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MasterCard and Visa targeted in Target lawsuit

The Target data breach, which compromised the data of 40 million cardholders continues to have ramifications across the industry. Following a class-action lawsuit against Target for the data breach, MasterCard and Visa are now targets of a separate class-action lawsuit related to the breach. In an order dated August 13, the US Judicial Panel on Multidistrict Litigation detailed claims that the… Continue reading >>

Boston Fed provides update on mobile payments

The Mobile Payments Industry Workgroup of the Boston Federal Reserve has released the outcome of its May 2014 meeting on the state of the industry in the US and has found relatively little change in terms of consumer protection and regulation. According to Susan Pandy, director of payment strategies at the Boston Fed: “The discussions revealed that the focus of… Continue reading >>

ECB identifies payment systems for oversight

The European Central Bank (ECB) has named four key payment systems – Target2, Euro1, Step2-T and Core(Fr) – as “systemically important”, and as a result they will be subject to new regulations covering large-value and retail payment systems in the euro area operated by both central banks and private entities. The ECB says the aim is to promote the “smooth… Continue reading >>

eBay’s Braintree could accept bitcoin

Online auction site eBay is planning to integrate bitcoin into its Braintree payments service. The move comes after executives from eBay’s online payments unit PayPal held meetings with digital currency specialists, including Coinbase, about enabling bitcoin transactions through Braintree. The integration of bitcoin with Braintree would provide a major boost in usage and trust of the digital currency, which has… Continue reading >>

Retail malware: PCI-DSS is part of the problem

When the Payments Card Industry Data Security Program (PCI-DSS) was first introduced in 2004, the move was in response to a series of breaches that demonstrated how exposed credit and debit card information could be at retailers, large and small, that hadn’t properly considered cyber security. The standard, which has been widely criticised as a prescriptive and expensive tick-box exercise,… Continue reading >>

Juncker considers creating financial services tsar

A new European Union (EU) financial services tsar tasked with regulation and ensuring financial stability in the EU would be appointed in Brussels under new plans being considered by Jean-Claude Juncker, the incoming European Commission president. Juncker is considering creating a stand-alone finance directorate. The plans will give a single commissioner a united financial services portfolio. At present EU financial… Continue reading >>

PSD2: A ‘bull by the horns’ approach to open access

As the European Commission moves closer towards its ambitions of creating a single European payments market, one proposal put forward in Article 58 of the upcoming Payment Services Directive (PSD2) could have a far-reaching effect on the way payments are transacted across the 28-member bloc. The article includes a provision to regulate third party (so-called “third party payment service providers”)… Continue reading >>

UK banks face competition probe

The UK Competition and Markets Authority (CMA) is planning to launch an investigation into the UK retail banking sector in a move which could see high-street giants being broken up. The CMA has made a provisional decision to go ahead with a full-scale, 18-month long inquiry into the industry, although it will first carry out a consultation before making a… Continue reading >>

EU Banking Authority warns financial institutions to avoid virtual currencies

Europe’s Banking Authority has warned its financial institutions to avoid dealing in Bitcoins and other virtual currencies until a forthcoming regulatory regime has been established. It also laid out various elements that should be a part of future regulation. The EBA, in a recent opinion, identified nearly 70 risks stemming from the new type of currency that could affect users, market participants,… Continue reading >>

Russia rolls over in deal with Visa and MasterCard

Visa and MasterCard have reached a compromise agreement with Russian officials that would allow the global card payment companies to continue operating in the country. “MasterCard and Visa will continue business in Russia,” said Andrew Torre, Visa’s general director for Russia. Russia’s finance minister, Anton Siluanov, said both Visa and MasterCard are ready to create their own Russia-based payment operators, which will take… Continue reading >>