- The deal is expected to be complete by September 2011.
- The all-cash $465 million purchase price is more than six times CashEdge’s projected 2011 revenues of $75 million.
- Fiserv’s last large acquisition was CheckFree for $4.4 billion in 2007, which was 4.5 times its expected revenue. In comparison, Jack Henry & Associates’ $300 million purchase of iPay Technologies last year was 5.5 times iPay’s revenue.
- The expected consolidation of CashEdge’s Popmoney P2P transfer service (200 signed clients) and Fiserv’s ZashPay (700 signed clients) will create a stronger competitor to bank-owned clearXchange.
Author: Julie Muhn (@julieschicktanz)
Alumni News — Week of July 4, 2011


PayPal and Cortera Take Charge in May’s Web Traffic
Each month we survey the Web-traffic performance of our alums, using data from Web-analytics company Compete to review the sites they operate.
Out of 255 alumni, 62 (24%) had more than 10,000 unique U.S. visitors in May 2011 (see tables below). Of the 62 reviewed, 25 (40%) had fewer visitors than in the previous month and 28 (45%) saw a decline year-over-year.
Private Companies
The 44 private companies are as follows:
Notable successes:
- Cortera saw the highest number of unique U.S. visitors in May, with almost 2 million hits.
- HelloWallet experienced the greatest month-over-month growth, with more than four times as many visitors.
- Betterment saw its traffic increase an impressive 38 times from May of last year.
Private Finovate Alumni With More Than 10,000 Unique Visitors in May 2011
Source: Compete.com retrieved June 29, 2011
Public Companies
The 18 public companies are as follows:
Notable successes:
- PayPal experienced the highest number of U.S. visitors in May, with over 32 million visitors.
- TransUnion Interactive saw the highest month-over-month growth with more than two times the number of visitors in May than in April.
- Sybase 365 experienced the highest year-over-year growth, with its traffic up almost 80% from last year.
Public Finovate Alumni With More Than 10,000 Unique Visitors in May 2011
Source: Compete.com retrieved June 29, 2011
_____________________________________________________________________________
Notes:
1. We reviewed 255 unique sites. Data was unavailable or irrelevant for 201 sites because:
- They had been acquired.
- They were no longer available online.
- They were not covered by Compete for various reasons (including some that were not U.S. domestic companies).
- The number of unique visits was too small to be considered accurate.
- They were subdomains of larger websites.
2. Numbers have been rounded to three significant digits.
3. The charts include companies that did not have measurable traffic in May 2011, indicated by “N/A.”
4. Compete draws its information from the online activity of a panel of more than 2 million U.S. Internet users. It is only an estimate of traffic, and may undercount at-work usage.
Alumni News — Week of June 27, 2011


- Former Lending Club director Joseph Toms joined Prosper as its Chief Investment Officer. Link
- The San Francisco Times reported on Prosper’s growth. Link
More Than Just a Free Credit Score From Credit Karma
Web Traffic:

Alumni News– Week of June 20, 2011
HelloWallet is a PFM with Deep Philanthropic Roots
- Home features an overview of your accounts, a list of to-dos, and a feed of alerts.
- Plan focuses on the long-term view of wealth, goals, and budget through a cash-flow graph. It also provides personalized recommendations on how to increase savings.
- Budget displays account totals and income by day. It also shows budget totals by category.
- Transactions are listed and graphed. The graph shows money earned compared to money spent on a daily timeline.
- Profile facilitates personalized advice by asking about other personal situations, such as number of children and if you anticipate caring for elderly parents in the future.
- The Center for Economic Progress: Assists hard working, low-income families reach financial stability.
- The Community Builders: Builds homes and communities for low-wage families and individuals.
- Community Renewal International: Restores communities through personal relationships.
- EARN: Provides low-income working families with tools to help them achieve financial goals.
Alumni News — Week of June 13, 2011


CheckFree
eWise
alternative payment methods. Link
Alumni News — Week of June 6, 2011

What’s Inside eWise’s Secure Vault Payments?
SVP launched in late 2009 as a new player in alternative payment solutions. It allows you to pay for goods and services directly through your online bank account. There are close to 50 banks (and counting) participating in SVP’s service and with US Bank as a new partner in this service, the availability has increased dramatically.
- When checking out at a participating retailer, select the Secure Vault Payment option (see image) and choose your bank from the drop down list.
- SVP will redirect you to your bank where you log in using your existing username and password.
- Select the account (i.e., savings, checking) from which you would like the money to be drawn and confirm the payment. You will then be redirected to your receipt on the retailer’s page.
- No need to maintain an account with a third party:
Since SVP works with your existing bank (current clients are US Bank, First Citizens Bank, and many more*) there is no need to set up an account somewhere else. This also removes the headache of remembering an additional username and password. - Security you can trust:
Since the transaction takes place at your bank’s website and not a third party, it removes the middleman and improves perceived security. - Familiar user interface:
You already know how to navigate your bank’s website, so there’s no need to learn a different interface.
- Be a trusted advisor:
Being in the center of a transaction allows you to build rapport with clients. - Earn additional revenue:
Both the consumer’s and the merchant’s banks receive a fee for authenticating the user.
- During a purchase, SVP directs you to your bank’s website (see image on right).
- The bank controls the payment, stores the payment information, and handles dispute resolution.
Big Funding Week for Finovate Alumni
- eWise Pay By Account
- eWise Pay Anyone
- eWise Account Aggregation
- eWise Personal Financial Manager
- eWise eAuthentication
Alumni News — Week of May 30, 2011
- doxo explained how to use its online filing cabinet and “due date” alerts to help organize GroupOn, Living Social, and other daily deals. Link
- TheFinancialBrand.com discussed Oregon Federal Credit Union’s use of doxo and discussed other usage ideas such as uploading a scan of your passport prior to travelling. Link
Link