Stakeholders Driving Payment Evolution and Digital Identity

Advanced Card Technology - Glossary of Terms

P 
PAN Primary Account Number  
PC Personal Computer  
PCMCIA Personal Computer Memory Card International Association  
PCS Personal Communication Systems  
PDA Personal Digital Assistant  
PIN Personal Identification Number  
PIV Personal Identification Verification  
PKCS Public Key Cryptographic Standards  
PKE Public Key Encryption  
PKI Pubic Key Infrastructure  
PKP Public Key Partners  
POS Point of Sale  
PVC Polyvinyl Chloride  
Package A physical container, case, or enclosure for the integrated circuit chip(s) in a Integrated Circuit Card.  
Packet-switching Network A data communication system in which data is conveyed in discrete units called packets. There are no dedicated physical circuits linking individual users. Transmission capacity is shared by interleaving packet traffic on the links of the network. Users pay on a traffic related tariff. Most payment systems use packet switching networks.  
Parallel Arrangement of transmitted data so that all bits in a byte travel altogether along a parallel electronic path. In serial mode, each bit follows the preceding bit in a single electronic path.  
Parity Bit A bit appended to the bit pattern for a character so that the number of bits in the pattern and parity bit combined is either even or odd, said to be even or odd parity respectively. ISO standard identification cards use odd parity on their magnetic tracks.  
Passive Chip Card An integrated circuit card containing no programmed processing elements.  
Password A value which must be quoted to gain access to a resource. Passwords are the simplest and least secure form of access control.  
Password Generation A method of generating a unique one-time password for a computer user based on a challenge-response sequence between a host and a device possessed by the user, e.g. smart card.  
Password Tokens Portable devices that contain chips, batteries, LCD and sometimes keypads. The devices are designed to generate a unique password for users logging on to computer systems and employ techniques known as synchronous or asynchronous password generation.  
Payment System Generally any system for processing payment instruments and settling consequential debts among the parties to the system. The term is now often used in a specific sense to refer to the computer networks and software systems used by the financial institutions involved.  
Payment Systems Environment The set of logical conditions established within the ICC when a payment system application conforming to these specifications has been selected, or when a directory definition file (DDF) used for the payment system application purposes has been selected. EMV
Payment Transaction The exchange of funds for goods or services.  
Personal Computer Memory Card International Association Association founded to standardize PC cards.  
Personal Identification Number (PIN) The code or password the cardholder utilizes for verification of his/her identity. ISO
Personal Identification Verification (PIV) Techniques used to test physical traits to validate an individual’s unique characteristics.  
Personalization The process of initializing a card with data that ties it uniquely to a given cardholder and account.  
PIN Generation The generation of PINs for allocation to cardholders. This has to be done under strict security to prevent fraud. Ideally PINS should be generated and allocated by a truly random process. In practice the process only appears random and must be designed very carefully to minimize risk of compromise by cryptoanalysis.  
PIN Pad A keypad for entering PIN values.  
Plaintext Intelligible data that has a meaning and can be read or acted upon without the application of a transformation. ISO
Point of Sale (POS) The location at which payment transactions occur for the exchange of value for goods or services.  
Point of Service The time and place of the delivery of a service.  
Polyvinyl Chloride Plastic used to make most plastic cards, including smart cards.  
Positive File Record of activated cards used for monitoring and control purposes.  
Positive List A description of account numbers and pertinent data for all active and issued account numbers. Some of these may also appear on a hot list.  
Pre-authorized Payment A payment for which the payer gives a mandate requesting or permitting the financial institution to debit his/her account with defined or variable amounts. Standing orders and direct debit are examples.  
Prepaid Card or Prepayment A card that is purchased with stored value for which the value is decrement when used.  
Prepaid Debit Card An application on an ICC which stores electronic value that is used as a payment method between an individual and a merchant. Value is placed on the card from the cardholder’s bank account and is decremented when used. ACT Canada
Primary Account Number (PAN) The assigned number that identifies the card issuer and cardholder. This number is composed of an issuer identification number, individual account identification, and an accompanying check digit, as defined in ISO 7812. ISO
Prior Authorization The acceptance of financial liability for services to be rendered by a provider to an individual by the payer. This does not automatically ensure payment.  
Private Key In asymmetric cryptography, the key which is held only by the user for signing and decryption.  
Private Label/Proprietary Card A card with the Issuer’s identification that is intended for use to obtain only those services that are available from that Issuer.  
Processing Fee A fee charged by a party in a payment system for processing transactions or settlements.  
Protocol A set of rules and procedures governing interchange of information between communication entities.  
Proton A smart card applications designer and system integrator, utilizing an electronic purse system.  
Provider Information System The provider’s system for collecting, generating, assembling, and transmitting information internally and externally.  
Proximity Card A non-contact card whose presence and contained data can be sensed by an interface device not in physical contact with the card. Such cards are often used in access control systems in which doors open automatically if an authorized person approaches carrying his card.  
Public Key That part of an asymmetric key set which is known to other parties than the generator of the key set. ISO
Public Key Certificate A set consisting of user credentials (including the public key) together with the trusted third party’s digital signature of these credentials. ISO
Public Key Cryptography & Encryption (PKE) An asymmetric cryptographic method using two different mathematically related keys for encryption and decryption. One key remains private and is maintained by the key generator. The other key, since it cannot be used to derive the private key is published.  
Public Key Infrastructure (PKI) Establishes security policies for a variety of network applications and services (i.e., digital certificates).  
Published Key In asymmetric cryptography, the key, which is published by the user to others for their use in verifying signatures and encrypting, messages.