Credit Union tech-talk News

June 16 - June 20, 2008

• General News
• Hardware News
• Software Updates
• ATMs/Kiosks
• Biometric Digest Highlights
• Wireless World
• Security Section
• Leaders Roundtable
• Technology and Marketing
• Online Banking/E-Commerce/
  Website Design
• Internet Access
• Call Centers
• Conferences

* uMonitor Adds CU Clients
* Perimeter eSecurity Acquires Edgeos
* ProfitStars Enhances RemitPlus
* JMAFCU Invests in Share One 
* Digital Dialogue Signs 10-Year Deal with FSCC

uMonitor, an innovative financial solution services provider for member acquisition and retention, announced that the company is continuing its rapid growth from 2007 in to 2008 with the addition of many new clients, such as CDC FCU, CFE FCU and Quincy CU. All of these credit unions selected its online account opening and funding service, uOpen & uFund. Also, a number of credit unions deployed uTransfer, a funds transfer solution, including Michigan First CU, Boeing Wichita CU, AmeriCu CU, Utah Community CU and Dort FCU.

Perimeter eSecurity, a top provider of complete eSecurity on demand, has acquired Edgeos, a leading provider of on demand, managed vulnerability services. The Edgeos managed vulnerability service suite has been fully integrated with Perimeter’s Vulnerability Management Solution Suite that includes server and desktop AV, Patch and Configuration Management, as well as a number of network-based and CPE-based security services. 

Jack Henry & Associates, a leading provider of integrated technology solutions and data processing services for financial institutions, announced that its ProfitStars division has enhanced RemitPlus, its enterprise payment system that automates electronic check deposits, with the Key-Pay Convene data completion solution provided by Orbograph. Key-Pay Convene automatically routes unreadable data to offsite, certified personnel for keying and supports virtually 100 percent of free-form, semi-structured text and all handwritten characters.

JM Associates Federal Credit Union (JMAFCU) in Jacksonville, FL has invested in the Share One CUSO. The credit union converted to Share One’s NewSolutions core processing system over six months ago and is reporting that Share One has exceeded its expectations with both NewSolutions as well as client service. 

Digital Dialogue, a PSCU Financial Services company and nationwide provider of 24/7 call center operations and software solutions to credit unions, has signed a 10-year contract extension with Financial Service Centers Cooperative (FSCC). FSCC, which Digital Dialogue first partnered with in 2003, is a cooperative credit union service organization (CUSO) providing a shared branching network of credit unions that share branches to serve members in remote or distant areas. 

Hardware News

Sun is predicting that flash is poised to be the next big thing where servers are concerned. Despite the considerably higher cost of solid state drives (SSD), Sun is arguing that they are really cheaper for high-performance I/O intensive applications. As such, it will be releasing a 32GB flash storage drive this year as well as making it available as an option with its servers. Sun notes that "SSD drives consume one-fifth the power and are one hundred times faster than rotating disk drives."

It can be somewhat tricky for smaller credit unions to size and setup uninterruptible power supplies for their small to midsize server rooms. There is an online tool on APC’s website that can help you get a better idea of your power requirements, plus we will provide some pointers in the July issue of Credit Union tech-talk - subscribe now.

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ATMs/Kiosks

Korean ATM manufacturer Nautilus Hyosung says that they have directly sold more than 20,000 units in the United States since early 2007. While still essentially a retail-ATM company, Nautilus Hyosung is pushing into the financial institution market with their MoniMax line, which they say offer all of the features and functions that FIs require. The MoniMax 5100T is a through-the-wall FI-geared ATM designed for offsite locations, while the MoniMax 5300 is a new FI-geared product expected to hit the market this fall. This unit can be upgraded with sidecars to offer billpay and check imaging. Finally there is the MoniMax 7600, a full-function lobby machine that is Check-21 ready, is expected to come out in the fourth quarter. 

Diebold has partnered with VALID Systems to add the VALID check-cashing solution to the their portfolio of managed services. Diebold says that it provides financial institutions with a low-risk, low-cost-of-entry solution for broadening check-cashing services in their communities. VALID's Internet-driven identity verification system allows check-cashing services to be performed at the teller or through deposit-capable ATMs. 

