Monday, December 6, 2010

How Dodd-Frank Helps Acculynk and their Internet PIN Debit Platform

From Digital Transactions:  

Why an Online PIN-Debit Provider Expects a Lift from Dodd-Frank
Note:  "Online Debit" and "PIN Debit" are one and the "Online PIN Debit"  referred to in this article specifically refers to "Internet PIN Debit" (iPINdebit) or "eCommerce PIN Debit" (ePINDebit).   

Most of the chatter about who will win or lose when the Federal Reserve Board releases its debit card interchange regulations and related rules mandated by the Dodd-Frank financial-reform law centers on card issuers, payment networks, and merchants. But technology vendors are likely to be affected too. One company that expects to win once the regulations take effect next year is Acculynk Inc., the provider of the PaySecure product for Internet PIN-based debit card transactions. PaySecure features a floating online PIN pad that enables a debit cardholder to enter her PIN for authentication when buying online.
“We’re going to get a very nice lift after that,” Ashish Bahl, Acculynk’s chairman and chief executive, tells Digital Transactions News.
The reason Atlanta-based Acculynk expects a lift is that debit card issuers are shopping for new, unaffiliated network alignments. Though the Fed has yet to release its draft regulations, debit executives widely expect the rules to reflect Dodd-Frank’s ban on debit cards carrying the marks only of affiliated networks, for example, Visa Inc.’s brand for signature debit and the Visa-owned Interlink network for point-of-sale PIN debit, or MasterCard for signature debit and MasterCard Inc.’s Maestro network for PIN debit. The majority of the nation’s top debit card issuers have such exclusive arrangements, most with Visa.
Now, even before the rules are out, debit card issuers are shopping for new EFT network partners unaffiliated with their signature-debit network, industry executives say. Acculynk is poised to benefit because it has deals with eight such networks in addition to MasterCard to distribute PaySecure: Fiserv Inc.’s Accel/Exchange, Alaska Option, Credit Union 24, Fifth Third Bancorp’s Jeanie, NetWorks, Fidelity National Information Services (FIS) Inc.’s NYCE, Discover Financial Services’ Pulse, and Shazam. Five are live: Accel/Exchange, Credit Union 24, NYCE, Pulse and NetWorks. As networks recruit new POS debit issuers, Acculynk is poised to rise with the tide. “We’ve had people that have never called us calling,” says Bahl. “It’s a nice position to be in.”
The live networks represent 6,000 bank and credit-union card issuers. On the merchant-acquiring side, U.S. Bancorp’s Elavon subsidiary and independent sales organization Merchant e-Solutions are offering PaySecure to their merchants. Bahl expects JetPay LLC, another ISO, to go live later this month, followed in March by First Data Corp. and in June by JPMorgan Chase & Co.’s Chase Paymentech. Bahl also says FIS’s ClearCommerce unit plans to offer PaySecure as does another large acquirer he can’t yet disclose.
Mike Kelly, general manager of Accel/Exchange, Acculynk’s first partner, says a bit over half of his network’s 2,700 issuers are enabled for PaySecure. “We like our progress so far,” he says. About 3,500 online merchant locations offer the service, he says. Regarding transactions, Kelly says, “it’s not a tremendous amount of volume” so far, but he expects them to pick up as Acculynk recruits more acquirers. “Once you get the big merchant acquirers on board, then you get some traction,” he says.
Bahl wouldn’t disclose transaction volumes, but says they have “skyrocketed” since January when only Accel/Exchange and some of Pulse’s issuers were live.
Coming enhancements to PaySecure include mobile-commerce applications in March for Apple Inc.’s iPhone and mobile devices running on Google Inc.’s Android operating system, according to Bahl. Those will be followed by a version for BlackBerry smart phones from Research in Motion Ltd. Acculynk also plans to enable its PIN-pad so that consumers can opt in to banks’ debit card overdraft services.

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FIS Announces New Prepaid Electronic Financial Account Offering

