|Louise Herbert MasterCard Worldwide +32 (0)498 58 5647|
MasterCard Unveils ‘Next Generation Debit Card’
Turkish bank TEB becomes first bank to offer next generation payment card with built-in display for control and security
Turkish bank TEB, a subsidiary of BNP Paribas, will be the first issuer to bring the display card to consumers with a Maestro® eCommerce authentication programme that kicks off in July across Turkey, with new features to be added onto the card in the near future. The UK's Newcastle Building Society has also committed to the first pilot of the balance display functionality later this year.
How it works
The 'Display Card' represents the next generation of payment card, providing the first interactive card in the market. It can work like any other payment card but has a small display window and touch-sensitive button. The cardholder can see information - numbers and/or text - on the small visual display, such as a dynamic passcode, an account balance and a spending limit. MasterCard selected Swiss-based security specialist NagraID Security as the technology partner for the programme.
TEB is the first bank in Europe to launch the new technology with authentication functionality and will add new features on the card in the near future.
"The card truly encapsulates our belief that simple to use technology is the key to unlocking the door to simpler cash-free payments", says Jorn Lambert, Group Head, Core Products, MasterCard Europe. "Consumers are telling us that ease of use, control and security are required to replace costly cash. This card can deliver the levels of both information and security they seek."
Bulent Ersoz, Card Payment System Director for TEB said, "We are proud to be the first bank to bring this new card to consumers here in Europe. This pilot kicks off with an initial offering to test authentication functionality but we are already looking towards further phases when we will test the additional functionality of the card in other card programmes. As we strengthen our eCommerce capabilities, we already have an eye to the future, where the card is the portal to so much more for our customers."
MasterCard's Innovative Debit Solution
MasterCard has been working on display card functionality on cards for over a year and believes that this technology has matured to a level appropriate for use on MasterCard branded cards. A product from NagraID Security has recently passed the CSI approval process, thus demonstrating the required levels of durability, safety and compliance to ISO standards required for commercialization and initial introduction into MasterCard brand standards & rules.
The display card allows a cardholder to access information and functionality hosted on the card. In the future, MasterCard and TEB plan to add a new dimension to display cards. The future display card allows a cardholder to access information and functionality hosted on the card, such as; account balance, dynamic passcode, current loyalty points balance, list of recent transactions, updated credit/spending limit and the amount of the current transaction, with transit ticketing information just one example of future services.
NagraID Security were chosen by MasterCard because of the quality and proven reliability of their advanced display card products, their market reputation and their extensive design, development and manufacturing experience. The MasterCard Display Card Product Line is available immediately through NagraID's world class channel partner, Gemalto.
Commenting, Cyril Lalo, NIDS President and CEO said, "I am particularly impressed by the skill, focus and effectiveness exhibited by the MasterCard team in work towards the deployment of this advanced product and TEB's vision and commitment to provide their customers state of the art authentication security and the control they expect, in a familiar and convenient form-factor".
One Time Password Generation on Display Card
An added-value of the Display Card is the remote authentication functionality for debit cards. Card usage on the net is increasing, with cardholders requesting greater access, control and security for online debit payments. The remote authentication capability of display cards make them very favorable, especially for cardholders doing online banking or online purchases, to facilitate secure remote online transactions. This solution provides issuers an additional authentication solution option to facilitate SecureCode based remote transactions, as well as providing an optional device either to replace or work in parallel with existing CAP readers (chip authentication) devices currently offered by banks to cardholders in Europe. The Display card is an important addition to the existing MasterCard authentication solutions (CAP reader, mobile CAP, SMS CAP).
Account Balances to be Seen on Display Cards
A favourable feature of the Display Card is the ability to display account balances on debit and prepaid cards. This particular concept has scored very well in consumer research for all segments. According to market research, 57% of debit card users would use a card with a balance display function more often. There is also potential for cost savings: Research in the US shows 70% of Call Center calls come from mobile phones and 50% of these are basic enquiries like balance enquiries.
About MasterCard Worldwide
MasterCard Worldwide advances global commerce by providing a critical economic link among financial institutions, businesses, cardholders and merchants worldwide. As a franchisor, processor and advisor, MasterCard develops and markets payment solutions, processes over 22 billion transactions each year, and provides industry-leading analysis and consulting services to financial-institution customers and merchants. Powered by the MasterCard Worldwide Network and through its family of brands, including MasterCard®, Maestro® and Cirrus®, MasterCard serves consumers and businesses in more than 210 countries and territories. For more information go to www.mastercard.com. Follow us on Twitter: @mastercardnews.