Engaging, Enabling and Evolving Commerce in Canada since 1989

August 2008 ACTion Newsletter

IN THIS ISSUE

1. Editorial Comment
2. Visa & Leading North American Banks Launch Transaction Notification Pilot
3. Ontario Gives City $7 Million For Transit Smart Cards
4. MasterCard, Citi Cards, Bell Mobility Trial Mobile Payments
5. Gemalto Web Service Enables Personalized Photos On Plasticnow MasterCard Cards In Canada
6. Ingenico Announces Class A Certification From Chase Paymentech Solutions For Its New Terminals
7. Mobile Payments - Trust Is Key - Members Only Access
8. Cardwizard Enables EMV Instant Issuance At Retail Stores
9. Giesecke & Devrient Supplies Passports & Driver's Licenses To Kosovo
10. CPI Card Group To Manufacture First Wood Key Card For Democratic National Convention
11. INSIDE Contactless Appoints Industry Veteran To VP Sales & Business Development, Canada
12. Philippines Pension Scheme Uses Voice Biometrics - Members Only Access
13. LaserCard Receives Follow-On Order For Saudi Arabia National ID Card Program
14. Canadian Brokerage Rolls Out Biometric Voice Authentication
15. Banking On The 'Unbanked' - Members Only Access
16. GFI Acquires Bell Business Solutions

ACT Canada is pleased to announce our new Partner - Collis

Collis
Collis is a leading provider of EMV, e-ID, and e-Passport test tools, consulting, and training in Canada. Contact us for EMV training and test tools for every step of the EMV Transaction life-cycle - Cards, Terminals, Acquiring host and Authorization host. Collis America at 1-651-925-5410.

ACT CANADA THANKS OUR NEW & RENEWING MEMBERS

PRINCIPAL

Vancity Savings Credit Union ~ rejoining

GENERAL

American Express ~ rejoined
HSBC ~ member since ~ 2006
LoyaltyOne ~ rejoined

CALENDAR OF EVENTS

ACT Canada is pleased to present:

Cardware 08 - Securing ID
September 23, 2008
Ottawa, ON, Canada
&
Cardware 08 - Securing Payments
October 8 & 9, 2008
Kitchener Waterloo, ON, Canada

Additional information is available at http://www.actcda.com/calendar/symposium.htm. ACT Canada members receive discounts for this event.

Loyalty World 2008
September 23-26, 2008
London, England
http://www.terrapinn.com/2008/lw08/

Smart Card Alliance 7th Annual Smart Cards in Government Conference 2008
October 22-24, 2008
Washington, DC, USA
http://www.smartcardalliance.org

CARTES & IDentification 2008
November 4-6, 2008
Paris, France
http://www.cartes.com

1. EDITORIAL COMMENT
Source: Catherine Johnston, President & CEO, ACT Canada (08/28)

The 3 R's for Professional Success

As millions return to school next week, we might want to review our own 3 Rs.
1. Recognize the need for broader and timelier communication among stakeholders
2. Realize the benefits of committing to the market
3. Re-invest in professional development for ourselves and our staff

I think it is safe to say that each of us is pressured, and as the old saying goes, "when you are up to your (you pick the body part) in alligators, it's hard to remember that the original objective was to drain the swamp". While that may be true, you may be able to drain the swamp, sell the water, drill for oil and be a success if you pay attention to these 3 Rs.

  1. Seek out opportunities to talk with other stakeholders, not just the ones you meet with normally. Conferences are a great place to meet people with shared interests, even though they may not yet know or share your perspective. Go with an open mind. You have nothing to lose, and both information and relationships to gain. There is no one way to reach stakeholders in the payment or identity management space, so we need to expand our outreach.
  2. While pursuing a competitive advantage, you will benefit from demonstrating your commitment to the local market. As either a buyer or seller, you need to be supportive of initiatives and associations that promote market growth. After all, a strong market provides competitive products and pricing for buyers and more opportunities for suppliers. Some companies want their competition to do all the heavy lifting and then plan to take advantage. It's rarely a good strategy in the long term.
  3. Resources cost the most when you have to compete for them in a seller's market. Anyone working with EMV already knows this. By providing information and training for your staff, you gain immediate and longer term benefits. Not only that, but employers who provide these are more likely to retain their staff in this market.
    If no man is an island, no company or government is one either.

