This Week We’re Reading..

From Heartbleed to Heartburn

Briefcase with lock

Information security is a constant game of catch-up. We get new technology capabilities, the bad guys find new vulnerabilities. They devise new forms of malicious assault, we come up with new defensive strategies. And so it goes. We know it, they know it, everyone knows it.

Why, then, is the bug known as Heartbleed getting so much attention?

Sure, no disputes that it’s at least potentially a very big deal. But one week into the discovery, Google turns up more than 530 million hits on the subject. The Electronic Frontier Foundation, among others, has labeled it “catastrophic,” and some have gone so far is to describe it as the worst vulnerability to be identified since commercial traffic began on the Internet. Is it really that bad?

Hype aside, here’s what we do know. Over the years, the open source community—basically, thousands of

Heartbleed, the big bad bug in the room, takes advantage of a feature within OpenSSL known as heartbeat, and essentially steals the security certificates that verify a site’s and/or user’s authenticity. The bug has been present but quiet for the past two years, during which time it has potentially undermined security measures for password encryption in a range of environments, from search engine and social networking services to Android devices.developers not beholden to any corporation in particular—have worked together to create much of the software many of us use today. One such program that most people with a life actually know nothing about is OpenSSL, which is very important, since it provides a means for security on web servers all over the world. With this technology, sites can offer encrypted information to visitors, ensuring that the data can’t be seen anyone else when it travels between the user’s device and a particular site.

After that the details get more technical and, sadly, far more murky. On the one hand, we’re being told that despite considerable scrambling on the part of security specialists at companies everywhere, the potential for major damage is very real. It potentially affects hundreds of thousands of Web sites, from Google and Yahoo to Twitter and Dropbox, along with hundreds of millions of users. By that measure, the level of effort needed to truly fix the problem is nothing short of monumental. On the other hand, it’s far from clear just how many sites or users have actually been affected. Challenges issued by security companies to steal information using the vulnerability—basically crowdsourcing digital theft—have so far come up mercifully short, indicating that the concerns, while valid, could be overblown. On the third hand, of course, we just don’t know.

One thing is certain: The old adage about regularly changing passwords, and not using the same one for multiple functions and services, applies now more than ever. The buzz over this recent episode has apparently prompted many users to rapidly change their passwords for all the online services and devices they use, and that’s good. But it would be even better if that became a habit rather than a reaction to much-publicized fears.

There’s a larger question here as well. The ubiquity of technology in every aspect of daily life, from social media to mobile banking apps, has perhaps seduced consumer sensitivity to the issue of information security. And that’s definitely not good.

Making technology capabilities ever more user-friendly carries with it a potentially steep price tag; the easier a service is for everyone to use, the easier it might be for the bad guys for to hack. On a related note, many of the more common services, from email to mobile apps, are free. That carries with it fewer guarantees of rock-solid security.

Many financial technology vendors are already stepping into to the breach to implement fixes for the Heartbleed bug. For their part, numerous commercial banks and other financial services institutions are raising awareness of the threat and running tests to ensure that their communities are not left unprotected.

But somewhere in this environment, consumers have a critical role to play too. Regularly changing passwords is a good start. As digital currency in all forms becomes more embedded in the mainstream, it would be wise to be more aware of security threats and more proactive in taking security precautions.

What We’re Reading

What We’re Reading: Retail Banking, Square, Voice Biometrics

Below are interesting stories the Banking.com staff has been reading over the past week. What have you been reading? Let us know in the comments section below or Tweet @bankingdotcom.

  •  What’s Behind the Mobile Banking Boom (video)

American Banker

Mobile banking has expanded beyond the market for youthful early adopters and is rapidly becoming a mainstream product. American Banker reporters discuss who else is logging on and the hurdles the industry faces to keep the momentum going.

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  • Report: IT Spending in Retail Banking Will Reach $152.5 Billion By 2018

Bank Systems & Technology

Back-end investment for compliance and investment in digital channels will drive strong growth in IT spending among North American banks, according to Ovum. Retail banks will grow their IT spending to $152.2 billion by 2018 in response to rising customer expectations and investment in digital channels, a recent report by analyst firm Ovum predicted.

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  • Navy Federal Promotes Square For Small Business Payments

Credit Union Journal

Mobile payments provider Square could get a big boost from the nation’s biggest credit union. Navy FCU is promoting Square’s mobile card reader and payment processing services to its small-business members. The $56 billion credit union’s website now hosts a page that allows members to sign up for Square. By partnering with Square, Navy Federal is providing members with an easier way to accept credit card purchases and track their sales, according to Jim Salmon, vice president of business services at Navy Federal.

