Author Topic: MA - Mastercard  (Read 29015 times)

Liberty

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Re: MA - Mastercard
« Reply #40 on: September 09, 2016, 05:23:08 AM »
Mastercard sued for $19 billion in Britain's biggest damages claim

http://www.reuters.com/article/us-mastercard-lawsuit-britain-idUSKCN11E2S9
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oddballstocks

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Re: MA - Mastercard
« Reply #41 on: September 09, 2016, 05:51:15 AM »
http://www.wsj.com/articles/the-sinister-side-of-cash-1472137692

OT. I'm with libertarians on this: removing cash - even when people are talking about $100 note - is a stepping stone to police state. It is like war on drugs: removing just $100 won't work, so what's next? Removing $50 - already talked about in the same breath as removing $100. Then what? Removing $20? Banning cash?

We need NCA - National Cash Association. Government is coming for your cash. More important for freedom than your guns probably.  ::)

Needed cash to buy an RV from a private seller.  I called the bank, they went into a panic.  They need a WEEK lead time to get cash.  I didn't have a week, they swung it anyways.  I was told that the branch rarely has much more than $10k on hand.  This is the busiest branch in the network for a $5b+ bank.  I had to deal with the manager, he said the bank sees cash as needed by used vehicle/thing purchasers and by those trying to hide income from the IRS.  He said government barely acknowledges that anyone would need cash for legitimate reasons.
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TheAiGuy

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Re: MA - Mastercard
« Reply #42 on: September 09, 2016, 06:12:13 AM »
http://www.wsj.com/articles/the-sinister-side-of-cash-1472137692

OT. I'm with libertarians on this: removing cash - even when people are talking about $100 note - is a stepping stone to police state. It is like war on drugs: removing just $100 won't work, so what's next? Removing $50 - already talked about in the same breath as removing $100. Then what? Removing $20? Banning cash?

We need NCA - National Cash Association. Government is coming for your cash. More important for freedom than your guns probably.  ::)

Needed cash to buy an RV from a private seller.  I called the bank, they went into a panic.  They need a WEEK lead time to get cash.  I didn't have a week, they swung it anyways.  I was told that the branch rarely has much more than $10k on hand.  This is the busiest branch in the network for a $5b+ bank.  I had to deal with the manager, he said the bank sees cash as needed by used vehicle/thing purchasers and by those trying to hide income from the IRS.  He said government barely acknowledges that anyone would need cash for legitimate reasons.

I think you're overstating the overreaching government motive here. The point is that the use of a paper currency is less efficient than an electronic currency. There are far more steps, greater likelihood for loss, fewer economies of scale in managing the transactions, etc. The argument is that these factors will naturally drive most transactions to be electronic over time, even private sales of vehicles, and that the portion of large transactions that are illegal will grow overtime as legitimate transactions move electronic, giving regulators incentive to accelerate the transition to electronic payments.

Liberty

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Re: MA - Mastercard
« Reply #43 on: May 02, 2017, 08:35:23 AM »
MA Q1:

http://s2.q4cdn.com/242125233/files/doc_financials/2017/1Q17-MA-Earnings-Release.pdf

Quote
First-quarter net income of $1.1 billion, or $1.00 per diluted share
First-quarter adjusted net income of $1.1 billion, or $1.01 per adjusted diluted share First-quarter net revenue increase of 12%, to $2.7 billion
First-quarter adjusted gross dollar volume up 8% and purchase volume up 9%
VocaLink acquisition completed
DEPS up 16%
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LongTermView

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Liberty

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gary17

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Re: MA - Mastercard
« Reply #46 on: February 06, 2018, 09:55:52 AM »
Does anyone know if mobile payment apps like Wepay  and alipay and apple pay are direct competition of mastercard/visa?
Could mobile payment evolve to a point where it's just sending money /credit between buyer and seller and cut the credit card guys out completely?
TIA

TheAiGuy

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Re: MA - Mastercard
« Reply #47 on: February 06, 2018, 10:35:11 AM »
Does anyone know if mobile payment apps like Wepay  and alipay and apple pay are direct competition of mastercard/visa?
Could mobile payment evolve to a point where it's just sending money /credit between buyer and seller and cut the credit card guys out completely?
TIA

Generally speaking, payments exist in localities.  By that, I mean that there is a lot of variance in how payments are handed from place to place. Wepay/alipay don't really directly compete with visa/MA that much as off now (but they off course could in the future). This recent article about payments in Europe may be interesting to that regard https://t.co/CZs19LqlL4

Your second question is deeply speculative. Personally, I think it is unlikely that US consumers will start using Alipay or that Chinese consumers will start using Visa (domestically, in both cases).

rist.tom

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Re: MA - Mastercard
« Reply #48 on: February 06, 2018, 10:43:25 AM »
I was thinking the same thing....just watched a short WSJ video (https://www.youtube.com/watch?v=75AXINUL47g) this morning that showed how popular these apps are in China.  I bet the same is true for other high population developing areas like India, Indonesia, and parts of Africa.  They comprise around half (or more) of the world's population, so this would be a huge missed opportunity for V and MA. 

The only way I see this catching on the Western world is if merchants started offering small discounts for direct mobile payment (not something like Apple Pay where a credit card is still used).  If credit card fees average 3%, I could see a change in behavior if stores offered a 1 or 2% discount.  I live in Chicago, which implemented a 7 cent bag tax last year and it had a huge impact...bag use dropped by 45% in groceries. (source: https://www.dnainfo.com/chicago/20171020/lincoln-square/bag-tax-plastic-litter-grocery-shopping-revenue-paper).  Even though it doesn't affect most people's wealth, people like saving small amounts on purchases.


TheAiGuy

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Re: MA - Mastercard
« Reply #49 on: February 06, 2018, 10:47:43 AM »
(...) If credit card fees average 3%, I could see a change in behavior if stores offered a 1 or 2% discount.  (...)

This is a common misconception. The fee charged by V/MA is a small fraction of these fees, on the order of low double digit basis points. The lion's share of these fees are charged by your bank and the merchants bank.