mFoundry Strengthens Strategic Relationship with FIS

Image via CrunchBase

FIS Expands Relationship, Increases Stake in Mobile Financial Services Leader

SAN FRANCISCO, Jan. 30, 2012 /PRNewswire/ -- mFoundry, the fastest-growing provider of mobile banking and payments solutions, today announced that it has strengthened its strategic relationship with FIS™, the world's largest provider of banking and payments technology.

With a recent investment, FIS increased its ownership holdings in mFoundry. The two companies have been working together on mobile banking solutions for the past several years, serving more than 200 financial institution clients. The enhanced relationship will continue to combine FIS' strong position in financial services technology with mFoundry's award-winning mobile banking products.

"For the past few years, we have worked very closely with FIS to create the best mobile banking experience in the industry," commented mFoundry CEO and Co-Founder Drew Sievers. "We continue to invest heavily in enhancing our mobile banking product, but also are very excited to help FIS support its customers with a robust mobile experience."

Recently, Javelin Strategy & Research announced that FIS received top scores in its Mobile Banking Vendor Scorecard. The same study also rated mFoundry as the winner of the "Path to Mobility" award, recognizing mFoundry's leadership in Mobile Payments. 

"With several years of combined success, we have an industry leading mobile platform," said Anthony Jabbour, executive vice president, FIS Financial Solutions Group. "We are excited to continue our work in developing solutions that advance mobile capabilities to the next level."

About mFoundry

mFoundry is the most popular mobile banking vendor in the U.S., currently the choice of nearly 600 banks and credit unions nationwide. mFoundry's mBanking product is the leading software-as-a-service (SaaS) based mobile financial services platform in the market today.

mFoundry is the only mobile banking vendor with proven market expertise in mobile payments, having developed and managed Starbucks Card Mobile, the first and most successful mobile payments program in the country. The company also recently announced a global strategic partnership with MasterCard to deliver NFC-enabled mobile payments solutions to its customers.

MasterCard adds to mFoundry's unmatched network of financial services technology companies that includes FIS, First Data, NCR, PayPal, Open Solutions, The CO-OP, PSCU Financial Services and COCC. mFoundry also has strategic alliances with mobile leaders Intel Capital and Motorola Mobility.

mFoundry was founded in 2004 by Drew Sievers and Rodney Aiglstorfer. The company is headquartered in Larkspur, California, and also has offices in downtown San Francisco. For more information on mFoundry, please visit http://www.mfoundry.com.

About FIS

FIS (NYSE: FIS) is the world's largest global provider 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 inJacksonville, Fla., FIS employs more than 33,000 people worldwide and holds leadership positions in payment processing and banking solutions, providing software, services and outsourcing of the technology that drives financial institutions. First in financial technology, FIS tops the annual FinTech 100 list, is ranked third on the Barron's 500, 426 on the Fortune 500 and is a member of Standard & Poor's 500® Index. For more information about FIS, visit www.fisglobal.com.

SOURCE mFoundry

Tabbedout Names New CEO

Image via CrunchBase

January 30, 2012 08:00 AM Eastern Time 

Tabbedout Names Paul Fiore as New CEO

Veteran technology and financial services executive brought on to manage rapid growth

AUSTIN, Texas--(BUSINESS WIRE)--Tabbedout, the mobile payment solution that enables customers to open, view and pay their bar or restaurant tab with their phone, today announced that Paul Fiore has been named Chief Executive Officer.

“We’re thrilled to have someone of Paul’s caliber and experience join our team”

Fiore brings more than twenty years of executive leadership experience in the technology and financial services industries to Tabbedout. His previous roles include general manager of bank products for prepaid financial services company Green Dot (NYSE: GDOT), vice president of strategy for XP Systems, and CFO for AT&T Employees Federal Credit Union. He was also co-founder and CEO of banking software provider Digital Insight, which was purchased by Intuit for $1.35 billion in 2007. Fiore’s primary goals for Tabbedout include expanding the merchant footprint and driving revenue growth in existing and new markets.

“We’re thrilled to have someone of Paul’s caliber and experience join our team,” said Rick Orr, Tabbedout co-founder and executive vice president. “The Board and I were determined to find a great and proven leader to really capitalize on what we’ve built. Paul brings both powerful market perspective and an amazing track record to our team and Board.”

“With his background in financial services and technology, Paul has a unique combination of skills that will help propel Tabbedout through its next stage of growth,” said Scott Sandell, NEA general partner and Tabbedout board member. “He has demonstrated a keen ability to identify the core strengths of a company and execute a long-term, strategic plan to seize new opportunities.”

