ATM & Debit News articles from June 2004

ATM & Debit News archives from June 2004

News Briefs: Rush Cards Get Faster Bill Pay.
June 10, 2004... UniRush Financial Services, a New York-based firm founded by hip-hop mogul Russell Simmons, has struck a deal with Metavante Corp. to offer Rush Pay, a new bill-payment service for UniRush's 300,000 Rush Prepaid Visa Card holders. Previously,...

News Briefs: Say Goodbye To 'Bank One'.
June 10, 2004... Beginning next year, the name Bank One gradually will be removed from its 6.5 million debit cards and 4,394 ATMs and be replaced with the name Chase, as in J.P. Morgan Chase & Co., which is merging with Bank One Corp. of Chicago. "The board...

Surcharges Having A Negative Effect On ATM Revenues.
June 10, 2004... Financial models that depend on surcharging ATM users have become a crutch from which the industry needs to wean itself, suggest the results of a recent survey. The results also show in stark terms that, while ATMs will continue to play a...

E*Trade ATM Deal Makes Cardtronics Largest U.S. ISO.
June 10, 2004... Cardtronics Inc.'s planned purchase of thousands of E*Trade Financial Corp. ATM contracts and machines for $106 million would create the nation's largest ATM operating firm. The move also would make Cardtronics the largest nonbank ATM owner....

Third-Party Vendors In Canada Benefit From Banks' Growth In Outsourcing.
June 10, 2004... Canadian financial institutions increasingly are outsourcing parts of their ATM operations to third-party vendors, according to a recent study by Framingham, Mass.-based Financial Insights, a subsidiary of IDC Co. A similar trend also is...

Mag-Stripe Flaw Causes Second Card Reissuance.
June 10, 2004... For banks, it is difficult and expensive enough to have to reissue debit cards suspected of being susceptible to fraud. But a Wyomissing, Pa.-based bank last week began replacing recently reissued Visa check cards because a faulty...

Many Believe Interchange Will Fall.
June 10, 2004... Fifty percent of the respondents to a recent survey agreed or strongly agreed that, adjusted for inflation, Visa USA and MasterCard International interchange rates will be 20% lower 10 years from now than they are today. Only 31% of the 621...

Vendor News: Fiserv, Chase Renew EBT Deal.
June 10, 2004... Brookfield, Wis.-based Fiserv Inc. will continue providing electronic benefits transfer transaction processing services for the nation's largest EBT contractor, New York-based JP Morgan Chase & Co.'s Electronic Financial Services division....

Vendor News: Former Symbol Execs Indicted.
June 10, 2004... Symbol Technologies Inc., a Holtsville, N.Y.-based firm that develops point-of-sale terminals, says it has resolved a U.S. Department of Justice investigation by settling with the U.S. Securities and Exchange Commission regarding a fraud scheme...

Canadian ATM Transactions.
June 10, 2004... Type Share Cash Withdrawals: 68% Deposits: 22% Bill Payments: 6% Funds Transfers: 4% Source: Financial Insights. Copyright 2004 Thomson Media Inc. All...

NYCE Banks Give Sale OK.
June 17, 2004... Metavante Corp. earlier this week cleared a major hurdle in its bid to buy Montvale, N.J.-based NYCE Corp. and its NYCE electronic funds transfer network. The Milwaukee-based company on June 14 announced that NYCE's minority shareholders-Bank...

Top ATM Drivers Are Gobbling Up Competitors' Clients.
June 17, 2004... For non-financial institutions, the business of driving ATMs appears to have evolved into a zero-sum gain as few off-premise machines are being deployed in new locations. In fact, most of the growth among third-party ATM drivers is coming from...

Banks Are Lagging In Competition For Funds Transfers.
June 17, 2004... Despite launches over the past few years of funds-transfer initiatives by U.S. banks and credit unions that enable Mexican immigrants to send money back home, wire-transfer companies continue to control the market. A recent study by the Pew...

Monthly ATM Operations Costs Are Heading Up After Dropping For Years.
June 17, 2004... ATM deployers for a number of years have enjoyed declining operational expenses. Transaction-processing fees, communications expenses and cash replenishment, which represents the largest single cost for many programs, all have declined in...

Top 10 Third-Party ATM Drivers.
June 17, 2004... ATMs ATMs Company 2004 2003 Change 1. Concord 93,200 96,100 -3% 2. EFunds 29,327 24,000 22.20% 3. Genpass 28,000 28,000 0% 4....

