After months of speculation and hand-wringing, last Friday we finally got a relatively complete reading on how the Federal Reserve will likely implement the prescribed regulation of debit interchange and debit network competition. My partner, Carol Benson, has also...
At Glenbrook, we think (and teach!) about the payments industry by domains (the purpose of the payment) and players (users and providers). Our quick take on the impact of yesterday’s proposed rules on each is below. One general assumption I’ve made here is that the...
Last June, in an article titled "The End of Interchange", I wrote about the then yet to be passed Durbin amendment - and how it might affect debit interchange fees. Earlier today, we got the first glimpse. The point of my earlier article was focused on the...
The potential of mobile banking, for the realization of ‘anywhere, at anytime’ transactions, is well documented. However, interest is starting to develop regarding a more consumer-orientated vision of what mobile banking and payments can offer. Glenbrook's...
There, did I get your attention? ... Tonight's headlines say it even more clearly - see this Wall St. Journal story titled "Merchants Win Debit-Card Fee Battle". Or, see this post on PaymentsNews.com about the Durbin compromise announced earlier today. Seriously,...
I’ve been amazed by what I’ve been reading of late from the “analyst” firms commenting on the Durbin Amendment. A lot of what I’ve seen makes me wonder whether these folks should turn in their analyst licenses and simply register as paid lobbyists for their big...
The dramatic vote on the Durbin amendment is causing panic, again, among retail bankers – who were last shocked by the Fed’s overdraft ruling. I wrote about that in November (Watch Out! Big Changes in Retail Bank Pricing Are Coming). I think the underlying problem...
Green Dot's IPO plans revealed that they are becoming a bank holding company. This is completely fascinating to me - and gives, I think, a peek at what may come for retail banking in the future. At Glenbrook we've been talking, thinking, and writing for some time...
A few weeks ago, Glenbrook issued a challenge to Payments Views readers: “What Are the Best Ways for Banks to Replace Lost Overdraft Fee Income?“ Given how significant the financial hit will be (JPMorgan Chase estimates a 2010 impact of $500 million after-tax), we...
Bank income from debit card overdraft fees is variously estimated as $25 billion to $38 billion annually. The recently announced Federal Reserve Bank regulations requiring opt-in procedures will result in a gigantic hit to retail bank P&Ls, as we wrote about...
