Global Payments Inc. (globalpaymentsinc.com) is one of the largest credit card processors in the payment processing industry and has been in business since the 1960s. It’s also one of the few merchant account providers to be publicly traded on the New York Stock Exchange (NYSE: GPN). In December 2015, the company announced its acquisition of Heartland Payment Systems, another very large credit card processor based in the U.S. Headquartered in Atlanta, Georgia, Global Payments supplies nearly every service a merchant would need, from setting up the merchant account to supplying the processing hardware. The CEO of Global Payments is Jeffrey S. Sloan, while the company’s president is David E. Mangum.
In March 2015, the Consumer Financial Protection Bureau (CFPB) filed a complaint against Global Payments, Electronic Merchant Services, Frontline Processing, and Pathfinder Payment Solutions in connection with a “phantom debt” scheme that allegedly attempted to collect nonexistent debts from consumers. The CFPB’s complaint alleges that these four payment processors facilitated transactions for multiple debt collection companies owned by Marcus Brown and Mohan Bagga. According to the complaint, these debt collection companies used robocalls to target millions of consumers, who they then threatened in order to obtain debt payments that were not actually owed or that didn’t even exist. The CFPB further alleges that Global Payments “ignored numerous red flags of the debt collectors’ illegal conduct, including consumer disputes that described the scheme and communication problems with the debt collectors.” The outcome of the CFPB’s complaint is currently pending.