MasterCard, Visa Coordinating POS PIN-Pad Testing.
June 17, 2004... While Visa USA and MasterCard International plan to coordinate testing to validate the security of ATM PIN pads, they also are coordinating the testing of debit payment terminals to ensure no one can intercept PINs entered into the devices. But...

Key Funds Transfer Facts.
June 17, 2004... Annual U.S. bank funds transfers to Mexico: 1,200,000 Remittances carrying funds between the U.S. and Mexico in 2003: 40 milion. Money transferred from U.S. to Mexico: In 2001: $9.2 billion In 2003: $13.2 billion...

Average Monthly ATM Expenses.
June 17, 2004... Service 2003 2002 Change Maintenance 1st Line: $105 $117 -10% 2nd Line: $139 $150 -7% Cash Management: $152 $180 -16% Telecom: $100 $105...

Harris Signs On With NYCE.
June 17, 2004... NYCE Corp., the Montvale, N.J.-based electronic funds transfer network, has signed a deal to be the preferred ATM network provider for Harris Bank of Chicago. But Harris will keep the Star network as its preferred switch of PIN-based...

TNS, DPL Sign Wireless Deal.
June 17, 2004... Toronto-based transaction processor TNS Smart Network Inc. has signed a deal with DPL Group for DPL to provide wireless transactions and ATM-security monitoring. TNS CEO Mischa Weisz says using DPL's services will enable TNS to offer a greater...

Wal-Mart, MasterCard Make Up.
June 24, 2004... Wal-Mart Stores Inc. has resumed accepting MasterCard International's signature-based debit card after dumping the product in February. Michael A. Cook, Wal-Mart vice president, says Wal-Mart began accepting debit MasterCards at some of its...

Wachovia, SouthTrust Merging.
June 24, 2004... Wachovia Corp. and SouthTrust Corp. have announced plans to merge. Charlotte, N.C.-based Wachovia issued with 6.8 million debit cards as of Dec. 31, 2003, including 5.2 million Visa check cards, according to data collected by Thomson Media....

Co-op's Presto Deal Includes A POS Debit Arrangement.
June 24, 2004... When Co-op Network, the nation's leading credit union electronic funds transfer network, in January announced a deal that enables its members' cardholders to use the Publix grocery chain's 870 ATMs surcharge free, the agreement also included a...

NYCE Takes Lead As Networks Raise Interchange Rates.
June 24, 2004... Most of the top PIN-based point-of-sale debit networks have matched or exceeded the interchange cap applied to transactions initiated with Visa USA's Interlink cards. As such, the trend to increase rates that Interlink initiated two years ago...

Comdata Is Hoping A Bank Charter Will Help To Expand Its Debit Presence.
June 24, 2004... Comdata Corp., a leading provider of stored-value cards for businesses and retailers, is itching to grow. The Ceridian Corp.'s Brentwood, Tenn.-based business unit not only wants to enter new markets, but it also has a request pending with the...

How Regional Shared Network Interchange Compares.
June 24, 2004... (part 1 of 2) Network Withdrawal Inquiry Deposit Star 46cents-54cents 20cents-25cents $2-$2.25 NYCE 38cents-55cents 25cents $2-$2.25 Pulse...

How Regional Shared Network Pricing Varies.
June 24, 2004... (part 1 of 3) 2004 ATM 2003 ATM Network Switch Fee Switch Fee Star 3cents-8cents 3cents-9cents NYCE 3.5cents-9.5cents 3.5cents-12cents...

Comdata At A Glance.
June 24, 2004... * Founded in 1969. * Provides transportation, retail and payment-distribution services. * Processes more than 450 million transactions annually. * More than 20,000 business clients. * Employs 1,500 workers. Source:...

Cannon Forms New Company.
June 24, 2004... Robert Cannon, former president of the Momentum Cash independent sales organization that now is part of the Innovus ISO based in New Orleans, is launching a payroll debit card company, XL Payment Systems Inc., based in Sugarland, Texas. Cannon...

TRM Buys Mighty Cash ISO.
June 24, 2004... The Portland, Ore.-based TRM Corp. ATM independent sales organization is entering the Canadian ISO market with the purchase of the Mighty Cash Financial Inc. ISO and its 72 ATMs under contract. Dan Tierney, TRM executive vice president, says...