With more than 400 locations nationwide using Tabbedout and integrations with key point-of-sale (POS) partners, Tabbedout has grown rapidly since its inception in 2009 and continues to add new merchants daily across the US. Available for free on both iPhone and Android smartphones, Tabbedout allows users to store credit or debit card information directly on their phone, encrypted and under passphrase protection, instead of on host servers or in “the cloud” where the most public data breaches have occurred. Consumers are safe from the threat of stolen identity due to lost or forgotten credit cards since they now can open and pay their tab directly from their phone, without handing their sensitive payment information to a server.

Tabbedout also allows customers to share their experiences with friends: the app is socially integrated, allowing users to “check-in” to venues via their Facebook, Twitter and Foursquare accounts directly through the application.

“I am excited to join Tabbedout at such a pivotal time in its history,” said Fiore. “The mobile payments industry is similar in many ways to the Internet software sector in the mid-1990s: vast opportunity, dramatic growth in technical capability and consumer adoption. The ultimate winners had the right product at the right time, a solid team, investors that added value, a sustainable business model and a well-thought out partnership strategy. I believe Tabbedout has all of these ingredients. “

About Tabbedout

Tabbedout is the mobile payment solution that enables consumers to open, view, split and pay a bar or restaurant tab with their phone. Tabbedout makes mobile payment a simple and secure process that is widely available, so bars and restaurants can spend more time with their customers. The free Tabbedout mobile app for iPhone and Android lets consumers open a tab with their phone, view their tab in real-time and pay the tab anytime, anywhere, giving them control over how and when they pay. For more information, visit tabbedout.comor contact sales@tabbedout.com to learn more about becoming a Tabbedout partner.

HID Global Completes NFC Mobile Access Control Pilot at Arizona State University

Image via Wikipedia

January 30, 2012 09:03 AM Eastern Time 

Pilot Validated Benefits of Opening Doors Using HID Global’s Secure Identity Object (SIO™) Technology Embedded into NFC Smartphones

IRVINE, Calif.--(BUSINESS WIRE)--HID Global, trusted leader in solutions for the delivery of secure identity, today announced it has successfully completed the world’s first university pilot of NFC smartphones carrying digital keys. The pilot was implemented using the company’s SIO technology, a key feature of its award-winning, next-generation iCLASS® SIO-Enabled (iCLASS SE™) credential and reader platform that transforms how secure identity is delivered and managed while enabling new levels of access control security, portability and performance.

“This pilot proved the viability of the NFC-based mobile access model using secure portable credentials and the next generation of advanced access control systems, and also confirmed the high value that staff and students place on using their phones for more and more applications, including opening doors throughout the campus.”

“The completion of this pilot is an important step toward global deployment of mobile access control technology beyond cashless payment applications,” said Debra Spitler, vice president of mobile access solutions with HID Global. “The pilot results have clearly demonstrated the benefits of opening doors using digital credentials that have been securely embedded into NFC smartphones. We are very pleased with the results, and appreciate all of the valuable help from ASU and pilot partners ASSA ABLOY Americas, Device Fidelity, Kratos/HBE, Research In Motion and Verizon Wireless.”

The mobile access control pilot at Arizona State University (ASU) was the first to validate the use of digital credentials on NFC smartphones for physical access control on a college campus. A group of ASU staff and students were given NFC smartphones containing HID Global’s iCLASS SE credential technology, which was recognized this year with awards at some of the industry’s most influential conferences in 2011 including ASIS International and CARTES & IDentification. The ASU pilot participants gained access to their residence hall and selected rooms by presenting the phones to their door readers, just like they do with their existing iCLASS-based physical campus ID cards. Participants used a variety of popular smartphones connected to all major mobile networks. For more information, view the Arizona State University case study video with a first-hand look into the pilot and commentary from many of the partner participants.

“The initial feedback we received mid-way through the pilot in September was confirmed through its completion, cementing our vision of a future where virtual identities can be created for each registering student and then delivered to them via a mobile application,” said Laura Ploughe, director of business applications and fiscal control, University Business Services, at Arizona State University. “This pilot proved the viability of the NFC-based mobile access model using secure portable credentials and the next generation of advanced access control systems, and also confirmed the high value that staff and students place on using their phones for more and more applications, including opening doors throughout the campus.”

