Are Plastic Cards Headed for Extinction?
Probably not. Even so, the case for virtual prepaid accounts is growing stronger. A journey through the landscape—including a stop at a recent Apple conference—shows why.
Analysis
Fintech outside London – part 3
Our tour of the UK fintech scene concludes in this third instalment of the report. We started from the south of the country, then travelled west and are now travelling through the northern England and Scotland.
Why getting ready for real-time is a priority for Rabobank
When it comes to payments, the Netherlands, like its Scandinavian neighbours, is certainly one of the most advanced countries in the world. Banks and retailers have been working together for many years in an effort to decrease the amount of cash in circulation, working instead towards a “cleaner” and “safer” cashless environment.
Q&A with Andrew Buckley, Mastercard
When the self-described skeptic took over as global head of prepaid for Mastercard earlier this year, Andrew Buckley wasn’t quite convinced that the opportunities ahead were worthy of all the hype. Five months later and he’s among the converted, preaching the gospel of democratization—not just of payments but of innovation.
House Passes Dodd-Frank Reform Minus Interchange Reform
The Financial CHOICE Act of 2017 (HR 10), legislation to overhaul the 2010 Dodd-Frank Wall Street Reform and Consumer Protection Act, was approved along party lines by the U.S. House of Representatives 233-186 on June 8. The legislation focuses on ending big-bank bailouts and supporters say it provides more accountability for Washington and Wall Street, while removing barriers to economic growth.
Yes, (financial inclusion) minister?
In today’s seemingly financially connected world, where we can send money to one another via our smartphones, and manage our spending habits via apps, it’s pretty hard to believe that financial exclusion is still a reality in the UK. Yet, a shocking 1.7 million adults in the UK still don’t have access to financial services.
Compliance Titans: Craig James, Neopay
Craig James, founder and CEO of compliance consultancy Neopay, views compliance like a chess match—you have to know the board better than everyone else, so nothing surprises you.
When large projects go bad: leadership, operational change and a dose of reality
Large-scale operational projects within asset management firms are notoriously ambitious, incredibly complex and extremely hard to deliver. Global system implementations are a common culprit, where often multiple applications (some legacy) are being replaced.
Local banking for global trading – an impossible goal?
Anders la Cour, CEO of ground-breaking payments utility Saxo Payments Banking Circle, which is underpinning the service propositions of a growing number of payments businesses, reports on the payment pain points currently faced by merchants who have ambitions to trade globally.
Amex Faces State Pressure over Anti-Steering Case as DOJ Backs Off
The U.S. Justice Department may have dropped its antitrust suit against American Express, but 11 states want to press on in a case that started in 2010. At issue is the company’s push to prevent Amex-accepting merchants from offering shoppers financial incentives to use other card brands.
Interview: Daniel Schreiber, co-founder and CEO of Lemonade
Ask most people about their experience with insurance, grudge purchase par excellence, and they’ll say it leaves a bitter taste in the mouth. Enter Lemonade, the New York-based insurtech combining the power of artificial intelligence (AI) and an approach founded on behavioural economics and customer centricity to offer homeowners and renters protection with a difference.
Deriving value from big data
An explosive growth in data and information, coupled with advances in technology and a boost in methods of communication, have given rise to an empowered and aware global customer. And to provide legendary experience to their customers, maintain a competitive edge and to make better and sound decisions, organisations need to harness insights from this ever growing “big data”.
Is Loyalty the New Currency?
Earning top-of-wallet privileges from consumers requires deeper thinking about the what, when, where, why and how of loyalty rewards. But the most important ingredient is simplicity.
Contactless Fraud Scare? Not So Fast.
Breathless reports point to a terrifying increase in U.K. contactless fraud. Dig a little deeper, however, and the story changes.
Implications of triggering Article 50 on London’s banking sector
Article 50, triggered just nine months after Brexit was officially announced, will give the UK exactly two years to strike a deal with the EU concerning its departure from the economic and trading bloc. What will be the impact of the referendum on the square mile? Will it cease to be the major financial hub this side of the Atlantic?
Want to Fight Fraud? Join the Team—Literally
All payment providers and merchants grasp the dynamic nature of fraud. But fraud prevention requires more than the latest software and security protections—it requires active collaboration. Here’s why.
Letter from the Editor: Prepping for the Year’s Biggest Industry Event
I can scarcely believe we’re approaching the halfway point of 2017. But I can’t think of a better time for the year’s biggest prepaid industry event. On June 21-23, the NBPCA will host its sixth annual Power of Prepaid conference in Washington, D.C. The business of compliance—not to mention keeping up with technology trends—is keeping everyone on their toes, but it’s vital to stop and reflect with colleagues about the state of the industry and its future. It’s also critical to actually talk to those shaping the legislation and regulations that determine the rules of the road.
Blockchain is here to stay, but what regulatory and legal hurdles does it now face?
DLA Piper’s John D. McGonagle speculates on what the rise of blockchain technology might mean for the future of banking, the feedback which the UK regulator FCA may receive from interested stakeholders, and some of the regulatory and legal hurdles which blockchain technology may need to negotiate in the near future.
Analysis: commercial cards, clear lines and communication
There is no question that the commercial card sector is growing strongly. According to Research and Markets, the US commercial card market in particular is outstripping other B2B payment types. For banks and banking services providers, this presents a huge opportunity to grow revenues while improving customer experience – a vital component in customer retention and increased lifetime value.