If these seem to be my way of encouraging you to benefit from the upcoming Cardware 08, Smart Card Alliance Government Show and Cartes conferences, it is. Each provides benefits. Each brings you information and dialogue that cannot be accessed after they are over. Join me at Cardware for information that is specific to your plans, the Canadian market and what I hope to be your every success!

2. VISA & LEADING NORTH AMERICAN BANKS LAUNCH TRANSACTION NOTIFICATION PILOT
Source: BusinessWire (08/18)

Visa and eight leading North American financial institutions - PNC Bank, SunTrust Bank, U.S. Bank, Wachovia, and Wells Fargo in the United States, and Royal Bank of Canada, TD Bank Financial Group, and Vancity in Canada - have agreed to initiate a pilot program with up to a total of 2,000 participants to test the delivery of real-time notification alerts on Visa accounts.

The program, which is being conducted in cooperation with some of the largest North American issuers, is designed to enhance the consumer payment experience by alerting cardholders in real-time or near real-time of transaction activity on their Visa account - typically within seconds rather than hours or days. Participants will receive notification alerts from Visa through email or Short Message Service (SMS) delivered directly to their mobile devices.

Based on Visa's state-of-the-art transaction authorization system, and its ability to analyze and conduct risk score transactions "in-flight," the service allows Visa cardholders to set thresholds that will trigger a transaction alert. Alert types that Visa cardholders may choose in the pilot include:
cash withdrawal from an ATM machine;

  • a transaction initiated cross border;
  • an Internet or telephone transaction and
  • a transaction that exceeds an amount that has been chosen by the cardholder.

Through the alert received via email or SMS text, cardholders can verify the transaction details, and if the transaction appears to be irregular, can immediately contact their bank to help stop further transactions on the card. The service is designed to help cardholders keep closer track of their transactions and spending levels as they go about their daily routine. According to a recent Javelin Strategy & Research report, consumers view timely alerts as a valuable resource to help detect fraud.

TD Bank Financial Group, Vancity and Visa Canada are members of ACT Canada; please visit http://www.td.com; http://www.vancity.ca & http://www.visa.ca.

M-payments & NFC: Now, Near or Never? Find out what you need to know about emerging payments.
Join us at Cardware 08 - Securing Payments, October 8 -9 in Kitchener-Waterloo

3. ONTARIO GIVES CITY $7 MILLION FOR TRANSIT SMART CARDS
Source: Contactless News (07/02)

Ottawa transit riders should be able to chuck their plastic passes and paper tickets by 2011 after the provincial government handed the city $7 million toward a $21-million smart card system.

The announcement was made by Ottawa West-Nepean MPP Jim Watson, who is also minister of municipal affairs and housing.

The cards would store either transit passes or a cash value, with card readers on buses and O-Train platforms. They would be replenished online, by telephone, by pre-arranged direct debit or at OC Transpo sales offices and vendors. Enforcement officers would have portable smart card readers to ensure proof of payment.

In 2007, councillors set aside $14 million for the system, which will be fully integrated with Gatineau's transit system. In the future, city officials say they hope to turn the smart card system into a citywide payment vehicle that can be used to book recreation spaces, pay library fees and purchase other city services.

4. MASTERCARD, CITI CARDS, BELL MOBILITY TRIAL MOBILE PAYMENTS
Source: www.intomobile.com (08/25)

MasterCard, Citi and Bell Mobility are in the midst of trialing contactless payments with mobile phones. About 24 million locations such as fast food restaurants, gas stations, grocery stores and convenience stores, which accept MasterCard PayPass are involved in the pilot program. No signature is required for purchases under 50 bucks - all you have to do is place your mobile phone near the payment reader and watch your balance going down.

As for the security, MasterCard argues contactless payments are as safe as traditional card payment transactions. Contactless payments also provide more consumer control, since the mobile phone doesn't have to leave your hands to be swiped by a merchant/retailer. All PayPass enabled mobile phones are protected with Zero Liability coverage for any fraudulent transactions. The trial runs until November 2008.

