Virtual Could Supplant Plastic in Card World
The Green Sheet: Breaking News – While the recent Target Brands Inc. data breach was a clear reminder of the inherent risks associated with mag stripe technology, some industry observers feel that virtual solutions involving one-time-use credit card numbers could remedy the problem before Europay/MasterCard/Visa (EMV) chip-based cards take root among U.S. merchants. The major card brands mandated that EMV be implemented at the POS to enhance payment card security in the United States.
One-time credit card numbers were developed by Orbiscom Ltd. before it was acquired by MasterCard Worldwide in 2009. And although the technology hasn’t been widely embraced by consumers, an increasing number of card issuers and payment companies have begun to embrace controlled payment numbers to limit card fraud on multiple fronts.
One such example is the international fleet and corporate payment program provider CSI Enterprises Inc., which aligned with MasterCard to launch the CSI globalVCard mobile application based on technology developed within the past two years.
“We’re the only ones in the world that have this mobile payment application for the one-time use virtual card via your phone or your tablet,” said Heather Stone, CSI Global Executive Vice President. She added that further layers of protection include the ability to restrict virtual card use to specific merchant category codes or certain vendors, set expiration dates for transactions and establish spending limits, all in effort to thwart exploitation by fraudsters.
Read the full story published December 31, 2013