AMEX Also Drops CardSystems Citing Data Breach

American Express followed Visa’s lead and will end its relationshipwith CardSystems Solutions, the payment processor at the center what isbeing called the credit card industry’s biggest data breach. The New York Timesreports that the move by American Express may have been symbolic, asCardSystems processes only a fraction of their transactions. Thursday’stestimony in front of Congress may also have been a factor. Like Visa,American Express is giving its merchants until October to switch to anew processor. MasterCard, however, will be sticking with CardSystemsfor the moment, and is confident its problems can be fixed. CardSystemshas until the end of August to demonstrate compliance and more securedata storage methods. Read more.