New Ways to Pay
As students return to classes, many parents are pulling out the plastic for last-minute purchases to make sure their kids have everything they need. The humble credit card, and much of the behind the scenes data processing that ensures the retailer gets paid, is in the midst changes driven by concerns over credit card security and new ways people shop. At the center of these changes is a new Panasonic Toughpad mobile payment tablet that can handle all forms of electronic payment, giving retailers and their customers confidence that data is secure.
Here’s a look at four key terms that you’re going to hear about – if you haven’t already.
New chip-enabled credit cards are finding their way to American wallets. At least 120 million Americans have already received an EMV chip card and issuers are in the midst of a massive distribution of new plastic. By year’s end, some 575 million chip cards will be issued, according to industry forecasts. The move to EMV, an acronym for EuroPay, Mastercard and Visa, should be well underway by October 1. That’s when retailers are required by major credit card companies to accept chip-enabled cards, or be held liable for fraud on older cards, bearing a magnetic strip.
The new credit cards are one force spurring retailers to retool the way they accept payments. Almost a decade ago, the financial services industry set up PCI DSS (Payment Card Industry Data Security Standard) to help protect a credit cardholder’s confidential information. It covers the moment the card is swiped or dipped through the entire transaction process, and is frequently upgraded including most recently in July. PCI security standards combined with credit card chip technology offer a powerful way to increase data security and reduce fraud. More details at EMV – PCI: the Main Defense.
3. End-to-End Encryption
To provide maximum security against fraud and data breaches, many retailers are moving to end-to-end encryption. With chip-and-pin technology, a credit card’s chip is tied to a pin number assigned by the cardholder. Authentication technology works when the physical card is present, using the pin number to ensure that the card belongs to the holder. Data security focuses on the transmission of the data. The two processes create a promise of end-to-end encryption.
These changes in credit cards and data protection come at the same time merchants are searching for mobile payment options. Many organizations that value mobile payment platforms, but face limited budgets, are turning to devices, such as such as Panasonic’s Toughpad FZ-R1, that use near-field communication technology to allow two devices placed close together to exchange data. These devices accept money apps like Apple Pay as well as new chip cards, and even magnetic-strip cards. Research shows that small retailers particularly value mobile payment options, making these flexible platforms particularly appealing because they accept a range of payment types including credit card technologies that help keep customer data secure.