Mastercard and Visa entered into an agreement with the Reserve Bank of Australia, that country's central bank and payment systems regulator, not to dissuade merchants from routing debit card transactions through alternative networks. The news out of the RBA follows a Federal Trade Commission order that Mastercard cease "illegal business tactics" that force merchants to route debit card payments through Mastercard.
The FTC has been investigating since 2019 claims that Mastercard and Visa block merchants from routing payments over other debit card networks. Debit networks, which require PIN authorization, are generally less expensive clearing options. Most are owned by card brands, or acquirers.
Toast, the restaurant management software company that has been giving ISOs and their sales reps indigestion, is now raising the ire of restaurant owners and their customers. That's because those who place online orders of $10 or more with Toast clients will be charged an additional 99 cents—that's 99 cents over and above all other charges.
According to reporting that first appeared in the Boston Globe, the new "order processing fee" was being tested with select Toast client restaurants and was slated to roll out nationwide beginning July 10. In a mockup of the planned new Toast interface described by Nation's Restaurant News, the new fee does not appear as a separate line item; instead, it is included as part of a line item called "taxes and fees."
Proposed changes to the New York State Department of Financial Services Cybersecurity Regulation for fintechs, known as 23 NYCRR Part 500, are set to go into effect later this year, according to legal analysts and financial services experts, most of whom agree the guidelines are innovative and thorough.
Amendments to New York's cybersecurity laws, published in November 2022 and later revised in June 2023 following an open comment period, cover stakeholder responsibilities, exemptions and notifications, according to recent reports. In a recent interview with Law360 Pulse, Paul Hastings partners Dana Syracuse, and Josh Boem, who serve in the firm's fintech and global payments practice, commended the State of New York for its regulatory leadership.
How does a company lose $17 billion in the space of four years? Fidelity National Information Services, better known as FIS, did it by acquiring leading payment processor Worldpay. FIS just disclosed it is selling a 55 percent stake in Worldpay to the private equity firm GTCR for $11.7 billion. GTCR also has committed to invest up to $1.25 billion in Worldpay to be used "to pursue inorganic growth opportunities."
FIS said the deal values the payment processing business at $17.5 billion, about half the $35 billion in cash and stock paid for Worldpay back in 2019. That combination of cash and stock put Worldpay's valuation at $43 billion, according to company statements at the time, which is more than twice its current valuation.
Consumers are reining in spending as merchants amp up promotions, according to June 2023 studies by J.D. Power, the U.S. Chamber of Commerce and Paysafe. The Personal Consumption Expenditures (PCE) index, also published in June, shows inflation rose by 3.8 percent and core inflation rose by 4.6 percent in the past year.
Alfredo Ortiz, president and CEO of Job Creators Network, maintained that ongoing inflation has placed undue pressures on seniors and individuals living on fixed incomes. "Inflation remains stubbornly high, punishing ordinary Americans and small businesses,” he said. “The prices of goods and services are rising at about twice the Federal Reserve's target rate.” 
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