Today In Payments: Visa Transaction Volumes Take Coronavirus Hit; Kabbage Furloughs Workers

Today in Payments

In today’s top payments news, Visa said transaction volumes have severely decreased due to social distancing coronavirus protocols, and small business lender Kabbage will furlough a significant number of its U.S. staff. Also, BNY Mellon names Thomas Gibbons CEO.

Visa Transaction Volumes Take Coronavirus Hit

Visa said it has been adversely affected by the limitations placed on people to avoid spreading the coronavirus, and its transaction volumes have severely decreased. The company said it would probably see mid-single-digit percentage growth in revenue in the second quarter.

Lender Kabbage Furloughs Workers, Warns Of SMB Cash Shortfall

Small business lender Kabbage said it would furlough a “significant number” of its 500-person U.S. staff and is closing operations in Bangalore, India.

BNY Mellon Names Thomas Gibbons CEO

Bank of New York Mellon named Thomas Gibbons CEO. Gibbons has acted as the bank’s interim CEO since September 2019 after Charles Scharf left to become the CEO of Wells Fargo.

Banks Look To Shoot Down Firms’ Revolver Drawdowns

Large U.S. banks have been “quietly discouraging” borrowers — among them larger, relatively safe borrowers — from gathering up cash by utilizing revolvers, variable lines of credit. Companies establish revolvers in order to tap into funding, as needed, to help blunt the impacts of revenue and cash flow volatility.

20 Payments Execs On COVID-19’s Ripple Effects — And Taming The Next Black Swan

Black swans — the rare, unexpected events that range from Lehman Brothers’ 2008 collapse to the current COVID-19 pandemic — are never exactly alike, but always bring disruption and chaos on a grand scale. We asked 20 payments executives for their takes on what firms can learn from past black swans, what must be done in the current environment and what we might see on the other side of it all.

Walking Omnichannel Banking’s Privacy Fine Line

Use and analysis of customer data has become key to enabling a personalized and omnichannel digital banking experience. But it’s easy to cross the line from helpful to overbearing — risking customer relationships. In this month’s Digital-First Banking Tracker, PYMNTS talks with John Tarnowski, executive vice president of Alberta-based ATB Financial, about how to balance the competing needs of targeted outreach and customer privacy across its customers’ preferred banking channels.

Kicking The ‘Virtual’ Tires To Spur Car Sales As COVID-19 Hits Automakers

As dealerships have been forced to close in an effort to help thwart the coronavirus pandemic, automakers are turning to online platforms to boost sales.