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  • Banking Insider: U.S. Bank tests voice biometrics to replace passwords

Las Vegas Review Journal

U.S. Bank is joining a short list of large financial institutions that are testing voice biometrics as a potential replacement for the traditional password. That list includes Wells Fargo & Co. and Barclays Plc. Voice biometrics software users log in to an application or website by speaking a word or phrase. The word or phrase is compared to a previous recording the customer has made to verify it’s the same user. U.S. Bank employees are piloting the software and using a simple passphrase such as “my voice is my password” to access credit card account balances, search transactions and make payments on accounts using a mobile device.

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  • Why There Is No Amazon Of Banking

Snarketing 2.0

There are no Amazon-branded products or services. As a result, there are no Amazon product managers with a vested interest in selling their product over some other brand. Can you walk into a Citibank branch and open up a JPMorganChase checking account? Nope. Can you go to the Bank of America web site and apply for a Wells Fargo mortgage? Nope.  But you can go to Amazon’s web site and buy just about anything that anybody else sells.

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  • Here’s the One Stat Big Bank CEOs Are Freaking Out About

TIME.com

A new survey shows that nearly a third of consumers haven’t actually set foot in a bank branch in six months, and one expert predicts that number could rise to 50% in just five years. According to Bankrate.com, 30% of respondents to a new survey haven’t gone to a bank branch in six months. And more than two-thirds of those — 21% of respondents — haven’t set foot in a bank in the past year or more.

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Party Time at the Branch

This post originally appeared as a Banking.com guest post on Sageworks’ Blog.

Source: TampaBayNewswire.com

Source: TampaBayNewswire.com

Everyone in our industry acknowledges banks need to be different, and we’ve explored numerous initiatives on Banking.com, from video transactions to teller pods and community rooms.  But how about serving up a cocktail with your account statement?

That’s one way to look at St. Petersburg, Fla.-based C1 Bank’s new branch in Miami’s Wynwood district. Sure, it’s got all the amenities every branch needs, but be prepared for the teller desk to become a bar, and a fully stocked kitchen ready to accommodate a sizeable party of movers and shakers. In fact, the location actually doubles as an event space.

The trendy art on the walls is kind of a giveaway too, as is the custom, rounded table near the entrance and safe-deposit boxes behind moveable bookshelves. It takes virtually no time for the entire setup to be transformed into a party room. And when the party’s over, a laser light show continues.

The investors say it’s a new kind of bank that’s designed for entrepreneurs by entrepreneurs. For the record, C1 Bank was recently named one of the five local companies to watch in 2014. The branch has also been the area’s first full-service provider for more than 20 years.

It’s easy to wish the establishment luck while privately seeing it as a novelty, but there’s another aspect that demands attention. Many banking industry analysts stress that in order to survive, new branches must reflect and serve their neighborhood’s tastes and needs, as this one surely does.

In the last few years, the Wynwood area in Miami has seen more than its share of ups and downs. However, like many urban areas, it has recently undergone major shifts leading to greater investment, and of course gentrification. What might have once been described as urban blight—personified by abandoned warehouses and buildings occupied by squatters—has been replaced by trendy cafes and art galleries. The textiles industry has been supplemented with fashion outlets.

In that sense, the new branch fits right in. It serves its purpose as a bank branch in the traditional sense, but it does more. And that might be the key to future success.

There’s no doubt that bank branches everywhere have been hit hard by changes in the business environment. Just recently, Minnesota-based TCF Bank announced that it isclosing eight branches in the Twin Cities area, all within the Cub Foods chain. The parent company closed many more late last year in the Chicago market.

The troubles confronting bank branches represent just one aspect—though a painfully visible one—of the many changes rocking the industry. The debate on what comes next continues to rage. There are even discussions on the nature and scope of the problem, let alone the solution. And it’s a good discussion to have.

Source: CommunityNewspapers.com

Source: CommunityNewspapers.com

In the meantime, however, innovations are surely welcome. Turning a sober financial services establishment into an event space with martinis and DJs probably isn’t for everyone. But every branch should probably be asking itself not only what kind of banking services it can provide to better serve the community, but what else it can do as well.

We live in a world of instant gratification, an international outlook and unprecedented mobile capabilities that radically alter consumer behavior. Having with a solid, dependable presence in the community and offering great customer service with a personal touch used to be enough. But in this business environment, at this time, we need to do more.

