"The program will be easy to implement for card issuers," said Elizabeth Buse, executive vice president of new market development and deployment. Visa is building the infrastructure for the program and will use its hefty marketing muscle to promote the program when it launches in the second quarter of next year. "This is Visa building a platform and a marketing message," Buse said. Visa, which has been working on the program for the past year, declined to discuss how much is being spent on the new rewards program.
The ACNielsen study found 73pc of credit-card holders would switch to cash if a fee were introduced for buying goods on their cards.
Police in Montreal said debit-card fraud is skyrocketing, accounting for $37-million in losses this year, compared with $4.5-million in credit-card fraud. They say debit-card fraud there has jumped 25 per cent in the past year. Canada's banks won't say how much they have lost to debit-card fraud, but they're eating the losses. Fraud victims have been compensated and the banks don't want the thefts to scare people off using their cards.
To make a mobile payment, cell phone users have to call a dedicated telephone number and key in their passport or ATM (automated teller machine) card numbers. They will then be prompted for a bank-issued personal identification number (PIN), and a confirmation SMS (Short Message Service) message will be sent to their handphones. To complete the purchase, consumers have to display the confirmation SMS message to the cashiers.
Best-selling phone manufacturer Nokia first introduced its wallet application in its 6510 model during the first quarter of this year. Since then, it has been a feature on seven of its latest models. Nokia has developed the wallet application according to open Electronic Commerce Modelling Language standards. That means that it can be installed and implemented by other phone manufacturers as well. The forthcoming announcement also involves Visa, whose credit-card accounts will be the first that customers can use with the system, and Nets, whose technology is the infrastructure on which it will all be based.
"It's a new Legislature, a new year and a new opportunity to bring financial privacy protection to Californians," said state Sen. Jackie Speier, D-Hillsborough, as she began her fourth attempt to pass privacy legislation. This time, Speier has a powerful ally -- Senate President Pro Tem John Burton, D-San Francisco -- who vowed to "do everything" to ensure the bill passes.
There's a sea change happening in the world of digital identity. Suddenly, crypto-geeks and impassioned aficionados of biometrics, software tokens, and smart cards are being pushed to the side. The suits have arrived! Digital identity is no longer about security; it's now a marketing conversation.
Encorus Technologies is a software company working in the wireless payments space, a family member of the First Data Corp., the world's largest supplier of transaction processing services. It is driving the development of an open, global, mobile payment standard, working with mobile network operators and their customers and merchant acquirers. The company is already working with the Vodafone Group, T-Mobile International and Sprint.