SIO technology protects the integrity of identities, regardless of the card technology, while enabling the use of multiple form factors ranging from smartphones to microprocessor-based cards, contactless smart cards and other devices. SIOs on the credential side and the SIO Processor™ on the reader side work together to execute functions previously performed by traditional cards and readers, using a new standards-based, technology-independent and flexible identity data structure that significantly enhances security, portability and performance. SIOs are at the heart of HID Global’s iCLASS SE platform, which is an essential building block in the access control industry's first NFC-enabled mobile identity and access management solutions.

HID Global’s SIO processor and iCLASS® SIO-Enabled (iCLASS SE™) credential and reader platform are available now.

Mobile access using NFC has received broad support across the industry. Companies and partners across the ecosystem recognize that NFC is the future of physical access and are committed to its development, integration and deployment.

Quotes:

Thanasis Molokotos, President and CEO, ASSA ABLOY Americas Division

“With NFC and the other solutions that we offer as the ASSA ABLOY Group, we see a number of opportunities including the ability to deliver a variety of different solutions depending on the kind of door that you would like to secure. Now that NFC has been added to the solution spectrum, we can go a little deeper and offer access control solutions for different budgets, from $300 to $3000, depending on the kind of door.”

Chris Corum, Founder and Executive Editor, Avisian Publishing

“The physical access control side of this was great, and great to see. Because, to me, really the most crucial transactions are the identity and the security transactions. But I think when people talk about the mobile wallet, the first thing they think about in their wallet may be that series of credit and debit cards that they’re carrying. But equal importance -- or, as I argue, of more importance – in our wallets are those building ID cards, and those access credentials into your campus if you’re a students, or into your corporate center if you’re an employee, or into your buildings and corporate and government sites if you’re a government employee carrying a PIV card. I think that physical access and identity are going to prove to be equal to -- or more important than -- payments in the long run for NFC, and for that idea of the handset as the wallet or the handset as the credential.”

Andrew Bocking, Vice President of Handheld Software Product Management, RIM

“With the brand new BlackBerry Bold and the brand new BlackBerry Curve, we’ve now got NFC embedded right into the products. We’re very excited about the entire NFC ecosystem, and access control and logical access are very important parts of that. As we look forward to the future, mobile devices really become an extension of your identity, and this is just another example of how you can now use that identity to access things with your BlackBerry device.”

Humphrey Chen, Executive Director, New Technologies and New Market Development, Verizon Wireless

”From a pilot perspective, it was clear that the students loved it, and they want it. The pilot gave us a clear indication that people would use their smartphones to unlock their dorm room doors, and this technology can be used for office doors and home doors, too.”

Green Dot Launches Prepaid MasterCard Tailored for Older Americans

Image via CrunchBase

January 26, 2012 08:30 AM Eastern Time 

Green Dot Will Launch AARP Foundation Prepaid MasterCard®

Card Targeted to the Needs of Older Americans and Those Receiving Federal Benefits Such as Social Security

MONROVIA, Calif.--(BUSINESS WIRE)--Green Dot Corporation (NYSE: GDOT), a provider of widely distributed, low-cost banking and payment solutions to a broad base of U.S. consumers, is working with AARP Foundation and MasterCard to launch the first prepaid card tailored to older Americans. The AARP Foundation Prepaid MasterCard from Green Dot (the “Card”) is ideal for direct deposit of paychecks and federal benefit payments, especially given new Federal requirements that all Social Security recipients obtain payments electronically as of March 1, 2013.

“We are proud to work with the AARP Foundation to offer a dedicated prepaid card program that gives older Americans a highly efficient way to receive their government benefits”

The Card launch online and at Walgreens stores is planned for mid February, with rollouts to more Green Dot retail partners throughout the year. The FDIC insured Card, serviced by Green Dot, has an introductory $0 purchase price and the monthly fee can be waived each billing cycle (regularly $5.95) when (1) at least $250 is direct deposited, or (2) at least $1000 is loaded, or (3) at least 30 qualifying purchases* are posted. Cardholders also have the option of a linked savings account that allows the transfer of funds directly from the Card. The Card and savings account are issued by The Bancorp Bank, Member FDIC.

"Nearly twenty million people age 50+ do not have adequate financial resources. Lack of access to well-designed money management and savings vehicles can keep older underbanked consumers from accumulating sufficient savings and retirement funds,” said Jo Ann Jenkins, AARP Foundation President. "In support of our charitable mission, we worked with Green Dot on its development of a prepaid debit card that offers older Americans a convenient and safe payment method at a low cost. Our combined efforts have resulted in a market-leading card by Green Dot that provides strong consumer protections, asset-building features, and innovative programs that can help move people to greater financial stability."