http://www.fisglobal.comJACKSONVILLE, Fla.--(BUSINESS WIRE)--FIS™ (NYSE:FIS), one of the world’s largest providers of banking and payments technology, today announced a new low-cost, prepaid electronic financial account solution that enables consumers to make electronic deposits and payments as an alternative to a traditional demand deposit account (DDA) or general-purpose reloadable (GPR) prepaid card.
“This new electronic account offering solves two major problems confronting financial institutions: maintaining account profitability and how to cost effectively introduce new products that address the needs of the unbanked and underbanked consumer segments”
FIS’ prepaid electronic financial account offering is funded in advance by deposits and value-loading transactions and provides simplified financial services to a variety of consumer segments, including the unbanked and underbanked – collectively defined as the underserved. Because it is not tied to a checking account, this FDIC-insurable account can be offered by both financial institutions and non-financial organizations, such as leading retailers. Unlike a traditional DDA account or GPR prepaid card, the electronic account exclusively supports all forms of electronic payments and eliminates costly paper documents such as monthly statements and account opening documentation.
The prepaid electronic financial account can be accessed via the most common self-service channels including online, point-of-sale (POS), ATM, interactive voice response (IVR), call center and mobile. Account holders can conduct payments using widely accepted payment networks (including NYCE® Payments Network, Visa® and MasterCard®), initiate payments to billers and electronically transfer funds between accounts. Because of its simple and flexible fee structure, the account is cost-effective to own, operate and distribute, making it an ideal financial services product for the underserved segment. The electronic financial account represents leading-edge banking and payments technologies including a comprehensive payment transaction and customer information repository, enabling entirely new levels of customer service.
“Both underserved and traditional banking consumers are demanding the combination of easy, electronic access to banking services and comprehensive electronic payments capabilities – with a straightforward set of fees and costs – to effectively manage their money,” said Frank D’Angelo, executive vice president, FIS Payment Solutions Group. “Electronic financial accounts represent a compelling new opportunity for both financial institutions and other consumer-facing organizations to respond to market drivers such as regulation and effectively serve those consumer needs.”
With the high overhead and recent regulations impacting the revenues associated with traditional checking accounts, many financial institutions are re-evaluating risk and reward models and looking for lower cost, alternative offerings for marginal and high-risk customer segments. In addition, non-financial organizations are looking to target these consumer segments by developing alternative financial service offerings without building banking platforms or managing unfamiliar regulatory requirements.
“This new electronic account offering solves two major problems confronting financial institutions: maintaining account profitability and how to cost effectively introduce new products that address the needs of the unbanked and underbanked consumer segments,” said Tim Sloane, director, Mercator Advisory Group Prepaid practice, a market research and advisory firm.
“FIS is well-positioned to deliver this innovative new account offering by leveraging its best-of-breed electronic payments and real-time banking capabilities from our banking and payment solution portfolios,” said D’Angelo. “The introduction of this account type underscores FIS’ leadership position as a provider of innovative, market-driven solutions and a pioneer of the next generation of payments.”
FIS (NYSE: FIS) is one of the world’s largest global providers dedicated to banking and payments technologies. With a long history deeply rooted in the financial services sector, FIS serves more than 14,000 institutions in over 100 countries. Headquartered in Jacksonville, Fla., FIS employs more than 30,000 people worldwide and holds leadership positions in payment processing and banking solutions, providing software, services and outsourcing of the technology that drives financial institutions. FIS is a member of Standard & Poor’s 500® Index and consistently holds a leading ranking in the annual FinTech 100 list. For more information about FIS, visit

Voice Commerce Launches KYC Secure®

First federated voice biometric database developed to secure and authenticate e-money and identity transactions  

CARTES & IDentification 2010
LONDON--(BUSINESS WIRE)--In conjunction with Cartes & Identification 2010, Voice Commerce, the innovative financial services group, announces the launch of KYC Secure®, a federated database developed to secure and authenticate a consumer’s identity over their mobile phone. The first regulated mobile identity database of its kind, KYC Secure® has been designed to support a global standard for e-money and mobile payment account opening procedures. It provides any company or financial institution with the means to verify a customer’s identity based on their unique biometric Voice Signature™ in order to significantly reduce exposure to online, credit and identity fraud.
KYC Secure® brings together Voice Commerce’s regulated VoicePay® and Cashflows® payment systems and ensures Voice Signatures™ are verified before being stored in the secure VoiceTransact™ database. A number of organisations are already supporting this federated initiative including Experian which is already providing Voice Commerce with its credit information services and 192business who provide online identity verification solutions to Voice Commerce to verify the identities behind the Voice Signatures™.