Citi Card Canada & MasterCard Canada are members of ACT Canada; please visit http://www.citicards.ca & http://www.mastercard.ca.

5. GEMALTO WEB SERVICE ENABLES PERSONALIZED PHOTOS ON PLASTICNOW MASTERCARD CARDS IN CANADA
Source: Gemalto (07/31)

Gemalto announced it will provide its CardLikeMe™ service to PlasticNow, giving consumers the flexibility to customize their PlasticNow prepaid MasterCard® with the photo of their choice. Gemalto has exclusively supplied payment cards and personalization services from its secure center in Burlington, Ontario to Canada-based PlasticNow since 2006.

Allynis CardLikeMe is completely Web-based; cardholders simply connect to the PlasticNow Web site, upload images directly from their computer and order their card instantly online. They can adjust their photo with an easy-to-use and intuitive interface. They can move, zoom, rotate or focus on one part of the picture to ensure that their card is personalized to their exact specifications.

PlasticNow is one of Canada's first and leading providers of prepaid card solutions, through an issuing partnership with Peoples Trust Company.

Gemalto and MasterCard Canada are members of ACT Canada; please visit http://www.gemalto.com & http://www.mastercard.ca.

6. INGENICO ANNOUNCES CLASS A CERTIFICATION FROM CHASE PAYMENTECH SOLUTIONS FOR ITS NEW TERMINALS
Source: Ingenico (08/12)

Ingenico announced that they have received Class A certification for their payment transaction terminals running the new EuroPay MasterCard Visa (EMV) application created for Chase Paymentech Solutions. The Ingenico i3070, i5310 and i7780 terminals, running the EMV application, will allow Chase Paymentech merchants to accept chip-enabled credit cards.

Ingenico's i5310, i3070 and i7780 are chip-enabled products using the new EMV application. The terminals prompt users of chip-enabled cards for a PIN number on credit card transactions. The i7780, featuring Ingenico's Pay@Table solution, is a portable and secure payment terminal that allows the server to bring the payment terminal to the table. The i5310 adds the convenience of a built-in, secure PIN pad. The i3070 allows the merchant to locate the terminal out of reach of the consumer for aesthetic or environmental reasons while providing an easy-to-use key pad that can be handed directly to the customer.

Ingenico is a member of ACT Canada and an exhibitor at Cardware 08: Securing Payments; please visit http://www.ingenico.com.

Where can merchants turn for help with POS & new payment option questions?
Join us at Cardware 08 - Securing Payments, October 8 -9 in Kitchener-Waterloo

7. MOBILE PAYMENTS - TRUST IS KEY - Members Only Access

Available in the ACT Canada Members Only section of our web site. Click on the link below to access this section.
http://www.actcda.com/members-only/members-only-news/

If you are a member of ACT Canada but do not have your login details please contact me - andrea@actcda.com.

8. CARDWIZARD ENABLES EMV INSTANT ISSUANCE AT RETAIL STORES
Source: Dynamic Card Solutions (08/05)

Dynamic Card Solutions (DCS) announced that the company's solution can now be used by financial institutions and their retail partners to issue chip-based Visa® and MasterCard® co-branded credit cards instantly at retail store locations.

Integrating seamlessly with core applications, card management systems and data preparation systems, DCS makes it easy for retail stores to quickly set up individual kiosks or member service areas in store or franchise locations. As with traditional credit cards, customers who want to sign up for an EMV credit card must complete the application process.

Once approved, the customer instantly receives a personalized, activated EMV store credit card that can be used for a store purchase within the same visit. Retailers have the option to attach store promotions, reward programs or first-time discounts to individual cards which increases the sales penetration of the card program.

"Thanks to contactless and EMV cards capabilities, many financial institutions and retailers are recognizing the benefits of transitioning from magnetic stripe cards to smart card solutions which increase security and add multi-application functionality to their cards," said Spencer Clark, director of international markets for DCS. "In saturated credit card markets, instant issuance is a great differentiator. Retail locations are an optimal place for financial institutions to capture new clients and deliver co-branded EMV cards; those retailers who can instantly issue these cards increase customer satisfaction, activation rates and profits."

