Beyond the Fee; Funding the Conversion to An E-Commerce Society.SAN DIEGO--(BUSINESS WIRE)--Sept. 8, 1999-- The Super ATM(TM), will help banks fund the conversion to the e-commerce, smart card-based society of the future, according to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. Robin Gustin, chief executive officer of Capital Security Systems Inc. (CSS (1) See Cascading Style Sheets. (2) (Content Scrambling System) The copy protection system applied to DVDs, which uses a 40-bit key to encrypt the movie. ). The Super ATM patents are the basis of a development platform called the ATM PowerBuilder, a toolkit that can be used to create a "One Stop Bank Shop" offering ATM users 17 different fee-based transactions. "The ATM PowerBuilder transaction payment platform is designed for our current banking networks," reported Gustin. "It will enable customers to cash bank notes, checks -- pay bills, wire funds and buy items like stamps -- all from one terminal." CSS's new platform merges three different banking segments -- (1) regular banking customers, (2) electronic benefit transfers (EBT EBT See: Earnings Before Taxes ) for government-entitled customers, and (3) fringe banking customers -- into the same market space via the ATM. By offering cash, checking, wire transfers and other options to all types of bank customers, the bank networks will increase fee revenues tremendously. Moreover, banks will retain entitlement An individual's right to receive a value or benefit provided by law. Commonly recognized entitlements are benefits, such as those provided by Social Security or Workers' Compensation. customers when they move off welfare into regular banking and fringe banking market segments. "This will greatly help offset the costs of converting to an e-commerce-based, smart card society and help implement Federal mandates for EBT by the year 2002," explained Gustin, "which clearly is the future goal of the banking network providers." The boon Boon A general term that refers to a benefit or improvement for investors. This can include such things as increased dividends, a stock market rally and stock buybacks. Notes: for banks and customers alike is that the ATM PowerBuilder platform will allow new customers to absorb "surcharging." Banked customers cannot fund 100 percent of the surcharge An overcharge or additional cost. A surcharge is an added liability imposed on something that is already due, such as a tax on tax. It also refers to the penalty a court can impose on a fiduciary for breaching a duty. costs of automated au·to·mate v. au·to·mat·ed, au·to·mat·ing, au·to·mates v.tr. 1. To convert to automatic operation: automate a factory. 2. banking by themselves. Conversion costs in the USA, because of its size, are prohibitively pro·hib·i·tive also pro·hib·i·to·ry adj. 1. Prohibiting; forbidding: took prohibitive measures. 2. high: experts estimate that smart card conversion alone will hit $30 billion dollars. Another advantage of the ATM PowerBuilder is that putting customers of different banking "types" on a "network" keeps banks in the direct payment loop. Currently, 58 percent of bank revenues come from float and non interest-bearing deposits, while 42 percent come from direct payments. Gustin maintains that if consumers directed funds transfers -- either wired funds or ATM bill payments -- without the banks getting their fee, "our banking systems inevitably would be in trouble several years down the road." Capital Security Systems is currently in the process of securing buyers for its Super ATM patents. |
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