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Tracking the consumer evolution of financial services

Archive for the ‘SEPA’ Category

SEPA – more confusion

Paul Styles nicely sums up the state of confusion amongst banks that surrounds SEPA.

Uncertainty piled on uncertainty – the SEPA story

And then came Finextra’s report of 10 June 2010 which proclaimed “SEPA migration deadlines: dates floated but no decision”. Uncertainty continues to reign…

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Written by Colin Henderson

June 20, 2010 at 22:44

Posted in Payments, SEPA

Non Cash Growth as a barometer of Payment Innovation

CapGemini have come out with their World Payments Report – 2009 [pdf 60 pages]. Lots of statistics, but the one that leapt out at me is this.


Japan stands out as a growth leader, despite being a mature economy.   Certainly their growth potential is large given the traditional consumer cash economy, but I have to look at the North American lowly 5% and wonder that lack of innovation in payments is not a driver. Certainly there remains lots of cash transactions to convert to payments but nominal innovation in the works to migrate to electronic.  The report notes that cash in circulation continues to growth in the Eurozone.

There is an interesting section reviewing the payments innovation in Asia, and a chapter devoted to summarising the state of SEPA.



Written by Colin Henderson

September 10, 2009 at 09:06

Posted in Payments, SEPA, US

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Payments, Russia and Europe | Digital Money Forum

Diverse presentations in the first part of todays session at DigitalMoneyForum. The first two were on the unified payment initiative in Europe, SEPA. It is a complex initiative, that is designed to standardise three payments at first:

  • credit transfer (bank to bank deposits – doesn’t exist in North America)
  • direct debit
  • card payments

Lots of rules and regulations, but the message is that such standardisation cannot occur without regulation, but that it also requires co-operation and engagement of users (Banks) in order to make it happen practically.

It does seem quite bogged down, and I am still not clear when it will happen by, but one target which resonated is to achieve a maximum of 24 hours for any funds transfer within the eurozone.

The final presentation was something of a breath of fresh air, from WebMoney transfer from Russia.

WebMoney – On-line Payment Solution

Welcome to WebMoney Transfer — smart solution for internet payments.

First of while Russian based they have international customers.

  • 5.2m users
  • 6,257 cities
  • 57 countries

in Russia, Banks are not trusted and the rules and laws are always changing. So WebMoney Transfer has apparently achieved a level of trust, because they set their own rules, and no deviation is permitted.

It does appear the bulk of activity is in Russia and Ukraine. Transactions are immediate and non-repudiatable. They have a passport scheme for customer identification, although not sure how that works. Within Russia and Ukraine, they merchants and kiosks sell vouchers on the street, which isthe predominant method of funds transfer into the system, although I think it can be done online too.

The message is that there are online payments schemes that reflect their loal environments, and there are dramatic differences between, three zones of Russia, Europe, and North America.

Update:  Here is Aneace with more on the SEPA bits.

Written by Colin Henderson

April 24, 2008 at 05:11

Best intentions not always the best | SEPA

Dave highlights apparent flaws in the SEPA system.  When you get government involved in commercial systems, the results are not always what you want. 

– no internet availability
– unbelievably expensive …. I would suggest usury expensive!

Digital Money Forum: SEPA update

So, in summary, sending 50 euros to Amsterdam in the exciting new world of SEPA took two trips to the bank, cost £15 (ie, a transaction fee of 40%) and took three days. Next time, I’ll use PayPal.

Written by Colin Henderson

February 6, 2008 at 10:11

Posted in SEPA

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