Advancements in payment technologies continue to offer speed and convenience for members. But at the same time, fraudsters have become more resourceful in their abilities to penetrate these new devices.
Modern payment technologies, such as Visa Pay Wave, MasterCard PayPass, and Tap-N-Go embed information in a plastic card or device and transmit data via radio waves without the need for a signature or a swipe through a machine.
To prevent fraudsters from gleaning data with card readers, CUNA Mutual Group, Madison, Wis., suggests credit unions ensure the technology embedded in their cards are encrypted and certified to be used at contactless payment terminals. The company also advises credit unions to ask several questions regarding their payment technologies.
Chuck Cashman, CUNA Mutual Group’s director of Credit Union Protection product management, discusses contactless technologies and their associated risks, and offers advice for mitigating those risks. Watch now.