Regulation and Resolution: The Future of Banking?

Banker signing paper

From this side of the Atlantic, the European Union (EU) can seem like a weird thing—most of us aren’t exactly sure when it started, how far it stretches or even what it exactly is. What we do know is that it’s a case study in constant evolution: It dates back to at least the ’50s, when six nations formed the European Coal and Steel Community and, later, the European Economic Community. However, the current European Union actually takes its name and primary structure from the Maastricht Treaty of 1993. The monetary union, the source of the Euro, was born in 1999; the constitutional basis for the EU, the Treaty of Lisbon, arrived 10 years later; and countries are still joining (Croatia became a member only last year).

Of course, as a unified entity, the EU still seems a little bit strange. But the potential for superpower status is clearly there, which may be one reason why it was awarded the Nobel Peace Prize in 2012.

And then we get to March 2014. That’s when, after protracted negotiations, the last piece of the puzzle fell into place for an all-purpose European banking authority that will, at least by design, be better equipped to handle industry crashes, especially the kind that might have a domino effect. Most importantly, the entity has the regulatory authority to restructure, sell off or even shut down failing banks.

The move is a direct response to recent disasters that had catastrophic consequences for many institutions. Even entire nations have been similarly affected, most famously when a series bank failures and attempted bailouts virtually bankrupted Ireland and sparked major scandals. And whenever this happened, of course, other organizations and governments had to step into the breach, forcing taxpayers in one country to pay for the mistakes of financial services corporations in others.


To its credit, the new entity is designed to look forward rather than just back. The European Central Bank (ECB) has already been doing due diligence on larger financial services institutions to look for potential minefields. It won’t be a huge surprise if it does find problems. Meanwhile, the Resolution Board, as it’s called, has a two-pronged mandate.

First, it takes the power of supervision away from local regulators, who might be too close to the corporations they’re supposed to be monitoring. (They might also turn a blind eye to avoid making national institutions look bad.)  More important, perhaps, is the other function, which entails setting up a fund that is empowered to take essentially unilateral action on lenders that are deemed to be in trouble. In these instances, the fund can order a restructuring, sale or even shutdown (in some cases there will be other steps necessary). The fund will have in its coffers $76 billion to conduct these rescues as needed, with the money to be raised through levies on the industry.

The intent, of course, is to protect taxpayers from having to foot the bill for bad decisions made by bank executives. It should also help send a message of stability to financial markets everywhere. These are laudable goals, surely, but will it work?

To be clear, the Resolution Board doesn’t even exist yet. It won’t launch until next year, and contributions to the fund will start the year after that. There are also objections being raised to the effect that the agreement doesn’t go far enough. Some argue that in order to be truly effective, the new entity should be completely independent, rather than tied to an industry authority like the ECB, which has its own connections to national interests. But for those who want strong regulation, it’s clearly a start.

That brings us back to these shores. As we all remember from recent history, the United States has had its share of crashing banks, taxpayer-funded bailouts and accusations of lax regulation. Is there anything for us to learn from what the European Union is doing?

 

What We’re Reading: Omnichannel Banking, Bank Branches, Apple

Below are interesting stories the Banking.com staff has been reading over the past week. What have you been reading? Let us know in the comments section below or Tweet @bankingdotcom.

  • UMB Emulates Apple in Push to Encourage Mobile, Online Use

American Banker

UMB Bank is channeling its inner Apple to encourage more of its customers to use online and mobile banking. The Kansas City, Mo., bank has begun designating tech support specialists in its branches whose job is to help customers understand and use digital services like mobile deposits and online bill pay.

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  • Omnichannel Banking: More Than a Buzzword

Bank Marketing Strategy

Banks are in an unequalled position to understand their customers. They already can see product use, transaction patterns and demographic profiles. By leveraging channel usage insight, they can develop an even more detailed customer profile. Understanding not only what the customer looks like, but also how they conduct their banking can allow for improved product offers using their preferred channel.

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  • Regions, Credit Unions and USAA Sit Atop Customer Experience Rankings

Bank Systems & Technology

The banking and credit card issuer industries both saw significant improvements over last year in the Temkin customer experience ratings. Regions and credit unions earned the highest customer experience scores among banks in the 2014 Temkin Experience Ratings, released earlier today. Regions and credit unions tied with scores of 81%, followed closely by USAA and TD with scores of 80%, and USAA also earned the highest score among credit card issuers with 77%. Overall both the banking and credit card issuing industries improved their scores over last year.

