The average annual percentage rate (APR) on new credit card offers was unchanged this week at 14.91 percent from the previous week, according to the CreditCards.com.
By 2020, swiping with smart phones or other devices will gain mainstream acceptance as a method of payment and could replace cash and credit/debit cards for most online and in-store purchases.
As many as 1.5 million credit card and debit card numbers – from Visa, MasterCard and other brands – may have been stolen from the Atlanta-based, third-party payments processor Global Payments, the company said in a statement.
Visa, MasterCard and Discover have alerted banks about a potentially large-scale security breach at an Atlanta-based credit card processor.
Visa, the top payments processor, rode higher credit and debit card usage to a fiscal first-quarter profit 21 percent above a year earlier, showing some resilience to new limits on “swipe fees” mandated by Wall Street reform.
Consumers relying more on their MasterCard for credit and debit purchases helped the second largest payments processor see a net income of $514 million, or $4.03 a share, in the fourth quarter of 2011 – that’s a 23.7 percent jump in profit over a year ago.
PayPal, eBay Inc.’s e-commerce payment provider, is taking on Visa and MasterCard in the off-line world of in-store purchases, and it will start with 2,000 Home Depot stores.
Credit and debit card spending is climbing worldwide as payment-processing giant MasterCard today reported a healthy third-quarter profit that beat estimates, following a similarly solid earnings result last month from its top rival Visa.
Visa and MasterCard have agreed to allow merchants to encourage customers to use lower cost credit or debit cards — and potentially provide rebates or discounts for doing so — under a settlement with the U.S. Justice Department announced today. Simultaneously, Justice officials said that an antitrust lawsuit would proceed against a third payment network, American Express, challenging rules that prevent merchants from offering consumers “any cost saving options, such as discounts or rewards, for using less expensive forms of payment.”
Bolstered by jumps in international credit and debit transactions, MasterCard posted a second quarter earnings increase of 31 percent. The No. 2 payments processor said today that net income climbed to $458 million, or $3.49 per share, from $349 million, or $2.67 a share, a year ago.