Organisations are increasingly required to verify an individual’s identity, whether in situations where there is an existing customer relationship or where a new relationship is being established. At the same time, consumers are increasingly aware of the threats posed to their identities and want to ensure that their financial information is secure. KYC Secure® takes all these needs into account, providing consumer protection in the emerging mobile and e-money transactions area by embedding robust security from the onset and guaranteeing transactions are undertaken only with consumers consent. It also enables organisations to easily verify customers’ and potential customers’ identities through their mobile phone.
In practice KYC Secure® allows an organisation requesting an identity check from a potential customer to simply ask for the individual’s mobile phone number which they enter into the KYC Secure website. The customer who, previously registered to use the service, receives a mobile phone call, where they are asked to identify themselves using their unique biometric Voice Signature™. If the applicant is confirmed using the two factor authentication they are required to pass a four digit number provided to them back to the organisation. This is then entered into the KYC Secure® system by the organisation and serves to triangulate and time stamp that person at a specific location. Additional authenticated information can also be requested before confirmation of the individual’s identity is achieved.
Nick Ogden, CEO of Voice Commerce Group, commented: “The development of security and authentication services over the internet has seen a slow evolution and today many people are still exposed to card fraud and identity theft. To try and prevent the same issues from occurring for mobile and potential e-money users, where some five billion consumers are already looking to tap into the m-commerce market place, we needed to think outside the box and create a whole new system of identity verification and authentication. Having been the first to guarantee internet transactions against fraud we realised the need for security and authenticity in the mobile world was a significant barrier to growth.
“KYC Secure® offers a highly anticipated, guaranteed and secure environment where organisations can collaborate to encourage consumers to use a federated account system that they alone control. Just as the Voice Transact database becomes richer for organisations to use so to do the services available for consumers to instantly sign up to, enabling all parties to benefit from the massive opportunities provided by mobile commerce.”
About Voice Commerce Group
Companies within the Voice Commerce Group are authorised by the UK Financial Services Authority under the Payment Services Regulations and provide a range of payment, e-commerce and mobile money services.
Voice Commerce is a Principal Member of VISA and MasterCard and has contractual service relationships with American Express and other payment schemes where it operates as a principal.


Hotwire for Voice Commerce Group
Cat Lenheim/Zoe Gray
+44 (0)207 608 4699 / 4641

INSIDE Contactless Changes Name to INSIDE Secure

New Name Highlights Focus on Secure Semiconductor Platforms
CARTES & IDentification 2010
PARIS--(BUSINESS WIRE)--INSIDE Contactless today announced it has changed its name to INSIDE Secure to reflect the company’s newly enhanced product portfolio and market focus after the acquisition of Atmel Corporation’s (Nasdaq: ATML) Secure Microcontroller Solutions business. The new name represents INSIDE’s mission to be the leading provider of semiconductors for secure transactions and digital identity, and its position as the only company 100 percent focused on secure semiconductors.
“INSIDE Secure is very well positioned to sustain future growth by combining contactless and security expertise, products and innovation to drive trust into the next wave of smart card, mobile and Internet device applications, services and infrastructure.”
“Through the strategic acquisition of Atmel SMS, we are building on our contactless leadership to create a unique fabless semiconductor leader aimed at driving trust for the secure transaction and digital identity markets,” said Rémy de Tonnac, chief executive officer for INSIDE Secure. “INSIDE Secure is very well positioned to sustain future growth by combining contactless and security expertise, products and innovation to drive trust into the next wave of smart card, mobile and Internet device applications, services and infrastructure.”
The next generation of electronic transactions via the Internet, mobile devices and other channels will require increased security. INSIDE Secure’s broad portfolio of secure semiconductors inject trust into mobile phones, passports and ID cards, payment cards, acceptance devices, set top boxes, transit fare collection systems, physical access control systems and other embedded security applications.
With a global presence, INSIDE’s deep understanding of vertical markets and ecosystem relationships, and its fabless model, enable the company to anticipate market needs and adapt quickly to customer requirements.
INSIDE already has achieved leadership positions in several large, high-growth sectors, such as global payments (including EMV dual interface), electronic identification, embedded security, pay TV and mobile NFC markets. With more than 350 million chips delivered to customers each year, INSIDE Secure is the number one global provider of contactless chips for payments, and is the near field communication (NFC) technology and market leader. INSIDE is now uniquely positioned for the anticipated explosive growth in its markets.
About INSIDE Secure
INSIDE’s secure semiconductor products power smart cards, mobile devices, acceptance devices and infrastructure systems. The company’s expertise in microcontroller architectures, security, RF/analog design and vertical market requirements places INSIDE Secure in the forefront of secure contactless, contact, embedded and NFC technologies. INSIDE's innovation, collaboration with customers and commitment to open standards have earned it a leadership position in markets worldwide. INSIDE Secure is headquartered in Aix-en-Provence, France, with offices in Europe, Asia and Silicon Valley. For more information, please visit