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  • BBVA creates digital banking unit

Finextra

Spain’s Banco Bilbao Vizcaya Argentaria has established a digital banking unit in a bid to boost the development of its various technology-led businesses. The new business area is charged with leading the bank’s digital transformation around the world, running its multi-channel strategy and the design of operational and commercial processes.  It will also work on developing new business lines, overseeing internal developments such as the Wizzo app as well as the bank’s startup investments made through its $100 million venture fund and Simple, the US firm it bought for $117 million last month.

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  • It’s Not Easy for Banks to Sell You on New Services

The Street

Banks spend tons of money figuring out how you like to spend and save money, especially when it comes to using credit cards and mobile banking, two huge profit center for financial institutions. The credit card industry will process about $4 trillion in card transactions this year, according to Business Insider, and Albany, N.Y.-based ResearchMoz reports that mobile banking is also flexing its muscles, growing from 480 million U.S. users at the end of 2012 to 1.08 billion by 2016.

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  • One in Three of Americans Hasn’t Been to the Bank in at Least 6 Months

WSJ Blog

More than a third of people in the U.S. haven’t been to the bank in at least a half of a year, according to a new survey.  People with lower incomes and less education visit bank and credit union branches less often, the Bankrate.com survey found. For example, 35% of people with at least some college education visited a bank in the last week, compared with 21% of people with at most a high-school education.

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Will Bitcoin Bury the Banks?

Laptop

Think of it as the Bank for Humanity.  The Bitcoin protocol is the genie that has left the bottle never to be contained again.  Enormous decentralized businesses will be created out of this protocol that will change the landscape of global business forever.  A new cycle of disintermediation has begun and all existing business must adjust or they will be marginalized.

Bitcoin at its most fundamental level is a breakthrough in computer science – one that builds on 20 years of research into cryptographic currency, and 40 years of research in cryptography, by thousands of researchers around the world.  In its’ youthful history it has been attacked relentlessly and shown its’ resiliency repeatedly.

In the simplest of terms, think of a Bitcoin as currency melded with a public stock certificate of a fast growing startup. Think of it as owning a share of Facebook rather than a dollar, but you can electronically spend a bit of your share and buy a hamburger. Your remaining Bitcoin fraction can continue to appreciate even when pieces of it are spent. 

While the concept of Bitcoin may be hard to comprehend for those without a fundamental understanding of cryptography currency, bonds and banking, there are a few points that prove Bitcoin has the edge over banks.

Bitcoin is a Peer-to-Peer Network

The beauty of a peer-to-peer federated system (such as the one Bitcoin uses) is that it cannot be shut down because it does not rely on a hub.  Think Napster vs BitTorrent.  You can shut one down and not the other.

Bitcoin is an OpenSource project consisting of charitable contributions from developers who receive acknowledgement, peptides for their receptors and the knowledge that their valuable skills are contributing to something meaningful in addressing human need. In fact, Bitcoins add economic incentives to the equation making it even more compelling to create the building blocks of a new era in business.  Unlike banks, Bitcoin exists as a network that rewards users who contribute to the network by managing the Blockchain, by adding the newest Bitcoin “Block” to the distributed ledger and for providing the physical servers composing the network that processes the transactions of a global digital economy.

Bitcoin is not Subject to FIAT Manipulation  

All national currencies in circulation, issued, and managed by respective central banks are FIAT currencies.  Collectively, the banks have manipulated FIAT currencies by creating and printing additional money to create cycles of opportunity, which has led to debilitating consequences and even war. The network rules for Bitcoin are that a maximum of 21 million Bitcoins will be created.

The very fact that Bitcoin was designed to have a maximum number of bitcoins is part of the scheme that protects the Bitcoin currency from  the kind of manipulation that other FIAT currencies have experienced. The banks and especially our central bank are continuously  counterfeiting our currency and lending 10 to 300 times the actual reserves they have.  Even the reserves are nothing but government debt.

Bitcoin has Minimal Fees  

Of the world’s population, nearly 5 billion of the 7 plus billion people have no access to a competent banking system. They pay exorbitant fees (upwards of 10 to 40 percent) for simple transactions and Bitcoin holds the promise of doing the same for a micropayment sized fee.

