first six months of 2015, according to new figures published by digital security company Gemalto. The numbers suggest cyber-crime will remain a top priority for banks for the foreseeable future.
ISSA sets out financial crime principles for securities
The International Securities Services Association adopted a set of compliance principles to address the “critical challenges” posed by financial crime. The new principles aim to establish “a clear global standard for the opening and maintenance of cross-border securities accounts”.
On solid foundations: building on SEPA’s groundwork
As the SEPA deadline has come and gone, what will be built upon its advances towards digitisation and standardisation?
Aussie Central Bank Eyes Amex Regulation (Sept. 2, 2015)
Australia’s central bank may begin regulating American Express cards in the country, putting at risk the generous rewards points cardholders earn on so-called “companion cards”— credit card accounts linked to two different credit card networks, thus enabling cardholders to earn the benefits of whichever one they choose to use at the point of purchase.
BNY Mellon ‘back to normal’ today after SunGard system outage
BNY Mellon expects to have its SunGard InvestOne system back to normal today following testing over the weekend and the US Labor Day holiday and have caught up on the generation of net asset values for clients.
DOE Rebuffs Input from Legislators (Aug. 31, 2015)
U.S. lawmakers keep trying to influence how the U.S. Department of Education handles a proposed rule on campus cards that deliver financial aid dollars. And, the DOE continues to say, “Thanks, but no thanks.”
Court Upholds FTC’s Authority to Protect Consumer Data (Aug. 27, 2015)
A U.S. appeals court this week determined that the FTC has authority to regulate corporate cybersecurity and can pursue a lawsuit against hotel operator Wyndham Worldwide Corp. for allegedly failing to properly safeguard consumers’ information.
Banks can see off new challenges with a flexible but secure approach to data
Even as they cement their recovery from the financial crisis, adherents to traditional banking models are facing a new storm as they grapple with the digital demands of the Facebook generation and heightened regulatory risks surrounding data. At the same time, they must match the customer service levels offered by the “challenger” banks if they are to avoid haemorrhaging business to their nimble and digital-focused rivals.
Texas Merchants Continue to Fight State’s Surcharge Law
Surcharges vs. discounts.
One-Sided Gift Card Arbitration Clause May Be Unconscionable in California
Changing terms of an agreement.
Judge Denies Bid by Citi, First Data to Reconsider Liability Cap in Data Breach Case
Three-party agreements causes problems.
N.Y. and Texas AGs Request RadioShack to Notify Gift Card Holders
Rights of gift card holders.
Dave & Buster’s Faces Class Action over Gift Card Practices
Redeeming for dollars.
Viewpoint: A Regulatory Snapshot for Payment Services and E-Money in Europe
Payment opportunities in the EU come with complex requirements, which is why it’s important to understand the ever-changing legislative issues.
Equifax launches real-time business ownership data service
Equifax, the consumer and business information specialist, has launched a new service providing real-time, integrated data on companies and the individuals who own and run them.
NYDFS: BitLicense Applications Show ‘Substantial Interest’ (Aug. 24, 2015)
Less than three months after New York State’s Department of Financial Services finalized the U.S.’s first state-level framework for licensing digital currency companies, nearly two dozen firms have applied for the so-called BitLicense, the agency said.
The Clearing House Calls for Level Playing Field for Banks, Alternative Payment Providers (Aug. 24, 2015)
The Clearing House (TCH) is calling on regulators to increase data security oversight for alternative payment providers, such as Apple, Google, Square and Venmo, which the bank-owned TCH says are not being held to the same regulatory standards as major banks, according to a new white paper.
Regulators seek input on harmonisation of unique OTC trade reporting identifiers
The Committee on Payments and Market Infrastructures and the International Organization of Securities Commissions are seeking comment on proposals for harmonising the Unique Transaction Identifier used to be used for OTC derivatives trade reporting.
PHH Granted Stay in CFPB Decision, Questions Bureau’s Power (Aug. 18, 2015)
In a blow to the CFPB, mortgage servicer PHH Corp. earlier this month was granted a stay pending appeal of a $109 million enforcement action issued by Director Richard Cordray and the bureau in June.
Commerce, PayPal Join for New Data Insights (Aug. 17, 2015)
The U.S. Department of Commerce and PayPal are teaming up to help guide international strategy for small and midsize U.S.-based businesses by combining data generated by PayPal’s global payments networks with government-sourced economic data.
Debit Caps: Fed Explains Transaction-Monitoring Rationale (Aug. 13, 2015)
The last lingering issue in the long-running legal dispute between merchants and the Federal Reserve Board of Governors over debit interchange fee caps took a step toward resolution this week, with the Fed detailing how it calculated a controversial aspect of the fee limit.
