New crunch on overdraft fees coming

The Consumer Financial Protection Bureau’s (CFPB’s) new rules for overdrafts (ODs) on checking accounts are scheduled for July of this year. Based on our analysis of the overdraft rules for prepaid issued December 23, 2014, we project the most likely scenario is that the new rules will reduce financial institution revenues from OD revenues by 56% after Read More

By |2020-05-27T18:00:37-05:00February 10th, 2015|Comments Off on New crunch on overdraft fees coming

Real time payments on the UK model

Can real-time payments make it in the U.S.? The Federal Reserve certainly seems to believe so and has been pushing the idea since 2013, when it released an influential white paper on the topic. In response, major U.S. banks have been discussing the matter among themselves and at industry conferences such as BAI Payments Connect 2015, where Read More

By |2020-05-27T18:00:37-05:00February 6th, 2015|Comments Off on Real time payments on the UK model

Back to the credit card

As the economic downturn that began in 2008 deepened, credit tightened, consumers switched to other payment methods and credit losses reached historically high levels. That landscape has changed dramatically. Today, a recovering economy and new payments-related regulatory reforms are converging to bring credit back in favor among both U.S. banks and consumers. Banks are increasingly well positioned Read More

By |2020-05-27T18:00:37-05:00January 14th, 2015|Comments Off on Back to the credit card

Take Care with P2P Contracts

“Unfortunately, there are no mulligans when it comes to contracts.”– Jay Mohr, Jerry Maguire Many banks and credit unions understandably see person-to-person, or P2P, payments in the “startup” stage. Consumer interest, at least conceptually, is fairly high. Proven options, at this point, are fairly few. Usage, therefore, is low and centered on the early adapter group at Read More

By |2020-05-27T18:00:40-05:00September 22nd, 2014|Comments Off on Take Care with P2P Contracts

Combatting Check Fraud at the Printer Level

At a time when financial institutions are focusing on the new dangers of mobile fraud, an old enemy keeps rearing its head: check fraud, as seen in the recent discovery of a three-year, $15 million check-kiting scheme. According to the Federal Reserve’s 2013 payments study, paper check writing continues to persist as a significant portion of noncash Read More

By |2020-05-27T18:00:41-05:00August 20th, 2014|Comments Off on Combatting Check Fraud at the Printer Level

Payments Revenue Playbook

The banking payments conversation has been floating dangerously on the surface between acronym-rich tech gadgetry and helpless buzzwords. The message can come at you like it’s from an angry coach: “Are you telling me this team isn’t playing with a robust, big-data, real-time, omnichannel framework enabling your P2P and EMV rollouts? Come on, team – get it Read More

By |2020-05-27T18:00:43-05:00April 24th, 2014|Comments Off on Payments Revenue Playbook

Combating Payments Fraud in a Big Data World

In today’s hyper-connected world, the fight against payments fraud, money laundering and other cyber threats is challenging for banks and other financial institutions around the world. While new social and cloud technologies empower businesses and consumers, they also have the potential to be used as smokescreens for criminals. According to the Association for Financial Professionals’ 2013 Payments Read More

By |2020-05-27T18:00:44-05:00March 19th, 2014|Comments Off on Combating Payments Fraud in a Big Data World

Migrating Small Businesses to Electronic Payments

In this digital age, banks could (and should) do more to get small businesses to stop using paper checks, says panelists scheduled to appear at BAI Payments Connect 2014. “Some businesses under $2 million are being ignored by the banks,” says Tommi Sue Homuth, Jobs Act coordinator at Grayson College’s small business development center and former commercial Read More

By |2020-05-27T18:00:44-05:00March 10th, 2014|Comments Off on Migrating Small Businesses to Electronic Payments

The Next Wave of Checking Redesign

While the value of the checking account is not in question these days, the design of it is. In the wake of the 2008 financial crisis and the subsequent regulatory crackdown, banks are scrambling to make the basic demand deposit account (DDA) more customer-friendly. Unfortunately, in their rush to improve the product, banks have made some questionable Read More

By |2020-05-27T18:01:05-05:00May 17th, 2013|Comments Off on The Next Wave of Checking Redesign

Handling Global Banking at the Local Level

No matter the size of your bank, your business customers with growing global needs are pressing a critical decision on you: Should you invest in a full-fledged international infrastructure, make just an incremental technology investment in one global payments area, or outsource the whole business to an upstream provider? As you choose your strategy, are you uncovering Read More

By |2020-05-27T18:01:05-05:00May 10th, 2013|Comments Off on Handling Global Banking at the Local Level