Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: THURSDAY, January 7, 1993 TAG: 9301070146
SECTION: BUSINESS PAGE: B-5 EDITION: METRO
SOURCE:
DATELINE: LENGTH: Medium
IN BUSINESS
Fed to extend ATM protection to poorWASHINGTON - The Federal Reserve Board proposed Wednesday to provide poor people receiving government benefits through automated teller machines the same protection against error and theft that regular bank customers get.
In a highly unusual move, the Fed rejected a staff proposal to limit protection for recipients of various federal and state aid programs such as food stamps, Aid to Families with Dependent Children and Supplemental Security Income.
Instead, it voted 7-0 to direct its staff to prepare a proposal for public comment that would extend so-called Regulation E protection to all users of ATMs and point-of-sale terminals. Regulation E limits to $50 the liability for unauthorized fund transfers if consumers report lost or stolen cards within two business days.
The Fed said there are 222 million payments totaling $57.5 billion annually under the food stamp, AFDC and SSI programs. Electronic delivery often is less costly than other systems, including checks. - Associated Press
Boston syndicate buys Virginia bonds
RICHMOND - The first issue of $100 million in state bonds for higher education, mental health and parks was sold Wednesday to a Boston-based syndicate, the state treasurer said.
The bonds, bought by First Boston Corp., will provide funds for capital projects, state Treasurer Eddie N. Moore Jr. said. Bonds totaling $613 million - $472.4 million for higher education, $95.4 million for state parks and $45.2 million for mental health facilities - were approved by Virginia voters on Nov. 3.
The sale represents a $13 million saving to taxpayers over the 20-year life of the bonds, Moore said. The state had expected to pay 6.8 percent interest for the bonds but received a 5.5 percent rate.
The bonds will provide $82.8 million for education, $5.3 million for mental health and $11.9 million for parks and recreational facilities.
- Associated Press
Port-expansion bonds to be offered
NORFOLK - The Virginia Port Authority will offer $20 million in bonds next week to pay for the expansion of Norfolk International Terminals.
The bonds will raise money for the second phase of a 15-year, four-part expansion plan that will add 300 acres and berth space for four to five ships to the container terminal.
The first phase, paid for by a bond issue in 1988, was the acquisition of 190 acres north of the existing terminal. The second phase involves acquisition of about 100 acres and the construction of one berth.
The interest rate on the second-phase bonds will not be decided until they are issued but will be no more than 6.5 percent, said Katherine D. O'Neal, deputy executive director for administration for the port authority.
- Associated Press
NationsBank to offer rebate credit cards
ATLANTA - NationsBank Corp. said Wednesday it will hook up with Start Inc., a consumer save-as-you-spend program, and will issue new credit cards for participants.
Start, a year-old service based in Herndon, Va., rebates portions of members' purchases into a savings account. It differs from similar rebate programs in that it works with cash as well as credit card purchases.
NationsBank, a Charlotte, N.C.-based regional bank, said it will offer the program first in Washington, D.C.; Columbia, S.C.; and Houston. It will be expanded later this year to the seven other states in which NationsBank operates.
NationsBank said it will issue Visa cards and Mastercards with Start. Consumers who make Start purchases with the 16.9 percent interest rate cards would get a 1 percent savings rebate on each purchase. The bank also will offer a card with a variable interest rate that provides a smaller rebate. - Associated Press