Putin Delays Security Deposit Payments for Visa, MasterCard (Oct. 28, 1014)
Russian President Vladimir Putin last week signed a law giving Visa and MasterCard a five-month reprieve from paying a huge security deposit for operating in Russia, according to The Moscow Times. The deposit was equivalent of two days’ processing volume—or roughly $2.9 billion—as collateral to Russia’s central bank. Under a law approved last May, the two U.S. payments networks would have had to pay the security deposit by the end of this month if they didn’t transfer transaction processing to a domestic partner. The May law also laid the groundwork for the establishment of a national payment system that would take over processing of foreign systems’ transactions.
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