Legacy IT is the least of a bank’s problems
A recent Reuters article explored how companies like Cobol Cowboys make a fortune helping banks who struggle to keep their legacy systems running. But in fact, the real problem is not legacy IT, that’s just a symptom of the root problem in banks… the decision makers.
House Balks at Repealing Interchange Reform amid Dodd-Frank Overhaul
Retailers are claiming victory in the battle, if not the war, regarding proposed legislation that would have repealed interchange reform included in the Dodd-Frank Wall Street Reform and Consumer Protection Act. Full House set to vote on amended Financial CHOICE Act June 9.
What happens to banks when they overlook their CRM data?
Keeping high data quality in customer relationship management (CRM) should be among banks’ top priorities! We explore how outdated customer profiles and poor data quality may hurt banks’ efficiency.
Fintech and the role of government
What support does the fintech industry, and the broader financial ecosystem actually want (or need) from government?
Cognitive computing is not cognitive at all
IBM are not doing “cognitive computing” no matter how many times they say they are.
Target to Pay $18.5 Million to States in Data Breach Settlement
Target Corp. has agreed to pay $18.5 million in a settlement with 47 states and the District of Columbia that stems from a November 2013 data breach of the Minneapolis-based retailer. The breach affected more than 41 million customer payment card accounts and exposed contact information for more than 60 million customers.
Compliance Titans: Jani Gode, Payoneer
Jani Gode’s knowledge of payments compliance reaches to parts of the globe that are about as far away from the small Minnesota farm where she grew up as you can get. Gode leads the global compliance program as chief compliance officer at Payoneer, an online payments company founded in 2005 that enables businesses to send and receive cross-border payments.
Will robotic process automation herald a new digital era in regulatory compliance in banks?
Exploring how the robotic process automation (RPA) powered digital workforce looks to disrupt the manual effort intensive regulatory compliance landscape in BFS, what edge it has over its human counterpart, the roadmap towards RPA driven compliance, challenges in this digitisation journey and success mantras, and innovations that are underway towards building intelligent RPA to replicate human decision-making.
Analysis: branches – coffee is not for closers
The vanishing branch offices… Could more coffee save them? Richard Buckle, founder and CEO of Pyalla Technologies, muses.
Innovation Day: Fast-Growing Prepaid Market Offers Rewards, Risks
New growth estimates for prepaid are encouraging to say the least, but providers gathering in London for the Prepaid International Forum’s annual Innovation Day said the industry must remain focused on compliance and the customer proposition to safeguard its success.
Bold statement two: statements around the bleeding edge of innovation
This is a series of posts on a subject that plays on my mind a little – the application of disruption, and innovation, when it is related through the filter of our use of language, and our desire to seem advanced. This instalment is about social media efforts.
Gaining More Value from Mobile Payments
The right technology—the systems that encourage consumer loyalty and spending—do much more than speed up checkout. An expert explains why.
Mobile Wallets to Boost Convenience for EBT Recipients
Move over prepaid cards. Mobile wallets might be be able to solve for fraud and instant delivery of benefits better than any piece of plastic.
Are Passwords Here to Stay?
Even as security experts lobby for tighter authentication, a study demonstrates that passwords still command the loyalty of consumers. A payments expert discusses why biometrics and other methods lag behind the warhorse of digital protection.
The View from Finovate
Payments compete for attention with “RegTech” while an overall lull in disruption suggests that fintech could be in the eye of a storm.
Knowledge economy in financial services: from curator to conductor
Once upon a time, not so long ago, companies tried to generate new business by sending marketing messages to prospective clients by post. Direct or “junk” mail – sending a leaflet or letter to anyone for whom the firm had a job title, street address or postcode – was pretty unsophisticated, often derided as a “scattergun” approach.
Compliance Titans: Margo Hirsch Strahlberg, U.S. Bank
If Margo Hirsch Strahlberg, prepaid compliance risk management specialist at U.S. Bank, isn’t managing responsibilities at home or work, she tries to steal time away to hit the gym. “I’ve incorporated more weight lifting into my routine,” she says. “My goal is to dead-lift a few copies of the CFPB’s prepaid accounts rule.”
Blockchain: not the silver bullet against fraud that many expect it to be
Anyone that picks up any business publication has no doubt read about blockchain. Conceptualised around the same time as the financial crisis in 2008, blockchain as originally conceived served as a digital ledger to publicly record cryptocurrency transactions and execute contracts.
Facebook’s Q1 results and five things for financial services
With the release of Facebook’s Q1 2017 results, there are five things worth your attention about its strategy that are relevant for financial services. In its latest results, Facebook announced a major emphasis in solving for communities and reiterating the key messages from its F8 developer conference. Q1 2017 profit is +76.6% YoY to $3.06 […]
CFPB Prepaid Rule Survives Congressional Repeal Deadline
The CFPB’s final rule on prepaid accounts has survived a bid to repeal it via the Congressional Review Act (CRA), with lawmakers failing to bring the matter up for vote by the May 11 deadline. But despite the CRA efforts having fizzled, reforming the rule is still on the table.
How future technologies are transforming banking
How two key technologies – cloud and cognitive – can aid banking transformation.