"We are proud to work with the AARP Foundation to offer a dedicated prepaid card program that gives older Americans a highly efficient way to receive their government benefits," said Steve Streit, Green Dot’s CEO.

For more information please visit www.AARPFoundationCard.com.

*Qualifying purchases include completed transactions where you are paying for goods and services with your card.

This Card is issued by The Bancorp Bank pursuant to license by MasterCard International Incorporated and may be used everywhere Debit MasterCard is accepted. The Bancorp Bank is a wholly owned subsidiary of The Bancorp, Inc. (Nasdaq: TBBK), Member FDIC and is FDIC insured. Additional services provided by Green Dot Corporation. MasterCard is a registered trademark of MasterCard International Incorporated.

The royalties paid by Green Dot to AARP Foundation in connection with the program are used by AARP Foundation to further its charitable purposes.

About Green Dot Corporation

Green Dot is a publicly traded (NYSE:GDOT) bank holding company regulated by the Board of Governors of the Federal Reserve System. The Company provides widely distributed, low cost banking and payment solutions to a broad base of U.S. consumers. Green Dot's products and services include its market leading category of General Purpose Reloadable (GPR) prepaid cards and its industry-leading cash transfer network which are available directly to consumers online and through a network of approximately 58,000 retail stores nationwide where 95% of Americans shop. Green Dot is headquartered in the greater Los Angeles area. For more details, visitwww.greendot.com.

About AARP Foundation

AARP Foundation is AARP's affiliated charity. The Foundation is dedicated to serving vulnerable people 50 and older by creating solutions that help them secure the essentials and achieve their best life. AARP Foundation focuses on: hunger, housing, income and isolation as key mission areas. The Foundation envisions: 'a country free of poverty where no older person feels vulnerable.' Foundation programs are funded by grants, tax-deductible contributions and AARP. For more information about AARP Foundation, please log on towww.aarp.org/foundation.

Debit or Credit? Javelin says Consumers Face Conflicting Messages About Payment Choice

Image via Wikipedia

Javelin’s 2011 Consumer Payments Behavior Report Examines How Financial Institutions Lost the Initial Public Relations Battle Related to the Durbin Amendment

SAN FRANCISCO--(BUSINESS WIRE)--Javelin Strategy & Research’s latest report examines how recent debit card regulations have transformed market incentives for payments, creating a confusing environment for consumers. For years, banks and merchants have actively encouraged debit card use, and 73% of consumers report that they are satisfied with the debit card option. Now, debit card issuers are facing a combined $12.2 billion loss due to revenue-pinching regulations. On the one hand, many FIs are reacting by steering consumers toward more profitable credit cards. On the other hand, most merchants will benefit from Durbin-driven reductions in interchange fees and are encouraging debit card use. However, small-ticket merchants have seen their costs for debit acceptance rise significantly, and these merchants often encourage the use of cash or other payment options rather than more costly debit cards. As a result, consumers are facing a bewildering onslaught of mixed messages about which payment option to use.

“The full effects of Durbin remain to be seen”

FIs especially took a big public relations hit in the last quarter of 2011 when they lost the opportunity to educate their customers about these new regulations, then attempted to impose measures that consumers felt were punitive. As a result, 70% of consumers believe that recent debit card regulations will actually benefit banks, whereas only 30% believe that the regulations will benefit merchants.

“Consumers love their debit cards, but the majority would choose different payment options if they were charged a fee for using debit,” said Beth Robertson, Director of Payments Research at Javelin. “Our data shows that if FIs implemented debit card fees, 32% of consumers would choose cash as their payment option, 25% would pay with a credit card and 26% would switch to another bank that didn’t charge for debit cards. Banks should improve their messaging and educate consumers about new regulations so consumers can understand the effects of their payments choices.”

“The full effects of Durbin remain to be seen,” said James Van Dyke, President of Javelin. “The recession led many people to turn away from credit cards in favor of debit and prepaid cards as ways to control debt, but this trend seems to be slowing as the economy stabilizes. Today, there are more conflicting pressures on payment choice than ever before. Stakeholders should monitor payment trends and identify profitable ways to influence the payments mix.”

Javelin’s report Evolution in Consumer Payments Behavior: How the Durbin Amendment and the Economy Are Driving Payment Changebased on survey data collected from more than 3,200 consumers, examines consumers’ attitudes toward various payment options and scenarios. The report outlines the specific strategies FIs, merchants and payments providers should use to navigate the changing environment and provide consumers with the information they need to make informed payments decisions.

