Credit Union tech-talk News

November 6 - November 10, 2006

• 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

* Corillian & uMonitor Partner for Online Account Opening & Funding Services
* Xpress Data Rolls Out Secure Forms 
* Arcot & Yodlee Partner To Provide Multi-Factor Online Security
* Mid-Atlantic Corporate FCU Selects Green Armor Solutions 
* Atlanta Postal CU Signs with Scentric

Corillian Corp., a top provider of online banking, payment and security solutions to the financial services industry, and Parsam Technologies, the provider of uMonitor financial services for online member acquisition and retention, announced a partnership to combine Corillian's leading online banking services with uMonitor online account opening and funding, funds transfer, premium account aggregation and other services.

Xpress Data, Inc. (XDI), a leading printing and mailing services provider for credit unions, has developed a secure notice service offering that includes a feature that alerts members to any tampering with a credit union document they receive in the mail. Dubbed XpressNotice Secure Forms, XDI’s innovation involves a special tamper-evident document zone that conceals the member’s PIN, password or other confidential information.

Arcot Systems, a leading provider of multi-factor authentication, credential management, and digital signature solutions, announced a partnership with Yodlee to deliver multi-factor authentication capabilities with the full suite of Yodlee’s solutions and services. Arcot and Yodlee will integrate the Arcot RiskFort risk management and Arcot WebFort multi-factor authentication solutions with the full suite of Yodlee applications. 

Mid-Atlantic Corporate Federal Credit Union, which services over 1,200 credit unions and has over $2 billion in assets, announced that it has selected Green Armor Solutions to implement two-factor and mutual/site authentication for the online banking systems of its member credit unions. Green Armor Solutions' Identity Cues series of enterprise software products leverages a combination of psychology and technology to meet FFIEC and NCUA security guidelines.

Scentric, a provider of universal data classification solutions for Information Governance and IT infrastructure optimization, announced that Atlanta Postal Credit Union will implement the company’s Destiny R2 information management and classification system. Scentric’s classification engine will automatically analyze the credit union's computing environment and move any files with personal financial information to an encrypted storage area.

Hardware News

Dell last week rolled out the first of its AMD-based servers, breaking its once-exclusive ties to Intel. The PowerEdge 6950 ($6,500) and PowerEdge SC 1435 ($1,300) servers are four- and two-socket servers that use the AMD Opteron chip set. According to Dell, the PowerEdge 6950 uses 20% less power than previous generation Dell Intel Xeon-based servers. The SC1435 is 128% faster than previous Dell Xeon-based PowerEdge computers. 

Meanwhile, Dell's biggest rival Hewlett-Packard is busy rolling out new Microsoft Vista-ready PCs. The models are: HP Compaq dc7700, dc5700, and dc5750. Each one includes a tower and smaller form factor options, a wide variety of CPU, RAM, and disk options, and power saving options. The security part of the new models include a mix of TPM 1.2 (Trusted Platform Module) for embedded security, free RAID-1 support for mirrored hard drives, pre-boot security passwords that lock the disks, and some remote security management tools. 

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ATMs/Kiosks

ProfitStars is offering ATM deployers an integrated software system that enables them to proactively manage their ATM channels in an automated, centralized environment. This modular system called ATM Manager Pro supports every aspect of ATM channel management by consolidating ATM-related information into a centralized database. The various modules include: Asset and Site Management; Financial Analysis; Cash Management; and Event Management.

JBM Electronics, a provider of wireless routers to the ATM and POS markets, announced the availability of the C120 router. This latest addition to JBM’s Gateway Series of virtual private network (VPN) access routers is designed for remote ATM/kiosk, backup or temporary connectivity for VPN, Frame Relay and multiprotocol label switching (MPLS) networks. The C120 router functions with 3G networks provided by Sprint, Verizon Wireless and Cingular. 

Looking to increase Brand Recognition and provide members with surcharge free ATMs?

Nationwide Money Services, Inc.’s Branded Cash Program is the answer. Fully endorsed by the VA Credit Union League and the CU 24 Network, our Branded Cash Program provides the ATM equipment, great locations, processing, maintenance, insurance, marketing rights and surcharge free transactions for your members, you only provide the cash and cash services for the ATM just as you would if you owned them. The ATMs look and act like your own, extending your reach or filling out your current market.

Our current CU partners include: AEDC, Beacon, Bronco, Carolina Collegiate, Educators, Freedom First, Food Lion Credit Association, Heritage Trust, Martinsville Dupont, NSWC, Old Hickory, Peoples Advantage, Southeast Financial and US Courthouse.

NMS also offers their ‘ATMs Made Easy’ Program for full service ATM management and placement services if you like the idea of having ATMs, but don’t want the hassle of day to day management and the associated costs for maintenance and unplanned expenses like triple DES.

For more information about the Branded Cash Program contact Bob Colabrese, EVP of Sales & Marketing at:

904-395-1147 or

bob.colabrese@GLXS.biz

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San Francisco-based Pay By Touch is targeting credit unions with their biometric fingerprint identification system. Specifically, the system is geared towards check cashing, and can be used by members and the general public. In action, a user must register their fingerprint at one of the branches and each time they come in to cash a check they touch a scanner, which establishes identity. 

