Company allegedly assuming some fraud risk
In preparation for its mobile payment technology, Apple has successfully negotiated deals with five major financial institutions -- American Express, JP Morgan Chase, Citigroup, Capital One, and Bank of America -- to lower transaction fees, sources say. One linchpin was convincing them that mobile payments constitute "card present" transactions, which have a lower discount rate than their opposite, owing to lower fraud risk. That card-present rate has been dropped another 15 to 25 basis points however, meaning that Apple should get a roughly 10 percent discount on processing rates.
Song cracked $1 million in first hour after Super Bowl ad
During Bank of America's (Product) RED promotion on iTunes, over 3 million copies of U2's newest single were downloaded, according to an announcement. Over 1 million of those went out during the first hour after an ad promoting the deal ran during the Super Bowl. As a result of the initiative, over $3 million should go towards the Global Fund to fight AIDS, tuberculosis and malaria.
Free download expires later today
Bank of America will donate $1 to (Product) RED for every download of U2's free "Invisible" single on iTunes, the company announced during last night's Super Bowl. (Product) RED is an initiative which directs money from specially-branded products to the Global Fund, a charity dedicated to fighting AIDS, tuberculosis and malaria. RED was co-founded by U2's lead singer Bono in 2006.
Plans still nebulous
Apple is among of a number of US corporations that have agreed to change hiring practices to avoid discriminating against the long-term unemployed, says the New York Times. The pledge comes at the behest of President Obama, who is hosting a meeting of CEOs at the White House later today to promote his efforts. White House officials say that about 300 businesses have agreed to alter hiring policies, including 21 of the 50 biggest American corporations, and 47 out of the top 200.
ATMs in Boston to offer conversations with bank employees
Bank of America is adding video conferencing to its automatic teller machines. The video chat facility will allow bank customers to see and speak to tellers in order to perform more advanced bank transactions than would normally be available to an ATM user, as well as providing a more personal experience to users.
Three-month experiment under
Bank of America has begun testing a new mobile payment system using iPhones and Android phones, Reuters reports. The technology was developed by a company called Paydiant, and unlike a previous trial, doesn't depend on phones and stores being equipped with NFC technology. Instead payment card data is stored on a server, and when a person goes to pay, they load an app that scans a QR code displayed at a register. Five merchants in Charlotte, North Carolina are known to be participating, but Paydiant has refused to name any other parties involved in the trial. Only BoA workers are able to use the system at the moment.
Messageboard posting forces notification of credible threat?
The Financial Services Information Sharing and Analysis Center warned banks to be on heightened alert after Bank of America and JPMorgan Chase experienced unexplained outages of public-facing websites on Wednesday. The warning cited "recent credible intelligence" as the justification for raising the threat level similar to that of the Department for Homeland Security scale from "elevated" to "high."
Intego adds Mountain Lion support to all software
The Bank of America has launched a new version of its mobile banking iPad app. The software allows users to manage all aspects of their account, including the ability to deposit a check by snapping a picture of it. Customers can also choose which BankAmeriDeals they wish to receive as rewards for their credit and debit cards, as well as send money to others via their mobile number or e-mail address. To ensure security, the app also encrypts all incoming and outgoing data.
RIM just days away from picking JPMorgan: insider
Canadian smartphone maker RIM is closer to picking its financial advisor and JPMorgan Chase & Co is the leading candidate, Bloomberg reported on Friday. A source who wished to remain anonymous said the decision may arrive in a matter of days. The company is considering a licensing deal for its tech or a strategic investment, sources indicated, and has even talked with Bank of America.
Bank of America to trial Mobile Wallet system
The Bank of America has started a pilot program that involves wireless payments using customers' smartphones, an unnamed source told BGR. Dubbed Mobile Wallet, the system relies on NFC technology and is so far only compatible with BlackBerry handsets. Bank of America sends users an NFC chip-equipped battery cover for their handset along with a microSD card.
Borders near Chapter 11 bankruptcy
Borders' financial troubles in the e-book era could come to a head early next week after a leak has revealed it's close to bankruptcy. The bookseller is now believed to be filing a non-permanent Chapter 11 bankruptcy as soon as Monday or Tuesday. Its plan would see it get debtor-in-possession financial backing during the bankruptcy of as much as $450 million from Bank of America or GE, but it would also close 200 of its existing 674 stores, the WSJ sources behind the leak said.
BofA and Citigroup testing iPhone option
Both Bank of American and Citigroup are running tests on services that would let workers drop the BlackBerry and use an iPhone instead, leaks from both companies mentioned on Friday. Three contacts said the two are trialing software that would keep e-mail secure. Bloomberg in getting the details didn't say whether they were simply using built-in Exchange support or if third-party apps were involved.
Trial to begin next month
Bank of America and Visa have announced a joint plan to trial a smartphone payment system to make purchases in the New York area starting next month. While this technology has been used for some time in countries such as Japan, it would be the first time that this technology has been implemented in the US on this basis. The system like others would rely on small NFC (near field communications) chips in smartphones.