Selected Key Findings from Evolution in Consumer Payments Behavior:

• Cash is the most regularly used payment option: 79% of consumers report that they had made cash purchase within the past seven days.
• 90% of consumers claim they would require a discount of 3% or more to switch to another payment option.

• 72% of underbanked consumers indicate that they most frequently use cash for any type of purchase. Just 6% of these consumers use prepaid cards most frequently.

For additional details or to purchase Javelin’s report, Evolution in Consumer Payments Behavior: How the Durbin Amendment and the Economy Are Driving Payment Change, click HERE.

New, Free GoPayment Credit Card Reader Now Available

Maximize Sales on the Go While Protecting Customer Card Data

MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--Intuit Inc.’s (NASDAQ:INTU) newly designed GoPayment card reader is now available for free at GoPayment.com.

The GoPayment card reader increases the accuracy of each card swipe and offers best-in-class, end-to-end encryption to protect a customer’s sensitive card data. Intuit redesigned the card reader based on customer feedback asking for a professional, easy-to-use way to process payments wherever they are.Designed for small businesses and anyone who sells products or services on the go, the new GoPayment card reader is a compact, cylinder-shaped device that fits into the audio jack of a mobile phone or tablet. It works with the GoPayment app to help users maximize sales by quickly and accurately swiping a credit or debit card instead of entering data manually.

“What I like about the new reader is pretty simple,” said Dennis McGrath, owner of BBQ2U Cateringin San Diego. “It’s sleek and fits on my smartphone – even with the case on it. The groove is angled, so swiping the credit card feels more natural. The new design helps it fit snugly on my phone so it doesn’t swivel when I’m swiping a card.”

GoPayment helps users never miss a sale by easily processing payments on their smartphone or tablet. It’s ideal for mobile retailers or service providers, such as caterers, photographers, hair stylists, locksmiths and landscapers. It’s affordable with a free app and card reader with competitive, pay-as-you-go pricing. Click here to watch a video about how GoPayment helps real business owners maximize sales. To learn more, go to: GoPayment.com.

Resources:

• GoPayment user videos (http://Intuit-GoPayment.com/uservideo)
• GoPayment Press Kit (http://about.intuit.com/about_intuit/press_room/press_kit/gopayment/)
• GoPayment Blog (http://blog.gopayment.com/)
• GoPayment on Facebook (http://www.facebook.com/#!/IntuitGoPayment
• GoPayment on Twitter (http://twitter.com/gopayment)
• Learn more about how Mobile is Changing Intuit’s Customer’s Lives (http://network.intuit.com/videos/1239064890001/)

About Intuit Inc.

Intuit Inc. is a leading provider of business and financial management solutions for small and mid-sized businesses; financial institutions, including banks and credit unions; consumers and accounting professionals. Its flagship products and services, including QuickBooks®,Quicken® and TurboTax®, simplify small business management and payment and payroll processing, personal finance, and tax preparation and filing. ProSeries® and Lacerte® are Intuit's leading tax preparation offerings for professional accountants. Intuit Financial Services helps banks and credit unions grow by providing on-demand solutions and services that make it easier for consumers and businesses to manage their money.

Founded in 1983, Intuit had annual revenue of $3.9 billion in its fiscal year 2011. The company has approximately 8,000 employees with major offices in the United States, Canada, the United Kingdom, India and other locations. More information can be found atwww.intuit.com.

Mobile Payments Going Mainstream at CARTES in North America

Image via Wikipedia

Two-day long tracks on mobile payments; more than 80 speakers and a sold-out roster of 100 exhibitors

CARTES in North America 2012

LAS VEGAS--(BUSINESS WIRE)--Just what combination of technology convergence, business partnerships and consumer acceptance points will finally drive the widespread adoption of global mobile payments is at the center of the agenda at the CARTES in North Americaexpo & conference, March 5-7, 2012 in Las Vegas, Nev.

“As we continue to focus on innovation and developing technologies like NFC, we’ll be able to further enhance the consumer experience—from search to purchase opportunities, to instant rebates, to e-commerce.”

With the advent of Google Wallet and a new mobile phone payment system from ISIS as well as global wireless carriers supporting standards for Near-Field Communication (NFC)-based payments, 2012 is poised to be the year that new mobile payment technology moves into the consumer mainstream. CARTES in North America will host two day-long tracks, March 5-6, on Global Mobile Payment & Services Initiatives, featuring speakers from the United States, Canada and Europe addressing topics ranging from deploying NFC payments and the changing business case for banks, to retailer adoption, consumer acceptance and security.

