FINANCIERE DES PAIEMENTS ELECTRONIQUES INNOVATION IN PAYMENTS - BARCELONA, APRIL 2015

Transcription

1 FINANCIERE DES PAIEMENTS ELECTRONIQUES INNOVATION IN PAYMENTS - BARCELONA, APRIL 2015 HUGUES LE BRET FOUNDER & CHAIRMAN

2 INTRODUCTION Financière des Paiements Electroniques (FPE) is a payment company Licensed by French Regulator ACPR. This license is easy to passport in every country of the European community. Compte Nickel is a current account service accessible to all. It allows everyone to have: An IBAN. An international Mastercard. Real-time information on Real-time SMS banking Client service by mail & phone Withdrawals and cash deposits at Newsagents ATM withdrawals worldwide Electronic transfers (SEPA), Card payments worldwide (Mastercard Network) No overdraft No credit facilities No saving offer. FPE is an independent company 24M capital, Management & employees : 43,5% 100 individual shareholders: 52% French trade association of tobacconists: 4,5%

3 LESS THAN 10 MINUTES TO GET AN ACTIVE ACCOUNT Few seconds 4 Minutes 2 Minutes THE CUSTOMER goes to an affiliated outlet with an ID document, a phone number and 20. He purchases a Compte- Nickel Box. THE CUSTOMER simply goes up to an interactive terminal and scans his personal ID card. Data is extracted and displayed on the screen to create a new customer file. The customer completes any requested information (such as telephone, , address, etc.) and electronically signs the general conditions of sale found on the same terminal. The customer file is all ready to go and 100% paperless. THE NEWS AGENT physically checks the customer s ID. He then activates the payment card on the electronic payment terminal and links it to the customer file. This automatically generates a printed ticket, giving the customer his account ID, his internet login. The MasterCard PIN is sent to the customer via text message. An initial deposit may be made to the account as soon as it is opened. Ten minutes after purchasing the Nickel Account box, everything is up and running in real time. A letter with a code is sent to his address.

4 A MULTICHANNEL SERVICE Four possible channels for current operations and information requests Authorized points of sale (opening/closing, deposit/withdrawal) Internet site (follow-up, statements, IBAN document, transfers settings, balance) Customer service desk open from 8:00 a.m. until 21:00 PM, 6 days a week Cash-flow monitoring via mobile phone Each transfer received/future direct debit is preceded by a mail Automated request processing The role of the Customer Service desk is essentially to educate and reassure new customers before directing them to the automated services that have been developed to reduce the operating costs of the accounts.

5 PARTNER COMPANIES IN THE PROCESSING CHAIN FPE decided to outsource to Sab, Monext and Arkea - experienced players in the banking sector - and to use their software packages and processing chains, adapted to its specific needs, to operate its payment service. SAB is one of the leading Software systems for banking and finance. The SAB solution features integrated functional coverage of the front and back office. SAB is tasked with installing its SaaS-based information system. This partnership will be based on a very low, fixed cost economic model with a decreasing variable cost. Monext is one of the leading payment service operators in Europe. They cover the entire value chain of card payment from acceptance to issuance and acquisition, even to management of lost and stolen cards. Monext secures all transactions in real time by using secure 3D systems (MasterCard SecureCode and Verified by VISA).This partnership will be based on an essentially variable cost economic model Arkea Crédit Mutuel (Bank) is a major player in France in the retail bank insurance, asset segregated accounts, regulation and operation. Arkea is the leading interbank for FPE : settlement accounts (Stet, Sepa, Mastercard) and Customers Asset segregated account. Mastercard is a technology company and payments industry leader. For more than four decades, we have been a driving force at the heart of commerce, making the global economy safer, more efficient, more inclusive and more transparent for all

6 AML & SECURITY ID VERIFIED THREE TIME IN REAL TIME - The fight against money laundering is made stronger thanks to initial authentication of customers ID cards electronically prior to account opening. - Tobacconists will be in charge of a second, physical verification of the ID before activating the account and would lose their license immediately in the event of a single case of fraud. - Compliance officers at FPE check the image of the ID card on their computers. ADRESS VERIFIED - A letter is immediately sent after IBAN generation. - Customer has to send back the printed code with his mobile phone FUNDS SECURED : - Customers funds are secured in real time in a segregation account at Crédit Mutuel Arkéa AML : - Cash deposits are limited to 250 per deposit and 750 per month or thirty-day rolling period, which is an additional way to prevent money laundering. - For electronic transfers, the compliance and behavioural warning systems used for Nickel accounts are identical to those used by banks. - Any suspicious or abnormal account transactions are reported to France s Financial Intelligence Unit Tracfin by the FPE Compliance Division. As at any bank, when such suspicions arise, the account will be closed.

7 LOW PRICES, TRANSPARENCY & SIMPLICITY Average cost for the customer: about 40 per year. For all operations : pricing is simple, clear, unique and competitive FREE Online account management Transfers, wires Setting up of direct debit Direct debit (accepted/refused) SMS notification for received transfers and upcoming direct debit (60 SMS a year) Payment by card in store, online, etc. CHARGED Card subscription for one year : 20 Withdrawal at a Newsagent : 0,50 ATM withdrawal : 1 Cash deposit : 2% Client service phone call : 0,15 Card change : 10 SMS over 60 per year : 0,10

8 # COMPTE NICKEL CUSTOMERS Today, by the end of 2015.

9 COMPTE NICKEL CUSTOMERS GLOBALLY, THEY JUST WANT TO SAVE MONEY AND CONTROL THEIR SPENDINGS I WANT TO GET A BETTER PRICE AND A REAL TIME CONTROL: 75% (LOW REVENUES) 41% of the French people go over their overdraft authorisation every quarter (21% every month) : They use to pay a lot of bank charges and incident costs: 2 to 10 times the average price of banking services ( 192 per year in France). They are looking for the right price to match the right services. Average price with Compte Nickel is lower than 50 a year. They want to be kept informed in real time of what s going on in their account and alerted before being debited. No (bad) surprises. I TAKE IT FOR A SPECIFIC USE: 25% (HIGH REVENUES) People who are looking for a simple, secure service for their payments via the internet (30% of our Card payments versus 10,5% average) Those who want peace of mind when travelling (no charges). Those who want an account for common expenditures (when several people rent a flat, when a couple has two accounts and want a new one for common expenditure, etc.) Elder, to make their withdrawals in a shop and not in the street for security issues. Etc.

10 NBI PER CLIENT: 40 NB OPERATIONS / YEAR 130,41 REVENUE PER CLIENT 20,51 5,44 25,74 5,99 5,16 Card payments 20% Annual Fee 27% Virement reçu Dépôt cash Paiements carte Retrait cash Virement émis Prélèvement / TIP AVERAGE AMOUNT 520,16 505,02 Cash deposits 18% Withdrawals 35% 124,39 35,31 90,11 77,42 Virement reçu Dépôt cash Paiements carte Retrait cash Virement émis Prélèvement / TIP