In a world where most bank debit/credit card hybrids have failed to gain any traction, Fifth Third's Julie Joseforsky can take credit for one of the few successes: the Duo Card

Introduced in 2011, the Duo has recently accounted for about 25% of Fifth Third's new monthly credit card accounts, according to the bank.

Fifth Third checking account holders who use the card can choose at the point of sale between conducting a debit or credit transaction. That works to the Cincinnati banking company's financial advantage because the millions of retailers that don't provide PIN keypads process all Duo sales as credit transactions, which are not subject to debit fee caps.

She says the most interesting thing happening in her segment of the payments industry is the evolution of mobile payments technology; the creation of mobile wallets by multiple industries; and the emergence of nonbank competitors such as Walmart, PayPal and Square.

Joseforsky, who is also co-chair of Fifth Third's Greater Cincinnati Women's Network, says a big challenge facing the industry right now is "the threat of merchant surcharging at point of sale," a concession Visa and MasterCard made in settling litigation over swipe fees.

She also expressed concern about regulatory overtones regarding interchange caps and the ability to pay guidelines; the emergence of nonbank competitors and their potential to disintermediate traditional bank revenue; and fraud trends in the absence of EMV chip-based payment cards in the United States.

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