Tim Jefferson, managing director of The Human Chain, will present a keynote address on Mobile Payment and NFC on March 5 and chair the day’s Global Mobile Payment track. “Making payments via a smart phone really represents a threshold for wider adoption of a whole host of new NFC-driven mobile smart technologies connecting companies with their customers,” said Jefferson.

Other mobile payments highlights on March 5 include platinum sponsor ABnote presenting a session on “A Pathway Approach to Deploying NFC Payment”, and gold sponsor MasterCard Worldwide speaking on “The Commercial Launch of Mobile Payments Using NFC-Enabled Phones.” “Today, people want the freedom to pay in a way that best fits their needs and lifestyles with a simple tap, click or touch,” said James Anderson, Senior Vice President, Mobile and Emerging Payments at MasterCard. “As we continue to focus on innovation and developing technologies like NFC, we’ll be able to further enhance the consumer experience—from search to purchase opportunities, to instant rebates, to e-commerce.”

In addition, Canadian-based Ipsos will present the results of a consumer survey on mobile payments during the session, “Are Consumers Ready for Mobile Payments?”

Security is the focus of the CARTES in North America Global Mobile Payment and Services Track on March 6. Dawood Khan, a partner at Red Mobile in Canada will chair this track which features nine sessions on “The Mobile: A Trusted Environment?,” “Certificates & Standardization,” and “Secure Identity on the Mobile Device.”

The first CARTES in North America expo and conference will bring smart technologies, m-commerce and digital security authorities and leading technology providers to Las Vegas, Nevada for 70 conference sessions on topics ranging from NFC, mobile payment and EMV Deployments to trust, privacy and IT security. The event will feature technology and application demonstrations by a sold-out roster of100 conference exhibitors.

CARTES in North America is produced by Comexposium. Sponsors and exhibitors include ABnote, American Express, 3M, CPI Card Group, HID, MasterCard Worldwide, Oberthur, Renesas, Thales, Verifone. Event partners include the BayPay Forum, Eurosmart, NFC Forum, GlobalPlatform, Global Prepaid Exchange, The Human Chain, The MULTOS Consortium, OATH, SIMalliance, The Smart Payment Association and WIMA NFC USA.

Follow the conversation on CARTES in North America via Twitter and on Facebook. Accredited members of the media are invited to register for free at http://www.cartes-northamerica.com/Forms/Press-Accreditation. For more information on CARTES in North America, visit www.CARTES-northamerica.com.

About CARTES

The CARTES Network encompasses the leading international and regional exhibitions and conferences devoted to smart technologies. From its beginnings in Paris in 1985, CARTES has grown to become the world number one security and payment event, gathering 450 exhibitors and 20,000 visitors from 142 countries. Since 2010, CARTES exhibitions and conferences have taken place in Asia and are now being introduced in North America. CARTES events are organized by COMEXPOSIUM, the leading French professional trade fairs organizer, offering a high level of service and premium quality standards for exhibitors and visitors.

Shazam Offers 1% PIN Debit Rate through Adaptive Payments

Discount rate of 1% for PIN debit transactions for all merchants that use Pentagon offered

DES MOINES, Iowa and FT. LAUDERDALE, Fla., Jan. 25, 2012 /PRNewswire/ -- The SHAZAM network today announced that it has launched the Adaptive Payments Pentagon mobile point-of-sale (POS) payments application. Pentagon is a mobile payments platform, which allows merchants to accept PIN debit, signature debit and credit transactions using iPhone® and Android® mobile phone and tablet devices. SHAZAM will roll out Pentagon to its nearly 1,500 community financial institutions and their merchant customer base.

The technology behind the Pentagon mobile payments application is unique to the marketplace as it uses Adaptive Payments'5DSecure™  five factor-dual channel authentication technology to authenticate PIN debit transactions quickly and securely. The Pentagon solution breaks new ground by being the first and only solution to use the consumer's phone for PIN capture and using Adaptive Payments' patent pending, outside-of-band authentication technology. The PIN is captured in a second channel and is never stored virtually with the cardholder's card data or personal information. Security is a hallmark for Adaptive Payments and Pentagon is no different. In addition to accepting PIN debit, Pentagon uses 3DES to encrypt the magnetic stripe right at the read head. The transaction produces a Regulation E-compliant receipt that is delivered to consumers via SMS text message. Pentagon also captures and stores an image of the signed receipt.  