Instantly issuing EMV credit cards at the branch or in retail point of sale locations eliminates the cost of hiring a third party vendor to issue a plastic card as well as associated delivery risks and costs. With instant issuance-which requires customers to present identification in order to receive a new or replacement card-financial institutions provide an added level of security to protect customers' personal and financial information.

Additionally, by allowing retail customers to offer instantly issued chip-based credit cards, financial institutions can begin to recognize the benefit of interchange revenue sooner because customers have instant access to the open-loop credit cards.

Dynamic Card Solutions is a member of ACT Canada and an exhibitor at Cardware 08: Securing Payments; please visit http://www.instantissuance.com.

9. GIESECKE & DEVRIENT SUPPLIES PASSPORTS AND DRIVER'S LICENSES TO THE REPUBLIC OF KOSOVO
Source: ICMA News(07/31)

Five months after proclaiming its independence, the Republic of Kosovo has begun to issue passports to its citizens. The Kosovar Ministry of Internal Affairs awarded the contract to produce and supply 600,000 passports and 400,000 driver's licenses to Munich-based security technology group Giesecke & Devrient (G&D). The high-security travel documents were developed and produced in a record-breaking three months. The first batch of new credit-card-sized driver's licenses is scheduled for delivery in the fourth quarter of this year.

"These passports represent a basic legal condition for an independent Kosovo. They also serve a symbolic purpose for our country: they strengthen our national identity," stated Zenun Pajaziti, Minister of Internal Affairs of the Republic of Kosovo. "Kosovo has around 2.1 million inhabitants in total. With these modern identity documents, we can enable many of our citizens to enjoy more mobility in international travel."

"The passports and driver's licenses combine present-day designs with cutting-edge security technologies and set new standards throughout Europe," said Hans Wolfgang Kunz, Group Executive for Government Solutions at G&D.
Giesecke & Devrient is a member of ACT Canada and an exhibitor at Cardware 08; please visit http://www.gi-de.com.

Need to learn more about border crossing, identity management & government card projects?
Join us at Cardware 08 - Securing ID, September 23rd in Ottawa

10. CPI CARD GROUP TO MANUFACTURER FIRST WOOD KEY CARD FOR DEMOCRATIC NATIONAL CONVENTION
Source: ICMA News (08/21)

CPI Card Group announced that it is working with Sustainable Cards LLC, to provide the most environmentally sensitive electronic key cards for the 2008 Democratic National Convention in Denver, Colorado. As part of the host committee's commitment to organizing the greenest political convention in history, they have selected sustainably harvested wooden key cards for the approximately 70,000 hotel key cards that will be produced for convention visitors.

Just being introduced to the U.S. now, the wooden key and gift cards have been used successfully in Europe for nearly 10 years. The environmental benefits of using this wood alternative include:

  • Wood turns into non-toxic dirt to enrich the soil as it decomposes.
  • The wood used comes from forests that are managed for sustainability.
  • The wood card is composed of over 95% unaltered organic plant material and completely biodegrades.

Biodegradable wood key cards are one of the most cost-effective and visible green initiatives available to hotels today. By switching their key cards to biodegradable wood, hotels can reduce their harmful waste dramatically, while at the same time enrich the soil with eco-friendly material.

CPI Card Group is a member of ACT Canada and an exhibitor at Cardware 08: Securing Payments; please visit http://www.cpicardgroup.com.

11. INSIDE CONTACTLESS APPOINTS INDUSTRY VETERAN TO VP SALES AND BUSINESS DEVELOPMENT, CANADA
Source: ICMA News (07/31)

Continuing to build its strength in the Canadian smart card market, INSIDE Contactless, the world leader in advanced contactless microprocessor platforms, announced the appointment of Kim Madore to the position of vice president, sales and business development, Canada. In her new role, Kim will bring her extensive industry background and experience to bear on leading INSIDE's expansion into Canada, introducing products and building and maintaining strategic relationships with key customers, bank card issuers, card associations and others in the Canadian payment and NFC markets, as well as in other payment-related application areas.

"Kim brings hands-on managerial experience and an intimate knowledge of the technologies and market dynamics of the industry to INSIDE Contactless, and we are very excited and appreciative to have her here to help us make the most of the substantial opportunities we believe this emerging market will present," said Didier Serra, general manager and executive vice president of sales, North America at INSIDE Contactless. "As contactless payments take off in Canada, fueled by recent retail successes and a major national migration towards EMV standards, Kim will be leading our charge to deliver cost-effective, high-performance solutions for both traditional and dual-interface cards."

