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The reduced interbank fee of 5.2 cents contained in the same-day settlement plan approved this week by members of NACHA, the regulatory body for the automated clearing house network, is likely to go down better with major merchants than the 8.2-cent fee contained in the original proposal. “The level of …
Read More »With MasterCard Send, MasterCard Promises P2P Payments ‘Within Seconds’
MasterCard Inc. on Tuesday launched a person-to-person payment service in the United States that will allow debit card holders to send money to any other individual with a debit card account, regardless of the card brand and with the money arriving nearly instantaneously. The new service, dubbed MasterCard Send, also …
Read More »With a Lower Interbank Fee, NACHA’s Same-Day Settlement Plan Wins Approval
The voting members of automated clearing house network regulator NACHA have approved a plan to allow for same-day settlement of ACH transactions, NACHA announced Tuesday. The same-day proposal, which has been debated since its introduction early last year, received “overwhelming support” in the balloting, says a NACHA spokesperson. NACHA does …
Read More »New Devices, New Terminals, New Programs Will Drive In-Store M-Payments, Report Says
By John Stewart Left for dead as recently as two years ago, the concept of mobile payments in physical stores is staging a remarkable resurrection. The signs are everywhere. In April, PayPal Inc. said it will adopt near-field communication (NFC) after years of mocking the technology, which enables wave-and-pay transactions …
Read More »As Mobile Payments Applications Grow, Startups Reap Rich Investment Haul
Mobile payments emerged on the scene a few years ago, but now it’s clear every market they touch—from the point of sale to peer-to-peer transfers to online lending—has become hot for investment. For proof, look no further than the latest list of so-called unicorns, privately held startups valued at $1 …
Read More »Small-Merchant Funding Gallops Along as PayPal Hits $500 Million Mark, CAN Capital $5 Billion
Seemingly shunned by traditional lenders during the Great Recession a few years ago, small merchants turned to alternative financing to buy inventory and equipment. It’s a trend that shows few signs of dissipating. PayPal Inc. this week said it had lent $500 million in the first 18 months of …
Read More »MCX Stalwart Best Buy Gives Apple Pay a Boost As Apple Records Strong Quarter
Apple Inc.’s Apple Pay mobile-payments service will be accepted by electronics giant Best Buy Co. Inc., first for in-app purchases and then, later this year, in all of its 1,050 U.S. stores, Apple chief executive Tim Cook said Monday. Cook also announced that some 50 hospitals have agreed to accept …
Read More »New Costs Imposed on Banks by Same-Day ACH Could Reshape Pricing Approach
By John Stewart Merchants that use the automated clearing house network to accept transactions may not be happy about a new fee expected to be part of a proposed same-day settlement plan, but the plan will impose significant new costs on financial institutions as well. And those costs could reshape …
Read More »With Its Spin-off Looming, PayPal Reports Strong Growth in Mobile, Overall
By John Stewart Ahead of an expected separation later this year from its long-time parent eBay Inc., PayPal Inc. on Wednesday reported strong growth in both its overall business and in the burgeoning mobile-payments market. Payments volume for the San Jose, Calif.-based processor climbed 24% in the first quarter compared …
Read More »Non-Bank Rivals, Lack of Account Coverage Haunt Growing Real-Time Trend
A panel of two bankers and a banking-services provider gave an upbeat appraisal Monday of industry moves toward real-time payments, but indicated financial institutions still have a long way to go to serve customer demand and meet competitive thrusts from non-bank players. “We’ve got more work to do,” said Roy …
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