"Payments are rapidly evolving from traditional card-present and card-not-present situations to more mobile and online environments," said Mike Hollinger, SHAZAM President and CEO. "Consumers expect to be able to shop any time and at any place. There is also an expectation to be able to shop safely and securely without fear of fraud or identity theft. Not only does Pentagon make payments more accessible to more consumers and merchants, but it does so without compromising on end-to-end security, providing peace of mind to all stakeholders."

"The mobile payments space is becoming crowded with many look-alike payers but Adaptive Payments stands alone. Unlike other mobile payment providers that disintermediate existing relationships, Pentagon is "an open platform" specifically designed to be accessible to all financial institutions and merchant acquirers, allowing them to use the product without changing processors and to customize it to make Pentagon their own," said Shashi Kapur, Adaptive Payments CEO. "What's more, we are creating additional differentiation by processing PIN debit and encrypting the mag stripe at the read head. We are also announcing today a discount rate of 1% for PIN debit transactions for all merchants that use Pentagon. Our confidence in the security of our authentication technology, combined with our ultra modern and lower cost processing environment enables us to price PIN debit using Pentagon very aggressively." 

"We continue to look for safe and secure ways to expand PIN debit transactions and Pentagon does just that," stated Hollinger. "Adaptive Payments is delivering a significantly lower cost for PIN debit. Pentagon is a win for all stakeholders by lowering fraud risk for financial institutions and merchants, making card-based payments accessible to more merchants, and enabling cardholders to conduct secure PIN transactions anywhere they shop. Merchants of all types and sizes will be able to quickly, cost-effectively, and securely accept electronic payments anytime, anywhere using their mobile phones."

Merchants that are interested in Pentagon can find more information athttp://www.adaptivepayments.com/PentagonRegistration.php

About Adaptive Payments

Based in Ft. Lauderdale, Fla., Adaptive Payments is a payment authentication company that enables easy, safe, secure and authenticated transactions to occur using the cardholder's PIN or other data that is known to the cardholder to authenticate debit and credit transactions. The company has developed payment solutions for internet sales, money transfer, bill payment, prepaid top up, mobile overdraft opt in and mobile payments. These products are delivered across all payments card acceptance channels. All Adaptive Payments' solutions feature "5DSecure" five-factor authentication using two unique channels for authentication separating the sales and personal data from the secure PIN or other authentication token.

About SHAZAM

The SHAZAM network was founded in 1976 and is one of the last remaining member-owned and -controlled EFT networks and processors in the industry. SHAZAM provides innovative and state-of-the-art EFT services to community financial institutions in 30 states. SHAZAM is a single source provider for ATM processing, debit and ATM card processing, card authorization services, merchant processing, Automated Clearing House (ACH) services and information security solutions.

SOURCE Adaptive Payments

Freescale and INSIDE Secure Revolutionize the Prepaid Meter

January 24, 2012 07:00 AM Eastern Time 

Prepaid meter reference design enables secure purchase and reload of energy credit balance using smart phones or contactless smart cards

DistribuTECH 2012

SAN ANTONIO--(BUSINESS WIRE)--Freescale Semiconductor (NYSE: FSL) and INSIDE Secure today announced a secure prepaid utility meter reference design with near field communication (NFC) connectivity that OEMs can use to quickly and cost-effectively bring to market electricity meter products. The reference design, based on the Freescale Kinetis MK30 microcontroller (MCU), provides the first NFC-based, prepaid meter with the ability to securely reload energy credit balances.

“Through our collaboration with Freescale, we have been able to combine our leading security and connectivity solutions to protect prepaid meters while providing a more convenient way to load energy credits and deliver valuable usage information to utilities.”

Utilities in many countries require a sophisticated payment infrastructure to facilitate the utility payment process while preventing fraud. Secure prepaid meters, such as this reference design developed by Freescale and INSIDE Secure, address this need by adding sophisticated smart card security mechanisms that have been proven in the banking industry. Products based on this reference design are protected from fraud because they employ a VaultIC^TM security module and NFC technology to safely load energy credits from a smart card or an NFC-enabled phone.

“The global need for prepaid metering solutions and robust security is rapidly increasing, especially in emerging markets,” said Bruno Baylac, director of Freescale's Metering, Medical and Connectivity Solutions business. “By partnering with INSIDE Secure we are not only bringing advanced security features but also innovative contactless technology, enabling the design of simple, tough mechanical meters that are virtually tamper-proof.”

