Payments News

Bank of America ends joint venture with Fiserv's First Data

Jul 30, 2019

(Reuters) - Bank of America Corp (BAC.N) said on Monday it would end its electronic payment services joint venture with First Data Corp next June, hours after Fiserv Inc (FISV.O) completed its acquisition of the payment processor. 

The bank said it expects to incur a non-cash, pretax impairment charge of about $1.7 billion to $2.1 billion in the third quarter of 2019 due to the termination of the partnership started in 2009 .

The charge is expected to reduce the second-largest U.S. lender's common equity tier 1 ratio, a key measure of capital against risk-weighted assets, by 9 to 11 basis points.

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