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Leading mobile remote deposit capture vendor Mitek Systems Inc. says it has the documentation to disprove allegations of patent-infringement and other claims that USAA, the pioneering financial institution in remote deposit capture, filed against it in a lawsuit last week. The force behind the dispute, according to Mitek president and …
Read More »USAA Sues Mitek Systems in Remote Deposit Capture Patent Dispute
n USAA, the financial institution that pioneered remote deposit capture, is suing Mitek Systems Inc., a leading vendor of software for the mobile version of RDC, claiming that Mitek stole its trade secrets and technology. n San Antonio, Texas-based USAA is seeking a declaratory judgment that it does not infringe …
Read More »AmEx Stops Gift Card Sales in New Jersey As Merchants Battle Zip-Code Law
A controversial New Jersey law that claims unused gift card balances as state property after two years and requires gift card sellers to obtain buyers’ ZIP codes is taking heavy fire. If it survives a repeal effort and court challenges, however, opponents fear gift card issuers will leave the state …
Read More »Online Travel Agencies Big Fraud Targets, But Losses Lower Than All Travel Sites
Online travel agencies are well-known fraud targets, and now new data from CyberSource Corp. suggest that fraudsters make more attempts against them than other sectors of the travel industry. But the data also show that the so-called OTAs’ fraud losses as a percentage of revenue are actually less than elsewhere …
Read More »Processor JetPay Takes Some Flak But Keeps Flying After Direct Air Bankruptcy
n “The bankruptcy court in question agreed with our motion that the escrow account is for the consumer,” Trent Voigt, chief executive of JetPay LLC of Carrollton, Texas, told Digital Transactions News moments after a hearing ended in the case of Southern Sky Air & Tours LLC, doing business as …
Read More »Group Claims Consumers Don’t Expect Retailers to Pass on Durbin Savings
The war of words between the payments industry on the one side and retailers on the other side continued this week when a lobbying group backed by big banks and payment card networks released survey results claiming that only a tiny fraction of consumers believe retailers are passing on their …
Read More »The IRS Hears Merchants’ Pleas About Card Receipts, But Will Taxable Sales Go Unreported?
Responding to pressure from retailers, the Internal Revenue Service this month announced that it would give merchants a pass on what merchants feared would be a new hassle when filling out their tax returns. The change will reduce the compliance burden on merchants, but it also could undercut the government’s …
Read More »Durbin Begins to Bite at Visa As Debit Growth Slows in the Latest Quarter
While acknowledging that federal pricing regulations are crimping growth in its debit card business, Visa Inc. late on Wednesday presented an upbeat report to investors that stressed new ventures like its recently introduced digital wallet, V.me. Separately, the world’s largest card network also unveiled new tools to help client banks …
Read More »MasterCard Sees Durbin Gains But Draws the Line at Credit Card Interchange Cuts
MasterCard Inc. posted strong debit card growth in 2011’s fourth quarter, and the No. 2 card network’s top executive told analysts on Thursday that MasterCard is picking up some new business because of the Durbin Amendment. At the same time, however, MasterCard president and chief executive Ajay Banga said the …
Read More »Durbin Produces Contracts for First Data’s Star, But Results Are Months Away
Leading payment processor First Data Corp. reported on Wednesday that its merchant-acquiring operations are enjoying a temporary profit lift and its Star electronic funds transfer network has won more than 20 new contracts from financial institutions as a result of the Durbin Amendment. But whether those new contracts actually …
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