Nearly 6 of the 7 billion people across the globe have access to mobile technology and live in countries where the local currencies are not investment grade or trustworthy. This underbanked population has every reason to feel that it would be better served by a trustworthy electronic cryptocurrency like Bitcoin. By eliminating banks as an intermediary from the consumer end of the equation it will take out the commissions and fees we are currently subjected to.

Bitcoin Has Fraud Protection 

Bitcoins manifest themselves only in digital form, as a pair of private and public keys, existing entirely as zeros and ones. To make generation of Bitcoins difficult, the Hashcash cost-function is used which allows Bitcoin blocks to be verified only by assembling the public and private key. The complexity of the design also carries with it foolproof features that prevent any duplicity in bitcoins and provide infallible protection to the integrity of the transaction between participants.

For example, unlike credit cards a Bitcoin transaction can not be fraudulent and needs no security provisions. All the fraud detection and call centers that support traditional banking and credit card processing are eliminated with Bitcoins and merchants (as well as consumers) will have exponentially less costs involved in all transactions.  Also, It would be impossible to end up with the 130 million compromised credit cards that Target and its’ customers experienced.

 

Andrew Flip Filipowski Silk Road HeadshotSilkRoad Equity Chairman, Andrew “Flip” Filipowski, is one of the world’s most successful high-tech entrepreneurs, philanthropists, and industry visionaries.  The former COO of Cullinet, the largest software company of the 1980′s, was also the founder and CEO of PLATINUM technology, inc. Flip grew PLATINUM into the 8th largest software company in the world at the time of its sale to Computer Associates for $4 billion dollars, the largest such transaction for a software company at the time. Upside Magazine named him one of the Top 100 Most Influential People in Information Technology. A recipient of Entrepreneur of the Year Awards from Ernst & Young and Merrill Lynch, Flip has also been awarded the Young President’s Organization Legacy Award and the Anti-Defamation League’s Torch of Liberty award for his work fighting hate on the Internet.  And proud to admit that he has a screwed up a business or two, royally.

More Profits, More Problems

As an industry, we just made more money than ever before. But it would be wise to see the good news in context.

Late in January, the Federal Deposit Insurance Corp announced that profits at commercial banks and savings institutions collectively reported aggregate net income of $40.3 billion in the fourth quarter of 2013—a record by any measure.  The $5.8 billion recorded marks 16.9 percent spike over the same quarter last year. This is the 17th time in 18 quarters that there have been increased profits. That’s a steady drumbeat of positive numbers since the third quarter of 2009, barely a year a year after the dark days of bank bailouts dominated the headlines. For 2013 overall, the industry took in $155 billion, a 10% jump over 2012 and a lot higher than the $148 billion of 2006, the previous record.

Man Looking at CalendarAnd there’s more. The FDIC insures 6,812 institutions, and more than half of them, 53% had year-over-year growth for the quarter. On the flip side, the 12.2% booking losses is better than the 15% that had a losing quarter in 2012. In fact, the number of banks on the ‘problem list’ was down to 467 at year-end 2013, the lowest number since the financial crisis. In fact, it was 888 in early 2011.

Of course, there is nuance in these numbers. The FDIC notes that a big part of the bottom-line boost can be attributed to an $8.1 billion decline in loan-loss provisions. More specifically, 20% of the profits came from putting away less money to cover future losses—more a sign of accounting maneuvers than good business. On a related note, there was significantly less mortgage activity and lower trading revenue, leading to a year-over-year decline in net operating revenue.

Looking at the big picture, here’s one major takeaway. While lending rose generally, primary mortgage loans fell by $51 billion for the year. That’s a bad sign for economic recovery, and it’s got the critics out: At its annual meeting in January, JPMorgan Chase executives got asked why, since its faring so much better, the company isn’t doing more to help borrowers. In the wake of the FDIC report, expect this question to come up a lot more often, particularly since the mortgage market is expected to fall even faster this year.

To get a (perhaps unfair) sense of the dichotomy, here’s a curious factoid: The FDIC is stepping up its legal efforts against institutions during the financial crisis half a decade ago. Cornerstone Research reports that the agency filed 40 director and officer lawsuits in 2013, the same year that had such stellar results. That’s a 54% jump over the 26 suits filed in 2012.

Much of the litigation revolves around the surge in bank failures in 2009 and 2010. In fact, of the 140 financial institutions that failed in 2009 alone, 64 have settled claims or been taken to court. How all these cases play out could provide an indication of the pressure the industry will face in the days ahead.

