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Second-quarter earnings reports from Bank of America Corp. and JPMorgan Chase & Co. show strong online-banking growth at both giant institutions. BofA also reported today that its base of active bill-payment accounts is up nearly 15% from mid-2007. But subjectivity could be an element in the numbers as banks try …
Read More »With UIGEA Reform Stymied, a Web-Gambling Tax Bill Emerges
The struggle over the controversial Unlawful Internet Gambling Enforcement Act of 2006 (UIGEA) continues. Late last month, H.R. 5767, which blocked implementation of the UIGEA, was defeated in the U.S. House Committee on Financial Services. Meanwhile, a new bill related to online gambling was introduced this week by U.S. Rep. …
Read More »New Merchants, Account Growth Propel PayPal’s Non-Auction Volume
PayPal Inc.'s multiyear campaign to build up the share of transactions it processes from Internet merchants rather than auction sellers has paid off in a steady rise in non-auction volume to the point that online merchants now account for very nearly half of the processor's total volume, excluding its gateway …
Read More »Up Only a Week, ChargeSmart’s Next Step Is Lender Tie-Ins
A startup that lets consumers use their credit cards to make mortgage payments and meet other credit obligations online is talking to lenders about including its payment service when consumers close on loans. Because the service doesn't charge billers for payments, company officials expect the tie-ins will carry considerable appeal …
Read More »Bill Me Later’s Growth Plans Don’t Stop at Amazon Acceptance
Bill Me Later Inc., the online alternative financing system, is now live on the Amazon.com site. Announced last week, that development is no surprise as Amazon back in December said it had invested in Bill Me Later and would offer the payment service to its customers (Digital Transactions News, Dec. …
Read More »Google’s Gmail Joins eBay and PayPal in Phishing Fight
Google Inc.'s Gmail this week followed Yahoo! Inc. to become the second big e-mail provider publicly working with online auction host eBay Inc. and its PayPal payment service to fight phishing scams. With Google's Checkout service attempting to gain online charge volume in a PayPal-dominated alternative-payment market, the anti-phishing partnership …
Read More »Visa Rule Change Means Little Change for Web-Based PINless Debit
Visa Inc.'s rule change regarding PIN-based debit card transactions, which antitrust authorities disclosed last week, raised hopes that PINless debit would soon be making headway in Internet payments, but on second glance that's not likely to be the case, analysts say. That's because the electronic funds transfer networks, not Visa, …
Read More »A Visa Rule Change Prompted by DoJ Could Foster PINless Debit
Pressed by the U.S. Department of Justice, Visa Inc. has changed its operating rules to allow PINless debit card transactions for small-ticket purchases, just as it waives the signature requirement for low-value purchases on its signature-based Visa check card. Tuesday's announcement by the DoJ revealed a debit card investigation that …
Read More »Remotely Created Checks Linked to Image Exchange Stoke Fraud Fears
Regulators seeking to rein in so-called remotely created checks aren't going far enough to contain the risk these payment devices pose?particularly when they are processed electronically, says one payments expert. “I think they should ban them,” says George F. Thomas, chief executive at Radix Consulting, Oakdale, N.Y., and a former …
Read More »After Abruptly Shuttering Its Service, Assurz Files for Bankruptcy
Assurz Inc., the 3-year-old company that sought to boost consumer confidence in making Internet transactions by offering money-back guarantees on behalf of online merchants, filed for protection under Chapter 7 of the federal bankruptcy code on Monday. The company earlier this month abruptly shut down its service, leaving a trail …
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