Two Key Factors Driving Credit Card Rates Higher
Credit card rates remain high for two main reasons, according to a new study from the New York Fed: steep operating costs and undiversifiable risks. An economic downturn could threaten an issuer’s entire portfolio, making risk management a key factor in pricing. Although the average credit card interest rate currently sits at a lofty 20.09%, […]
Digging into the Benefits of Prepaid Commercial Cards
In what remains a challenging environment for many employees, prepaid card programs continue to play a vital role. As associates return to the office or look for new ways to drive sales, employers can leverage a variety of commercial prepaid products to boost morale and reward performance. In the 2025 State of the Industry: Prepaid […]
Malaysian Authorities Urged to Act Over Spiraling BNPL Usage
The Malaysian central bank found that most of the country’s buy now, pay later (BNPL) users came from the lowest income brackets—workers earning less than $1,130 per month. According to the South China Post, one reason lower-income Malaysians rely on BNPL is its widespread acceptance among merchants, especially for smaller purchases. For example, fast-food chain […]
Phishing Attacks Shift to More Subtle Enticements
The days of receiving phishing emails with subject lines like “Payment Overdue!” may be coming to an end. As users grow desensitized to alarmist messages, malicious actors have shifted to more subtle approaches. “Request” was the most common word in phishing subject lines in 2024, according to research from Cisco. Threat actors have largely abandoned […]
Infostealers: The Latest Cyberthreat Facing Financial Institutions
Last year, a breach of cloud storage company Snowflake resulted in data stolen from more than 150 companies, with more than $2 million extorted from victims. The attack was carried out by an infostealer, a type of malware that didn’t directly infiltrate Snowflake but instead entered through a client with weak security measures. The growing […]
JPMorgan to Facilitate Real-Time USD Payments in India
JPMorgan’s recently rebranded digital assets unit, Kinexys, will enable commercial clients of India’s Axis Bank to send and receive USD transfers in real-time both domestically and cross-border. According to Reuters, this will be the first time organizations in India will have access this functionality. Two key benefits of this feature include greater flexibility and increased […]
Fraud Concerns May be Slowing Real-Time Payments Adoption in the UK
Although real-time payments have been available in the UK for some time, adoption has been slower compared to many other parts of the world, likely due to security concerns. A study conducted by FICO found that while 79% of UK consumers surveyed have used real-time payments, this lags behind the 14-country average of 91%. Additionally, […]
Why Risk Management Should be Top of Mind for Credit Card Issuers
Credit card issuers are navigating a landscape filled with macroeconomic challenges, regulatory uncertainty, and financially strained consumers. Unfortunately, the road ahead remains uncertain, making it critical for issuers to take proactive measures to protect themselves as charge-offs and delinquencies mount. In the Credit Card Databook, Part 2: Balancing Risk and Reward in a Resilient Economy […]
The Return of Student Loan Payments Is Playing Havoc with Credit Scores
Many Americans are waking up to substantial declines in their credit scores as delinquent student loans begin impacting them for the first time since the pandemic-era repayment pause ended. The New York Fed estimates that more than 9 million student loan borrowers will experience significant credit score drops in the first half of 2025. The […]
Robinhood Aims to Bring Wealth Management Solutions to Everyday Investors
Fintech Robinhood is introducing wealth management, private banking, and artificial intelligence (AI) solutions designed to bring luxury features to retail investment portfolios. The company’s Gold members, who pay either $5 per month or $50 per year for their subscription, will gain access to the Robinhood Strategies platform. The service gives members with investments as little […]