Mastercard acquiring UK-based VocaLink, expanding direct payments capabilities

Fast on the heels of Visa's enhanced partnership with PayPal, Mastercard announced its acquisition of UK-based VocaLink, a real-time payments platform.  The move expands Mastercard's ecosystem beyond traditional card-based payments into market space occupied by the likes of PayPal and its Venmo direct payments platform. Mastercard points out that ACH-based transfers represent 50% of payments [...]

By |2017-11-18T15:32:37-05:00August 10th, 2016|MasterCard, PayPal, Vocalink|0 Comments

Mastercard loses UK interchange challenge, must pay over £90 million

In a landmark ruling, the UK Competition Appeal Tribunal determined that Mastercard did not follow regulations in setting interchange rates and must pay £68.5 million in damages to supermarket chain J Sainsbury.  Mastercard issued a statement indicating it expects to take a total charge of £90-100 million after interest and other costs related to the dispute are [...]

By |2017-11-18T15:32:38-05:00July 15th, 2016|interchange, litigation, MasterCard|0 Comments

Kroger is the latest merchant to sue over EMV signature authentication, joining Wal-Mart and Home Depot

In May, I published an article "Are Americans too dumb for Credit Card PINs?" pointing out the absurdity of U.S. card network rules requiring a merchant to accept a cardholder signature as authentication on an EMV-chip enabled card transaction, rather than requiring the customer to enter a PIN like 80+ other countries. By forcing merchants to [...]

By |2017-11-18T15:32:39-05:00June 28th, 2016|authentication, EMV, Home Depot, MasterCard, Visa, Walmart|0 Comments

MasterCard accelerating investment in India payments market

MasterCard will invest up to $800 million in the India payments market by 2020, on top of $400 already invested since 2014. The opportunity is massive:  less than 5% of payments in India are digital. Investments will include improved MasterCard acceptance by smaller, independent businesses which make up 45% of India's GDP; and mobile technology, [...]

By |2017-11-18T15:32:39-05:00June 28th, 2016|India, MasterCard|0 Comments

China opening its doors to foreign payment networks

After more than ten years of lobbying by MasterCard, Visa and others, China issued new regulations on June 7 which will allow foreign payment networks  access to China's $8+ trillion payments market, previously dominated by a near-monopoly of China Union Pay, which is government-run. Card issuers will still be required to operate locally, and China's [...]

By |2017-11-18T15:32:39-05:00June 8th, 2016|China, China Union Pay, MasterCard, Visa|0 Comments

MasterCard reports big decrease in fraud due to EMV adoption, but are merchants actually paying more fraud costs than before?

 MasterCard reported an impressive 27% year-over-year reduction in counterfeit card fraud at EMV chip-enabled merchants. That doesn't mean merchants are seeing the benefits of those reductions.   In May, I blogged about the sharp rise in chargebacks that merchants are experiencing due to the liability shift that occurred last October, whereby merchants can be charged back without [...]

By |2017-11-18T15:32:39-05:00June 1st, 2016|EMV, Liability Shift, MasterCard|0 Comments

MasterCard’s new ecommerce fraud tool allows merchants to set transaction risk tolerances

MasterCard announced a new platform to help small to medium sized online businesses combat fraud. The platform is called Simplify Controls and it provides the ability for merchants to set their own risk tolerances including transaction amount limit, geo-location of the buyer, and multiple sales.  It also incorporates Kount's fraud monitoring engine which analyzes hundreds of [...]

By |2017-11-18T15:32:40-05:00May 25th, 2016|Kount, MasterCard|0 Comments

Welcome to the future: MasterCard predicts nearly 40% of EU payments will not involve plastic card presentment by 2020

The tide is turning on the time-honored process of presenting a payment card at the point of sale.  MasterCard predicts that  38% of EU payment transactions by 2020 will be digital, meaning they originated on a tokenized device such as a mobile phone or wearable rather than the presentment of a payment card.   MasterCard's MDES platform also [...]

By |2016-04-05T08:28:18-05:00April 5th, 2016|digital wallets, ecommerce, MasterCard|0 Comments