19 February 2018
visit www.nextgenbanking.co.uk/

Canada's Interac looks to go for-profit - report

08 September 2008  |  8118 views  |  0 credit card chip

Canada's national payments association Interac is in talks with the country's competition bureau over plans to become a for-profit organisation, according to local newspaper the Globe and Mail.

Interac was set up in the mid-1980s by a group of banks and Desjardins Group. In 1996, following concerns that it was abusing its power, the association inked a deal with regulators that stipulated it must be managed on a not-for-profit basis, only charging fees to cover costs.

However, the Globe and Mail says the association is now looking to restructure to fight off increased competition from credit card companies like Visa, which are entering the debit market in Canada.

Interac's CEO Mark O'Connell told the daily the group is talking to the the competition bureau to amend the consent order to help it compete with rivals.

A decision on a new structure has not been decided and all options are open, including the possibility of an initial public offering, he told the paper.

O'Connell says the group is worried it might be left behind by firms like Visa and MasterCard, especially with the growth of contactless and mobile payments. He also cited alternative payments options such as PayPal as a threat.

Interac seeks shift to for-profit status - Globe and Mail

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

MasterCard trials PayPass in Canada

MasterCard trials PayPass in Canada

28 May 2008  |  8797 views  |  0 comments
Visa jumps on market debut

Visa jumps on market debut

19 March 2008  |  6624 views  |  0 comments
Visa anticipates record-breaking $18.8 billion IPO

Visa anticipates record-breaking $18.8 billion IPO

25 February 2008  |  5071 views  |  0 comments
Chip and PIN trial kicks off in Canada

Chip and PIN trial kicks off in Canada

17 October 2007  |  7503 views  |  0 comments

Related company news

 

Related blogs

Create a blog about this story (membership required)
Visit http://info.nice.comVisit www.vasco.comvisit www.ebaday.com

Top topics

Most viewed Most shared
Saudi central bank provides sandbox for banks to try out Ripple techSaudi central bank provides sandbox for ba...
11511 views comments | 16 tweets | 12 linkedin
ABN Amro moves escrow accounts to the blockchainABN Amro moves escrow accounts to the bloc...
9069 views comments | 15 tweets | 13 linkedin
ECB launches staunch defence of cashECB launches staunch defence of cash
8928 views 10 comments | 22 tweets | 26 linkedin
Aussie real-time payments platform goes liveAussie real-time payments platform goes li...
8818 views comments | 15 tweets | 43 linkedin
Coinbase and Visa at loggerheads over erroneous charges on customer crypto accountsCoinbase and Visa at loggerheads over erro...
7461 views comments | 12 tweets | 10 linkedin

Featured job

Competitive base + commission + benefits
London, UK

Find your next job