In today’s top news, Venmo is adding transaction charges for goods and services, and U.S. credit card companies are looking to encourage consumers to borrow. And GlaxoSmithKline is planning to take its consumer health division in a spinoff listing.
Venmo Raises P2P Fees, To Charge Goods, Services Providers
Beginning in mid-July, Venmo will charge users who get payments identified as goods and services a 1.9 percent transaction fee plus 10 cents. The changes, which PYMNTS learned of in an email, doesn’t reflect how this will work for tips added on for services.
US Credit Card Issuers Up The Rewards Ante To Attract Cardholders
U.S. credit card companies are scrambling to get households to borrow more as families participate in the country’s economic rebound using money they saved during the pandemic, rather than the fresh borrowing that usually accompanies and drives economic upticks.
‘Rent A Bank’ Fades For Payday Lenders, FIs Step In On Short-Term Loans
Payday lending is drawing more scrutiny in the marbled halls of Congress, and the practice known as “rent a bank” is being banned by Congress. Banks and FinTechs are stepping in to address short-term funding needs for consumers, often aided by advanced technologies.
GlaxoSmithKline Plans Spinoff Of Consumer Healthcare Unit
Goldman Sachs and Citi are working with GlaxoSmithKline on a listing for a spinoff of its consumer unit, Bloomberg writes. The division, which is known for its production of things like Aquafresh toothpaste and Nicorette gum, could go public in mid-2022 on the London Stock Exchange.
The Creative Destruction Of Banking: Aspiration Or Ultimatum?
The economic principle of replacing existing business process and models with innovative and more efficient ones is nothing new. In banking, Karen Webster says it’s become a burning issue as their customers and the competition have accelerated the need to think that way: Moving banks from the invisible utility to a central player in how their customers will enable and experience banking and payments services as part of the connected economy.
NEW DATA: Promotions Boost Subscription Conversions 25 Pct
Consumers signed up for approximately 150 million new subscription services in just the last three months, but new subscriber growth has stalled. In the Subscription Commerce Conversion Index, PYMNTS’ survey of 2,025 consumers shows how promotions boost conversions by 25 percent.
Underbanked Consumers Primed To Move Beyond Basic DDAs
An estimated 25 million underbanked consumers are digitally connected, and unlike their unbanked peers with no connection to FIs at all, this substantial cohort is ripe for a change. The mobile device makes all the difference.
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