Of course, it might be safe to assume that while these banks failed in 2009 and 2010, some of their woes go back further, perhaps to the days when the mortgage market was exploding. Yet here we are again, facing criticism for not giving out enough mortgages.

The news of a boosted bottom line is a good thing, but it’s no more than a start. The financial services industry can never be insulated from the economy at large—it’s too large, too integral and too important. The fact that profits have risen so sharply means there will be more pressure to generate similar cheer for everyone else.

What We’re Reading: Branches, Mobile Going Mainstream, Banking Alerts

Below are interesting stories the Banking.com staff has been reading over the past week. What have you been reading? Let us know in the comments section below or Tweet @bankingdotcom.

  • Tech-Savvy Bankers Make the Case for Branches

American Banker

Bank branches may be falling out of favor, but even the most tech-savvy bankers aren’t prepared to renounce them entirely. Take Manolo Sanchez, the chief executive of BBVA Compass, whose bank is spending $117 million to buy the branch-less online startup Simple. You might expect him to declare brick-and-mortar bank locations passé — and yet his company just opened two new branches last week. That’s because customers still want to see branches — even if they don’t go in, and even if they do most of their banking on the computer, the tablet or the mobile phone. Just seeing a physical bank location actually increases a person’s interest in doing business with BBVA Compassonline, he says.

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  • Mobile is Now Mainstream: Report

Bank Systems & Technology 

Mobile banking features play an increasingly critical role in the consumer’s decision to switch primary banks, according to a survey from AlixPartners. Mobile now plays a crucial role in bank-switching decisions made by consumers, according to a new report from AlixPartners.  According to the “AlixPartners Mobile Financial Services Tracking Study,” 60 percent of smartphone or tablet owners who switched primary banks reported mobile banking capabilities as “important” or “extremely important” in their decision to switch, up from 48 percent in a similar survey in the first half of 2013.

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  • Apples and Payments

Celent Banking Blog

What is becoming apparent is that the update is not without its flaws, to say the least. My iPhone, for example, lost half its charge in under an hour, doing nothing. Whilst battery life has never been the iPhones strong point, this was taking the biscuit! Twitter and internet forums have seen significant amounts of discussion on the issues, and it seems to be impacting a large number of people. What was noticeable is that most of the fixes transformed the iPhone to, well, just a phone. Suggestions included turning off apps, turning off search, deleting various elements – in short, many of the reasons why we bought iPhones originally.

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  • Banks buying more time for Windows XP-powered ATMs

Dallas Business Journal

Earlier this year, we told you about the impending problems that many banks might face as Microsoft Corp. (Nasdaq: MSFT) ends its support for Windows XP on April 8. Roughly 95 percent of the nation’s ATMs operate on the aging system, and many banks now are having to buy extended support contracts with Microsoft as they try to convert the machines to a new operating system. JPMorgan Chase (NYSE: JPM) , for example, has bought a one-year extended life support for its Windows XP machines, CNN/Monday reported. In January, Chase told the DBJ earlier that it was working to upgrade its machines as part of normal operations.

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  • Amazon Tests the Loyalty of Its Prime Members With a 25% Price Hike

Javelin Strategy & Research Blog

After 9 years, Amazon has finally decided to increase the price of its Prime membership – and it’s not an insignificant amount. The cost of Amazon Prime will increase on April 17, 2014 by a hefty $20 (from $79 to $99), and the Prime membership will continue to include free two-day shipping, access to Prime Instant Video, and the Kindle Owner’s Lending Library. The Amazon Prime membership is undoubtedly one of the best online loyalty programs available today, and so this significant price change will likely be a true test of just how much consumers are willing to pay for the perks of free shipping and digital perks.

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  • Monitise launches Alerting+ for interactive m-banking

Mobile Payments Today

Mobile banking technology provider Monitise has launched Alerting+, an alerting solution which enables two-way interaction between financial institutions and their mobile banking customers.

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  • Mobile Banking: Critical Switching Trigger Today… Table Stakes Tomorrow

The Financial Brand

Mobile continues to play an increasing critical role in bank-switching decisions, with 60% of smartphone and tablet users citing mobile banking capabilities as “important” or “extremely important” in their decision to switch banks. According to the “Mobile Financial Services Tracking Study” from AlixPartners, 60% of smartphone or tablet owners who switched primary banks in the fourth quarter said that mobile banking capabilities were an “important” or “extremely important” component in their decision to switch. That’s up dramatically from 48% in a similar survey fielded in the first half of 2013.

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