Sino Payments and E-vest Inc Team up for Merchants

E-vest and Sino Payments to offer payment services to international merchants
HONG KONG--(BUSINESS WIRE)--Sino Payments, Inc. ( (OTCBB: SNPY) announced that it has agreed to cooperate with E-vest Inc in the US to identify and service US and International ecommerce merchants.
“E-vest and Sino Payments will continue to cooperate to identify and service ecommerce merchants as we build out and continue to provide additional services. As E-vest is based in the US but has many international merchant opportunities, we feel this is a good fit for both companies.”
Sino Payments’ President and CEO Matthew Mecke stated, " E-vest and Sino Payments will continue to cooperate to identify and service ecommerce merchants as we build out and continue to provide additional services. As E-vest is based in the US but has many international merchant opportunities, we feel this is a good fit for both companies.”
Scott Willett, E-vest Inc. President added “as E-Vest, Inc. moves into additional International territories and pursues larger and more diversified merchant types, we are looking forward to having the experience and expertise of Sino Payments, Inc. With our strengths, together we will be able to assist merchants in finding more productive and low-cost solutions in an market that is becoming more regulated and under served to the levels of merchant's standards."
About Sino Payments, Inc. (
Sino Payments is a US public company with offices in Hong Kong. In addition to providing stand alone worldwide ecommerce processing capability, Sino Payments' proprietary IP transaction processing system (SinoPay GPP) is designed to convert transaction processing systems from old type dial up point of sale systems linked to sophisticated check out terminals to a modern seamless IP transaction process, reducing credit and debit card transaction processing times by half at checkout. Sino Payments focuses on providing IP credit and debit card processing services to large retail chains, including supermarket chains and large regional multinational retailers, in China and throughout Asia.
About E-Vest, Inc.
E-Vest, Inc. is a privately held, U.S.-based company with nine years of experience working with merchant and helping them to evolve as technology and customer demands change in merchant processing. Recently, more focus has been placed in assisting International and high-risk merchant types as opportunities have begun to flourish in these arenas. We pride ourselves on establishing long-term relationships and exceeding the needs of our customers.


Sino Payments, Inc.
Matthew Mecke, 1-877-205-6270 x801
Chairman & CEO

Hypercom SmartPayments Wynid Achieves PCI DSS Security Approval

Image representing Hypercom as depicted in Cru...Image via CrunchBase

Integrated Server-Based Solution Consolidates, Streamlines and Protects Payments from Multiple Points of Sale

CARTES & IDentification 2010
PARIS--(BUSINESS WIRE)--CARTES & IDentification 2010--High security electronic payment and digital transaction solutions provider Hypercom Corporation (NYSE: HYC) today announced that its high security SmartPayments Wynid hosted payment platform has achieved PCI DSS certification.
“We deliver the most effective security solutions through continuous innovation and a singular focus on our customers. Achieving certification on this stringent security standard further protects retailers and cardholders and fortifies our position in the marketplace”
“We deliver the most effective security solutions through continuous innovation and a singular focus on our customers. Achieving certification on this stringent security standard further protects retailers and cardholders and fortifies our position in the marketplace,” said T.K. Cheung, Vice President Global Quality and Security, Hypercom Corporation. “SmartPayments Wynid is our premier integrated payment solution, a hosted platform that can be widely used by retailers to help safeguard the integrity of their transactions.”
With Hypercom’s SmartPayments Wynid solution, cardholders are ensured a secure and seamless payment transaction, using magnetic stripe, chip or contactless cards. Retailers benefit from the ease and efficiency of the centralized transaction routing system, which enables them to proactively manage card payments from all their points of sale across a network of many different stores. The SmartPayments Wynid hosted solution provides highly reliable, secure network access and unmatched speed for all transaction types.
Hypercom is a leading provider of integrated payment systems to the retail, petroleum, ticketing and parking sectors, with more than 120,000 points of sale using its SmartPayments Wynid solution.
For additional information, please click here.
About Hypercom
Global payment technology leader Hypercom Corporation delivers a full suite of high security, end-to-end electronic payment products, software solutions and services. The Company's solutions address the high security electronic transaction needs of banks and other financial institutions, processors, large scale retailers, smaller merchants, quick service restaurants, and users in the transportation, petroleum, healthcare, prepaid, self-service and many other markets. Hypercom solutions enable businesses in more than 100 countries to securely expand their revenues and profits. Hypercom is a founding member of the Secure POS Vendor Alliance (SPVA) and is the second largest provider of electronic payment solutions and services in Western Europe and third largest provider globally.
Hypercom and Wynid are registered trademarks of Hypercom Corporation. All other products or services mentioned in this document are trademarks, service marks, registered trademarks or registered service marks of their respective owners.
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