Posts Tagged ‘online security’

Consumers Speed up Card Replacement Cycle

Posted on August 11, 2017 by Laura Lam

Despite the heightened security that comes with EMV chips and tokenization, consumers remain worried about their personal data being exposed in a seemingly nonstop parade of breaches. This leads to many cardholders requesting a new card as a precaution, even if they have no evidence that they were directly affected by a particular breach. “It’s less about their cards being compromised than seeing news about a major breach at a place where they shop,” said Rob Dixon, product director at CPI Card Group.  “The customer wakes up and sees a report about a breach, and wants to have his or…

Push for Faster ACH Payments Increases Bank Fraud

Posted on January 10, 2017 by Laura Lam

As of September, credit-based ACH payments are now being settled within the same day. These transactions involve one person/entity pushing money from their bank account to another person or organization, using the automated clearinghouse. Examples include direct deposit, payroll, person-to-person and vendor payments. Where before banks had 2 to 5 days to analyze suspicious transactions, now in some cases they have only 2 hours. Banks haven’t quite caught up with the shorter time frame for checking red flags, some say, and fraudsters have jumped on this opportunity. “Recently we’ve seen more evidence of incidences of ACH fraud than we have…

The Evolving Threat of EMV Card Fraud

Posted on August 30, 2016 by Laura Lam

Chip-and-PIN cards are here to stay in the U.S. – despite some pushback from banks and retailers alike. While the switch means better protection for consumers and companies at point-of-sale (POS) terminals, there are new security threats on the horizon as scammers shift their efforts from brick-and-mortar stores to online transactions and more aggressive chip-and-PIN fraud. In the U.K., where chip-and-PIN cards have been the retail standard for more than a decade, cybercriminals have moved away from POS terminals to target online shoppers by leveraging the inherent insecurity of card-not-present (CNP) transactions.  By compromising user profiles or accounts online, attackers get…

Skimming Scams: Learn to Protect Yourself

Posted on August 19, 2016 by Laura Lam

Criminals have made off with as much as $3 billion dollars worldwide using devices that skim information from your cards.  The use of skimmers at ATMs especially has exploded – more than 5 times higher last year than the year before.  Thieves install the skimming hardware and/or tiny cameras at ATMs to copy card information and to record the typing of PIN numbers. But there are ways to protect yourself. “Most commonly the criminals remove the devices and then use the information to create a duplicate debit card that they can then use to drain your account,” said Nikhil Huteesing…

Banks Team Up to Fight (Cyber) Crime

Posted on August 18, 2016 by Laura Lam

Big banks are revving up efforts to combat cybercriminals targeting the financial-services industry.  Eight of the largest U.S. banks are forming a group that seeks to tackle the growing cyberthreat. It includes J.P. Morgan Chase & Co., Bank of America Corp. and Goldman Sachs Group Inc., among others. While still in its early stages, the big banks expect the group members will share more information with each other about threats, prepare comprehensive responses for when attacks occur and conduct war games designed for the issues facing the biggest institutions. The big banks are currently part of a wider group of banks that looks to share information about…

The Biggest Threat to Data Security?

Posted on July 21, 2016 by Laura Lam

Chief information security officers at U.S. banks say their top priority is keeping data of all kinds (customer, employee, credit, performance, you name it) safe from attacks. Recently, banking officials weighed in when American Banker asked what the greatest risks are. Too Much Data Everywhere – There’s a huge pool of data out there that is hard to protect, and it also provides attackers with lots of ammunition.  “The more data out there, the higher the risk,” says Dominic Venturo, chief innovation officer at U.S. Bank.  “We’ve also got this old system of user ID and password and the fact…

Chip Cards May Bring an End to Some ATMs

Posted on July 06, 2016 by Laura Lam

By October of this year, ATM owners in the U.S. have to replace or upgrade their machines to accept chip cards or face liability for certain types of fraud. But the upgrade and related ongoing maintenance are so expensive that some cash-machine operators plan to shut down some of them. Up to 10% of so-called retail ATMs – those not owned by banks – may be thrown out instead of souped up or replaced because of the move to chip cards, said James Phillips, a vice president at retail ATM maker Triton Systems.  Older machines may stay operational but not…