CO-OP Financial Services has introduced a service intended to free credit union staff from daily ATM terminal maintenance chores. Included among the CO-OP ATM Management features are:

. Telecom equipment installation coordination and ongoing support - communication protocol knowledge with TCP/IP, dial-up, leased line and wireless options 
. Hardware and software management - installing new devices and upgrading existing devices
. Cash support - scrutinizing all cash levels, including cash replenishment, emergency cash deliveries and adjustments at individual machines
. Deposit processing - from envelope deposits to ATM image proofing
. First- and second-line maintenance - monitoring all devices and terminal alarms, managing service needs and ensuring your members have uninterrupted access to cash

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According to speech software specialist Nuance, the main British banks plan to introduce voice recognition over the next year as a way of deterring card fraudsters. The firm predicts that about 20 million people in the UK will be registered with some kind of voice biometric system. They say that the technology is about 97% accurate, but will be used in conjunction with another form of identification, such as a password. Initial use of the program will be introduced in call centers for when consumers call in to check their accounts or transfer money. 

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Nielsen Mobile reports that commerce over mobile devices is accelerating in the US. According to Nielsen, "9 million US mobile subscribers say they have used their mobile phone to pay for goods or services, and half of all data users (49 percent) say they expect to participate in mobile commerce in the future." Not surprisingly, adults ages 25-34 are the most likely to have made a purchase using their phone: 5.4 percent (3 million) of adults ages 25-34 have made a purchase, compared to 3.6 percent of all mobile subscribers. 49 percent of mobile data users, those subscribers who have used one or more data features on their phone such as text messaging or the mobile internet within the past 30 days, say that it is likely they will conduct mobile commerce in the future.

Even with the positive news from Nielsen, many consumers are still reticent about using their mobile devices for m-commerce and mobile banking. Security remains consumers’ biggest concern, according to a Unisys survey. In the U.S., 37 percent of respondents dubbed their devices very or somewhat secure, while 55 percent said not very or not at all secure. 

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Credit union IT managers that deploy virtual servers might want to check out a free tool that promises to ensure virtual servers are configured for optimal security. ConfigCheck is a free utility that downloads to a desktop and compares active virtual server configurations against best practices guidelines development by VMware. The tool was jointly released by VMware and configuration management software maker Tripwire. ConfigCheck is equipped with VMware-specific configuration information to enable IT managers to more quickly - and with less manual effort - determine if ESX servers in their environment are configured properly for security, compliance and performance. The ConfigCheck tool is based on VMware's own security hardening guidelines for ESX Server and future releases will also support VMware's Infrastructure 3 products. 

Austin-based Mirage Networks announced the introduction of a new appliance that brings NAC coverage in the form of a plug-and-play appliance. This new network access control appliance is called the MAX-500, and the firm claims that it offers all components of a full-cycle NAC solution in a single, low-cost appliance.

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Online Banking:

Online Banking…. Catering to Your Most Desirable Members

Digital Resolve - http://www.digital-resolve.net Read Dennis Maicon's comments: http://www.cunews.com/roundtable/DigitalResolve.pdf

Exstream - http://www.exstream.com   Read Jerry Driscoll's comments:   http://www.cunews.com/roundtable/Exstream.pdf

Fiserv - http://www.cu7.fiserv.com Read Dave Selina's comments:     http://www.cunews.com/roundtable/Fiserv.pdf

Fiserv - http://www.cu7.fiserv.com Read Jay Slavin's comments:     http://www.cunews.com/roundtable/Galaxy.pdf

Gartner - http://www.gartner.com   Read David Schehr's comments:   http://www.cunews.com/roundtable/Gartner.pdf

Harland Financial Solutions - http://www.harlandfinancialsolutions.com   Read Peter McKellar's comments:   http://www.cunews.com/roundtable/HFS.pdf

Microsoft - http://www.microsoft.com   Read Marley Gray's comments:   http://www.cunews.com/roundtable/Microsoft.pdf