INSIDE Contactless is a member of ACT Canada and an exhibitor at Cardware 08: Securing Payments; please visit http://www.insidecontactless.com.

12. PHILIPPINES PENSION SCHEME USES VOICE BIOMETRICS - Members Only Access

Available in the ACT Canada Members Only section of our web site. Click on the link below to access this section.
http://www.actcda.com/members-only/members-only-news/

If you are a member of ACT Canada but do not have your login details please contact me - andrea@actcda.com.

13. LASERCARD CORPORATION RECEIVES FOLLOW-ON ORDER FOR SAUDI ARABIA NATIONAL ID CARD PROGRAM
Source: ICMA News (08/07)

LaserCard Corporation announced a follow-on purchase order valued at $2.8 million to supply secure identity cards for the Kingdom of Saudi Arabia's National ID Card program. This brings the total value of orders received for the program since April 1, 2008 to $7.4 million.

The $2.8 million order is for the continued supply of optical smart cards to be issued via offices in cities throughout Saudi Arabia. Deliveries under the order are expected to be completed during the current calendar year.

LaserCard Corporation is a member of ACT Canada and an exhibitor at Cardware 08: Securing ID; please visit http://www.lasercard.com.

Need to learn more about e-healthcards, identity management & government card projects?
Join us at Cardware 08 - Securing ID, September 23rd in Ottawa

14. CANADIAN BROKERAGE ROLLS OUT BIOMETRIC VOICE AUTHENTICATION
Source: ePaynews.com (08/15)

Canada's TD Waterhouse Discount Brokerage is rolling out voice biometric authentication from U.S-based Nuance Communications to protect its customers' transactions. The telephone and online brokerage is a subsidiary of TD Canada Trust, one of Canada's top five banks.

Biometric technology uses a person's unique characteristics, for example retinal patterns, to verify their identity. The TD Waterhouse Voice Print System allows clients to create a unique voiceprint, which is converted into a mathematical representation of their voice, then stored on file and used to verify their identity.

"Rollout of Voice Print will take place this summer and early fall in Canada," a TD Waterhouse spokesperson tells ePaynews. "Our target enrolment is a majority of our telephone client base within the first year." The spokesperson declined to say how many of the discount brokerage's clients are already using the technology.

TD Waterhouse says it is the first discount brokerage in Canada to use voice biometric authentication.

The firm has over 1 million discount brokerage clients in Canada, of whom almost a fifth access their account by telephone.

TD Bank is a member of ACT Canada; please visit http://www.td.com.

15. BANKING ON THE 'UNBANKED' - Members Only Access

Available in the ACT Canada Members Only section of our web site. Click on the link below to access this section.
http://www.actcda.com/members-only/members-only-news/

If you are a member of ACT Canada but do not have your login details please contact me - andrea@actcda.com.

16. GFI ACQUIRES BELL BUSINESS SOLUTIONS
Source: GFI Solutions (08/05)

GFI Solutions Group Inc., a Québec-based leader in the field of IT services for business, announced its subsidiary, GFI Conseils Inc., has completed the acquisition of Bell Business Solutions Inc, a subsidiary of Bell Canada that offers a full range of Enterprise Resource Planning (ERP) solutions for Small and Medium Enterprises (SMEs) in the private and public sectors. These business solutions complement those that are already provided by GFI in these sectors. GFI completed the transaction with the financial participation of the Solidarity Fund QFL. This acquisition also propels the Company into the ranks of the largest IT consulting firms in Canada.

With this acquisition, GFI extends its services to include all companies in the public and private sectors across Canada for applications intended for the municipal sector, the health industry, and the manufacturing, distribution, and printing industries.

GFI Solutions is a member of ACT Canada; please visit http://www.gfisolutions.com.

For more information, please contact Andrea McMullen at 1 905 426-6360 ext 124 or email andrea@actcda.com.

Please forward any comments, suggestions, questions or articles to andrea@actcda.com. Please note that articles contained in this newsletter have been edited for length, and are for information purposes only.