Tuesday , July 17, 2018

Issuing/Originating

As Banks Reissue Debit Cards, Experts Warn of More Compromises

More banks are reissuing debit cards as suspect transactions pop up throughout the United States and other countries, according to media reports this week. Investigators believe many of the transactions could be related to a security breach at a merchant facility in California that happened late last year, but the …

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Chase Rolls out a Prepaid Visa for Low-Income Tax-Refund Recipients

In a new twist on stored-value plastic, JPMorgan Chase & Co. is issuing Visa-branded debit cards to low-income recipients of tax refunds. Working with Volunteer Income Tax Assistance offices in 16 cities, Chase expects the cards to help recipients who qualify for refunds under the Earned Income Tax Credit (EITC) …

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How Interchange Wars Are Lending Impetus to Instant Issuance

Heightened tensions over interchange fees are helping to fuel expansion in the market for so-called instant issuance of payment plastics. Englewood, Colo.-based Dynamic Card Solutions, which produces software that lets banks issue Visa- and MasterCard-branded debit cards on the spot to customers, says its revenue grew 53% in 2005, without …

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Discover Unveils a Signature Debit Card, Though No Issuers Yet

Morgan Stanley's Discover Financial Services LLC today launched a signature-based debit card, dubbed Discover Debit, as the second major prong in its debit card offensive. Because signature-based debit delivers higher income to issuers than PIN debit, observers have looked for such a product from Discover ever since the Riverwoods, Ill.-based …

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Citi Will Issue Contactless Tokens for N.Y. Mass Transit Test This Spring

Citigroup Inc.'s Citibank, which last year announced it would issue contactless tokens linked to customers' credit and debit card accounts in the New York metropolitan area, is now allowing those devices to be used in a test of radio-frequency-based electronic fare payments by the Metropolitan Transit Authority's MTA New York …

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Seeking More Issuers, Debitman Finds Two Among the Supermarkets

Debitman Card Inc., which has been seeking issuers for its PIN debit processing network, announced two this week. Binghamton Giant Markets Inc. and HAC Inc., both regional supermarket chains, have agreed to issue cards on Debitman's network. HAC, which runs 67 stores in Oklahoma and Kansas, has begun issuing Debitman …

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Investors Smile on First Data’s New Look, Western Union Spin-Off

Despite some poor fourth-quarter financials, shares of First Data Corp. rose nearly 7% this morning after the big transaction processor announced plans to spin off its fast-growing and biggest subsidiary, Western Union, to First Data shareholders. Denver-based First Data also ended speculation that it might sell its lackluster Card Issuing …

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TSYS CEO Upbeat Despite Pending Loss of BofA Consumer Accounts

Philip W. Tomlinson, chief executive of payment processor Total System Services Inc. (TSYS), played up his firm's strong fourth-quarter and 2005 financials and growth prospects today despite the pending loss of the huge Bank of America Corp. consumer credit card file. Columbus, Ga.-based TSYS reported fourth-quarter net income of $49.7 …

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With GE Consumer Finance, AmEx Claims Seven Bank Card Issuers

American Express Co. has announced the seventh financial institution to agree to issue AmEx cards since the New York-based travel-and-entertainment giant began courting banks for its network two years ago. GE Consumer Finance, a Stamford, Conn.-based unit of General Electric Co., said it will issue cards on AmEx's network that …

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In a Busy Day, BofA Says Yes to AmEx Network And No to TSYS

Bank of America Corp. announced today it will begin issuing cards on American Express Co.'s U.S. merchant network and also confirmed that an existing issuing relationship between AmEx and MBNA Corp., which BofA is acquiring for $35 billion, will continue. In a separate announcement, third-party credit card account processor TSYS …

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