“In many parts of the world, prepaid electricity meters offer the best solution for controlling energy distribution, but providing adequate security to prevent fraud has always presented challenges,” said Christian Fleutelot, general manager of the Vault-IC SAS business unit and executive vice president for digital security at INSIDE Secure. “Through our collaboration with Freescale, we have been able to combine our leading security and connectivity solutions to protect prepaid meters while providing a more convenient way to load energy credits and deliver valuable usage information to utilities.”

Tweet this: @Freescale and INSIDE Secure announce a secure prepaid utility #smartmeter reference design with NFC connectivityhttp://ow.ly/8AXcZ

The reference design features INSIDE Secure’s VaultIC™ 460 and NFC (MicroRead^® 3.4) chipset. The VaultIC^™ 460 security module provides comprehensive security functions such as mutual authentication, verification and generation of certificates, encryption/decryption and managing secure storage of cryptographic keys. It is FIPS140-2 Level 3 ready. NFC connectivity is implemented using the MicroRead^® controller and Open NFC protocol stack.

The system is powered by the Freescale MK30X256 32-bit MCU (built on the ARM^® Cortex^TM-M4 core), which operates up to 100 MHz with 1.25 DMIPS/MHz. The firmware is based on Freescale’s MQX™ real-time operating system. The built-in segment LCD controller displays all standard metering values at the push of a button.

The secured prepaid meter reference design is being demonstrated by Freescale and INSIDE Secure during the DistribuTECH Conference & Exhibition, January 24-26, in booth 131 in the Henry B. Gonzalez Convention Center in San Antonio, Texas. The reference design also will be demonstrated in the Freescale booth during the Smart Metering UK & Europe Summit 2012 conference and exhibition being held in London January 26-27.

Paying for Public Transit in Philadelphia: as Simple as Tapping a Credit Card or Waving a Smartphone

Image via CrunchBase

January 24, 2012 08:05 AM Eastern Time 

ACS, A Xerox Company, Helps Philadelphia Install One of the Nation’s First Open Fare Payment Systems for Public Transit

DALLAS--(BUSINESS WIRE)--Riding on any Southeastern Pennsylvania Transportation Authority (SEPTA) vehicle soon won’t require passes, farecards, tokens or cash. As part of a $122.2 million contract with ACS, A Xerox Company (NYSE: XRX), passengers will instead be able to digitally pay their fare with a quick tap or wave of their “contactless” credit or debit card or even their smartphone. SEPTA will be one of the first in the country to offer riders the ability to travel and pay this way.

“This new system will allow commuters to spend more time where they want to be and less time getting there or waiting in line”

Passengers riding any of the buses, subways, trolleys or the regional rail trains on the SEPTA system will be able to use this modernized open payment fare collection system. During the three-year implementation, ACS will design, install, integrate and operate one of the country’s most sophisticated transit payment technology systems. The contract also includes two five-year options for continued operations.

“This next generation payment system will offer an extraordinary level of convenience, speed and accuracy for customers,” said SEPTA general manager Joseph M. Casey.

The new system will allow passengers to pay their fares using a card many already have in their wallets. It will be more secure due to strict banking industry standards, and more convenient and simpler than fare payment options available elsewhere. It also will allow for seamless travel throughout the entire SEPTA network and provide the capability for future integration with other transit authorities in the region.

For the first time ever, the New Payment Technology will provide SEPTA with precise, real-time business intelligence on all services with the ability to better manage resources, modify services and respond to customer needs.

“This new system will allow commuters to spend more time where they want to be and less time getting there or waiting in line,” said Dave Amoriell, chief operating officer, Transportation and Local Government Solutions, ACS.

Working with New Jersey Transit, The Metropolitan Transit Authority (NY) and The Port Authority of New York and New Jersey, ACS, was the first to demonstrate that complex, regional fare collection systems can accept regular contactless credit and debit cards. Rider satisfaction surveys showed the majority of riders liked the new payment technology and most preferred it over the current cash, coin, and ticket-based transit payment system.

The ACS team consists of local partners including PRWT, which will provide customer care support; Parsons Transportation Group, which will provide design, engineering and construction support services; and Temple University, which is conducting software development.

ACS systems and services are used by more than 1,000 municipal, regional and national operators in 400 cities worldwide to run more than 150,000 pieces of equipment that enables 50 million passengers per day to use buses, trolleys, tramways and trains. ACS-deployed solutions include more than 50,000 smart card readers on buses, faregates, turnstiles, and other fare collection devices. ACS is the largest provider of transportation services to governments worldwide, with projects in 35 countries.