Nov 2010 Financial News

FirstCaribbean launches Visa debit card

Nov 17, 2010

Debit cards have become a common feature of commerce in Jamaica, but now FirstCaribbean International Bank (FCIB) has moved ahead of the pack, launching, with noted global credit-card provider, Visa Inc, what appears to the first of its kind here - a dual currency Visa debit card that can be used in Jamaica and overseas.

Chief marketing officer at FCIB, Peter Steenveld, said the First-Caribbean Visa Debit Platinum and Classic cards will permit payment for goods and services anywhere in the world, drawing on funds in FCIB chequing or savings accounts.

"The cards have universal acceptance at over 22 million merchants and 700,000 ATM locations worldwide and on the Internet, wherever Visa or PLUS logos are displayed," he said.

The card became available in Jamaica in mid-October.

Neither Visa nor FirstCaribbean disclosed the fee-sharing arrangement.

No point-of-sale fee

Steenveld said, however, that the card carries no point-of-sale transaction fee. There are also no fees attached when customers use the card to do transactions at FirstCaribbean automated banking machines.

Steenveld did not say if there was a membership fee, nor did he say what periodic maintenance charges might be attached to ownership and use of the card. He also would not comment on the expected take up of the Visa debit card.

But Steenveld did say the card should add positively to the bottom-line of FCIB, noting that finding new avenues to diversify products and cater to the needs of customers tends to improve income.

Cardholders are promised Visa benefits of travel, accident insurance, emergency medical insurance, auto-rental insurance on platinum cards, emergency cash and emergency-card replacement.

For Visa Inc, the card is expected to further drive increased business in the Caribbean. Already, total debit-payment volumes are said to have risen in the June quarter by 19 per cent in Mexico, 32 per cent in Brazil and 24.1 per cent in all other Latin America and Caribbean countries.

At end of summer, Visa Inc reported a 21.6 per cent growth in total payments volume US$62 billion, for the three-month period closing on June 30.

The reported growth was said by Visa Inc to be boosted by movement among regional consumers from cash to electronic payments, with debit products recording the highest percentage increase, the card company said in a release at the close of summer.

Visa is a global-payments technology company with digital currency services in 200 countries and territories.

FCIB, a member of the CIBC group, is a regionally-listed bank operating through 66 branches in 17 markets in the English and Dutch-speaking Caribbean.

"We have been pioneers in the region with the successful introduction of mobile banking across geographies and are again leading the way with the introduction of the Visa debit card to maintain our competitive edge," Steenveld said.


Source:
austanny@yahoo.com
Jamaica Gleaner
Wednesday November 17, 2010

http://jamaica-gleaner.com/gleaner/20101117/business/business5.html