Open Solutions - http://www.opensolutions.com Read Michael Nicastro's comments: http://www.cunews.com/roundtable/OSI.pdf

uMonitor - http://www.umonitor.com   Read Dinesh Sheth's comments:   http://www.cunews.com/roundtable/uMonitor.pdf

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According to results from a recent SYNERGISTICS online survey, 69% of Web surfers who visit YouTube, Yahoo Video and Google Video respond positively to financial institutions using these sites to convey information about their products. Meanwhile, 36% say it’s OK, but a little unusual because most people go to those sites for entertainment not information. Another one-third (34%) say it’s a useful and effective channel for reaching consumers. However, 12% say it is a waste of time, while 7% actually feel that an institution would be risking its reputation and credibility by placing a video on a site like these. SYNERGISTICS concludes that "while consumers generally respond positively to providers using video sharing sites for relaying product information, they may need to be cautious about posting content on these sites because of the potential for negative feedback in a very public forum."

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MoneyAisle.com has opened its virtual doors for its deposit auction site. To initiate an auction, buyers set the amount of money they wish to invest in a high-yield savings account or CD, as well as the duration of the CD term. The auction begins immediately and participating financial institutions bid for the consumer's unique set of needs. If the consumer is pleased with the rate secured and decides to invest in the CD or high-yield savings account, they have the option of taking the next steps to do so directly with the winning institution. 

According to research from the Star network, the use of debit cards for point-of-sale purchases is rising sharply, while cardholders continue to prefer PIN debit over signature debit. Their research revealed that 54% like PIN, 38% prefer signature, and 6% have no preference. The study also asked those respondents who had not used their debit cards for POS purchases within the past 30 days what features would encourage them to start using their cards at the cash register. Scoring highest on this list was fraud protection and assurances of no liability for fraud (70%), followed by ease of use (68%). The lowest scores were registered by avoiding pocket change (34%), attraction of the latest technology (32%), and family-member sharing of cards (26%). 

Jwaala, the creator of MoneyTracker, has added HomeDeposit to its line of online technologies for credit unions. While HomeDeposit has been a feature available within Jwaala’s MoneyTracker since 2007, the technology is now being offered as an independent solution available to any credit union wanting to roll out a full-featured member home deposit solution.

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Seattle-based Speakeasy announced a new data service called Business Ethernet, which will offer small businesses 10 Mbps symmetrical bandwidth. Unlike most cable and DSL offerings, which provide high download speeds but slower upstream connections, this new service offers 10 Mbps in both directions. The company says that Business Ethernet provides faster bandwidth than a Bonded T1 while costing less than a fractional DS3. Business Ethernet is priced at $1,295 per month. Installation is free and all hardware is included in the price. The service will be available in 22 major metropolitan markets.

8x8, the provider of Packet8 business, mobile and residential communication services, has introduced a broadband agnostic IP trunking solution called Packet8 Virtual Trunking. According to the company, the solution is designed to enable businesses to benefit from the cost efficiencies of VoIP while retaining their existing phones and phone system hardware and optimizing the use of their existing connectivity to the Internet. For the installation and the equipment, the list price is $1,500, with a $500 discount for a one-year contract and a $1,000 discount for a two-year contract. The monthly recurring cost is $25 per line, and that includes 500 minutes per line, and it runs 3.5 cents per minute above 500 minutes.

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UpTake 2.0 is a call center analytics solution from Upstream Works. The software provides a variety of analytic views - in fact, it delivers more than 70 drillable analytic views. The software captures metrics such as weighted cost per incident, First Contact Resolution and agent solve rate. The company says that their system allows call centers to obtain the meaningful business answers needed to manage the caller experience and improve agent performance.

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Catch Tom and Bill Rogers, Associate Editor of Credit Union tech-talk at the following conferences in 2008:

October 15-18, Las Vegas - Firefighters' National Credit Union Summit

November 13-15, New Orleans - Credit Union InfoTech Conference

June 4-5, Lake Las Vegas - Credit Union InfoSecurity Conference

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