Credit card with in-built display may help combat online fraud

May 13th, 2009 - 3:23 pm ICT by ANI  

London, May 13 (ANI): Visa is testing a credit card with an in-built display for its efficacy in reducing online fraud.

The Emue Card’s developers have revealed that it generates and displays a unique code each time it is used.

They claim that it will make the commission of online fraud very difficult because any transaction would require the pin to generate the code.

Presently, 500 employees of Deloitte are trying the car to assess the technology by the end of the year.

The new technology appears to be significant considering that it may help reduce the so-called card-not-present (CNP) fraud.

These transactions ask for the 16-digit code on the front of the card, and expiry date and some also ask for the three-digit security card on the back. All of these details are available to a criminal who has a stolen card.

Michelle Whiteman, a spokesperson for the Association for Payment Clearing Services (Apacs), revealed that authorities have been facing a number of problems in tackling CNP fraud.

“Firstly, you aren’t able to check the card’s physical security measures, such as the hologram or signature. Then, at present, there is no form of chip and pin security,” the BBC quoted her as saying.

“And finally, because of the anonymous nature of internet transactions, there fraudsters have a much lower chance of getting caught, which probably encourages some people who might otherwise not commit a crime,” she added.

According to Visa, the new Emue system may help combat this by adding an additional layer of security.

The company says that in addition to the three-figure security code, an additional four figure code, generated by the card, would also be required before a transaction could go through.

Sandra Alzetta, head of innovation at Visa, said that she was confident that banks and credit card companies would like to take up the new technology, once it was certified.

“I see this as a very consumer focused product and any Visa bank could add it to their commercial cards and make it available, assuming it passes muster,” she said.

The card’s developers have also tried to ensure that it can be handled like any other card without accidentally pressing buttons or breaking the display.

“We’ve made the buttons in such a way that you need to ‘pinch’ them, rather than just press, for them to work. One of the things we’re testing is how long the battery lasts - the plan is for it to work for more than three years, which means your card should expire before it runs out of power,” they say. (ANI)

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