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NewsBriefs

This article contains excerpts from news stories recently posted under According to the study 72 percent of consumers use their
Breaking Industry News on our homepage. For links to these and other debit card at the POS through various methods, and 68
full news stories, please visit www.greensheet.com/breakingnews. percent of users have a favorable impression of debit
php. over other payments. The shift towards digital wallets is
partly due to enhanced security features, such as facial
recognition and thumbprint technology.
The report underscores the risk of debit cards losing
individual brand identity as they are associated more with
J.D. Power: Digital banking, credit tools wallet providers like Apple than with issuing banks. J.D.
promising but lack personalization Power suggested that banks can maintain relevance by
focusing on budgeting, security and rewards that enhance
Recent J.D. Power studies indicate that while U.S. banks and user satisfaction. The study, conducted from September to
credit card providers excel in digital service functionality, November 2023, included responses from 7,756 consumers.
they fall short in creating distinctive, personalized Progress happening in cannabis payments sphere
customer relationships. Jennifer White, J.D. Power's senior
director of banking and payments intelligence, emphasized The Biden Administration's decision to reclassify
the critical need for personalization in digital banking. She marijuana from Schedule I to Schedule III under the
noted that personal financial management (PFM) tools Controlled Substances Act marks a significant shift in U.S.
and digital assistants represent the best opportunity for federal drug policy, aligning it with the increasing state-
differentiation by offering tailored financial advice and level legalization of cannabis. This move, coupled with the
enhancing user engagement. revised SAFE Banking Act proposed in September 2023,
signals a transformative period for banking and payment
The research shows significant interest in virtual assistants processing businesses serving the cannabis sector.
for functions such as checking balances and making
payments. Adoption of person-to-person payments is also The federal illegality of cannabis has deterred major
on the rise. However, consumer awareness and usage of financial institutions from servicing the industry, leading
PFM tools lag behind, with features like budgeting and many businesses to operate cash-only, posing risks and
credit score monitoring underutilized. White highlighted inefficiencies. However, companies like Organic Payment
the need for banks to actively promote and integrate these Gateways, Shield Compliance and CanPay are addressing
tools into everyday customer interactions. these challenges. Organic Payment Gateways recently
Nacha's security-breach guidance an essential tool launched a payment solution for CBD and cannabis-
related businesses, enhancing transaction security and
On May 31, 2024, Nacha, which oversees the ACH compliance with ecommerce platforms like WooCommerce
network, released a free tool developed by its Payments and Shopify.
Innovation Alliance. This tool, a security incident
response procedure guide, assists companies in managing Shield Compliance made strategic organizational changes
security incidents and breaches. It provides step-by-way to strengthen its role in cannabis banking compliance,
guidelines for assessing and addressing security issues while CanPay introduced RemotePay, which facilitates
involving personal or proprietary data, suggesting actions online prepayments for cannabis. These innovations,
for notifying affected parties. The guide also serves as a alongside partnerships like that between Surfside and
foundation for security planning within organizations, BLAZE for advanced advertising technology in cannabis
encouraging customization of the response plans with the retail, illustrate the industry's technological advances and
help of IT, compliance, and legal experts. readiness to leverage new opportunities.

Matt Luzadder, managing partner at Kelley Drye & Also find us on Facebook,
Warren LLP, highlighted the importance of comprehensive LinkedIn & Twitter for the
disaster recovery plans, employee training, system audits, most up-to-date stories,
and the use of threat detection technologies. He also
mentioned the utility of integrating this guide with other can’t miss events and newest
resources like the "tabletop exercise" introduced last year industry announcements.
by the Alliance.
Debit cards are tops with consumers

A recent J.D. Power report revealed that debit cards
are increasingly being integrated into digital wallets https://www.facebook.com/TheGreenSheetInc
and have become the most used payment option when https://www.linkedin.com/company/the-green-sheet
added, surpassing cash, credit cards and other methods.
https://twitter.com/The_Green_Sheet
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