MasterCard and Visa have teamed up to increase efforts in the U.S. transition ot EMV chip cards as well as other security measures.
The alliance will receive representation from numerous banks, credit unions, acquirers,
retailers and terminal manufactureres - according to the the card brands.
The purpose of a collaborative group is to instill confidence in front of congress. Avoiding a competitve atmosphere that may cause uncertainty in a time of heavy breaches and fraud claims; a cohesive approach is critical when instilling confidence with the masses.
Though the group is new, there may still be issues that have yet to be covered. Some examples:
Should issuers require consumers to use a PIN to make EMV payments, though VISA has openly expressed using signature authentication.
Pat Carroll, executive chairman of security vendor, ValidSoft, supports the effort in speeding up the EMV process -
"The industry must be fully cognizant of how payments and fraud are evolving... there is a grave danger that will find itself having spend billions of dollars on new cards and POS devices capable of processing chip-and-pin, only to find that both consumers and crooks have moved on".
The new group also intends on becoming a catalyst for other types of security technology, such as: tokenization and end-to-end encryption. Both of these methods can replace payment card details with data that criminals can exploit.
VISA President Ryan, McInerney states in a press release that "The recent high-profile breaches have served as a catalyst for much needed collaboration between the retail and financial services industry on the issues of payment secrutity... As we have long said, no one industry or technology can solve the issue of payment system fraud on it's own."
Group members plan on sharing ideas, break down barriers and move towards a "next-generation security solution for the benefit of all."