Links in “Credit/Debit Cards”
- California and Nevada Leagues Join Class Action Suit Against Home Depot
The California and Nevada Leagues announced they are joining the class action lawsuit against Home Depot. Cybercriminals accessed the retailers payment systems resulting in the compromise of 59 million credit and debit cards and costing the credit union industry over $65 million. Thirty other credit unions and leagues have already joined the suit. [4/9/16]
- What Happens to All Those Stolen SSNs and Credit Cards?
A security vendor planted phony "stolen" data in the "Dark Web," then tracked it to see where it goes. In less than two weeks, the data made its way to 22 countries and was viewed nearly 1,100 time. Most frequent activity came from Nigeria and Russia. [4/7/15]
- New Credit Scoring System for Underbanked Focuses on Utility, Phone Payment Record
With 25% of the U.S. population "unscorable" (because they have little or no credit payment history), a new FICO scoring system will take into account other measures, such as consumers who have faithfully paid their phone, oil, and gas bills, and haven't moved around too much. Whether bankers buy into this system remains to be seen. [4/3/15]
- Credit Card Submission Agreement Rules May Be Temporarily Benched
New, from the AffirmX blog. The CFPB is now working to develop a more streamlined and automated electronic submission system that would allow card issuers to upload agreements directly to the bureau's website. While this development is underway, the CFPB is proposing to temporarily suspend the requirement that you submit your credit card agreements for a period of one year (four quarterly submissions). [3/31/15]
- PINless PIN Reducing Interchange
With PINless PIN technology merchants can now require consumers to process debit card transactions as debit transactions rather than giving them the option to process the transaction as a credit transaction, which would require a signature. This could reduce income to credit unions as a result of the lower debit card interchange fees. [3/30/15]
- Ordering Transactions by Highest Dollar Amount Costs Bank $2 Million
Hawaiian bank posts debit card charges by highest amounts first rather than chronological, which increased the number of overdraft fees. The bank denied the claim, but says it settled to end the class action matter. [3/25/15]
- Trade Associations Debunk Retailers Chip-and-PIN Claims
Retailers are telling lawmakers that a combination of chip-and-PIN technology will be the most effective way to prevent card fraud. Financial trade associations are crying foul, stating that 75% of merchants are still not able to accept PIN transactions, even for debit cards. [3/24/15]
- CFPB Needs to Clarify Definition of Prepaid Cards
ABA comments on CFPB's proposal on prepaid cards. First problem is the blurry lines between "covered accounts" and "prepaid accounts." [3/24/15]
- Target Agrees to Pay Consumers $10 Million in Class Action Suit
Target has agreed to pay the members of a consumer class action suit a total of $10 million as a result of Targetâs massive data breach in 2013. If approved by the court, members would receive about $10,000 each. Credit unions are still waiting to recover their estimated $30 million in costs as a result of the breach. [3/20/15]
- Target’s 9¢ Settlement Underwhelms Bankers
A $10 million class action settlement for Target's data breach works out to about 9 cents for the 110 million potential victims. And that's just the first shortcoming of this settlement. [3/20/15]