Equity research firm Morgan Keegan has come out with a Biometrics Industry Overview 2006 report. It provides an excellent overview of biometric technology and is available here:
http://morgankeegan.com/G.asp?S=AEF7F2D6-1B8A-4A13-993F-5DAE39F048AA 

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According to Visa, US consumer purchases of less than $15 represent more than $1 trillion in annual spending, but consumers use cards for less than 1 percent of that amount. That is why both Visa and MasterCard are anxious to make it as easy as possible to pay for small ticket items wirelessly. MasterCard has moved into a second test of mobile phones enabled by near-field communication (NFC) technology with a contactless-payment pilot in Dallas. With NFC, chips in mobile phones can link automatically with point-of-sale transceivers, posters, or other media also equipped with NFC chips and perform two-way communication. The technology works only at extremely close range, typically around 4 centimeters. 

3G routers accept an incoming 3G connection from the outside world to serve a number of Ethernet ports or local wireless access at a remote or temporary location. SonicWALL's TZ190 is more than just a 3G router connects to any carrier’s EV-DO or UMTS/HSDPA 3G network service (speeds of up to about 700Kbps) via PC Card, it includes the security capabilities of SonicWALL's existing TZ range to make it a fully functional unified threat management (UTM) device. This includes deep packet inspection as standard and, at an optional extra cost, intrusion protection, anti-spyware and gateway anti-virus. These options are pre-installed, but an additional fee is required to turn them on. In addition, the TZ190 can run off a 12 volt power supply such as a battery or a cigarette lighter socket, underlining its suitability for use in remote and temporary locations. 

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According to the Ponemon Institute's "2006 Cost of Data Breach Study," data breaches are becoming more expensive. The 2006 average was $182 per compromised record, including the cost of detection, escalation, notification, and follow-up help to victims. The Ponemon Institute's 2005 study cited a figure of $132 per record. The study concludes that the "most salient costs result from the diminishment of confidence and trust in the company, which translates into abnormal or unexpected customer turnover. Our work supports the notion, 'an ounce of prevention is worth a pound of cure.'" 

Microsoft has developed network-scanning technology, internally known as Spider, that scans PCs for security vulnerabilities and ensures that the latest patches are installed and that PCs have the required software to put them in compliance with corporate IT policies. It is "agentless," which means installation of additional software on the client is not required, and Microsoft is now looking at adapting it for its Forefront line of security products.

Host Intrusion Prevention Systems (HIPS) add another valuable layer to any credit union's defense in depth strategy. We will cover some HIPS vendors in the December issue of Credit Union tech-talk - subscribe now.

We don’t just offer a world of authentication choices. We offer a world of experience.

Take the anxiety out of choosing an authentication solution by turning to the provider that offers the proven solutions, practical experience, and resources to make your deployment successful. With RSA Security, you can rest assured you’re implementing the same solution being used by more than 50 leading institutions — large and small. You have the backing of a well-resourced company committed to supporting you along the way — from technical integration to end-user experience. And, you benefit from the widest selection of authentication methods, including:

• Transparent risk-based authentication—Thanks to the industry’s lowest false-positive rate legitimate users are protected, but not bothered. That means fewer calls to your care centers and less drain on your bottom line.
  
• Visible site-to-user authentication– Widely-deployed “shared secret” technology increases your members’ confidence in transacting online by assuring them that they’ve logged on to your legitimate site.
  
• Tangible one-time password authentication — time-synchronous technology provides peace-of-mind to members who are more prone to risk, and those who prefer more tangible security.

For more, download the Tower Group Report: Doing the Right Thing: Bank of America Voluntarily Implements Strong Online Authentication

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CORE SYSTEMS: 

Getting Upgrades and Conversions Right

AFTECH - http://www.aftech.com   Read Joseph Antellocy's comments: http://www.cunews.com/roundtable/AFTECH.pdf

COCC - http://www.cocc.com   Read Marco Bernasconi's comments:   http://www.cunews.com/roundtable/COCC.pdf

CU*Answers - http://www.cuanswers.com   Read Randy Karnes' comments:     http://www.cunews.com/roundtable/CUAnswers.pdf

Enhanced Software Products - http://www.espsolution.net   Read Matt Lefler's comments:     http://www.cunews.com/roundtable/ESP.pdf

GalaxyPlus - http://www.galaxyplus.com   Read Vince Francone's comments:     http://www.cunews.com/roundtable/GalaxyPlus.pdf

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

IntegraSys - http://www.integrasys.fiserv.com Read Albert J. Ku's comments: http://www.cunews.com/roundtable/IntegraSys.pdf

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

Summit Information Systems - http://www.summitsite.com   Read Kevin Sparks' comments:   http://www.cunews.com/roundtable/Summit.pdf

Symitar - http://www.symitar.com   Read Kathy Hooker Burress' comments:   http://www.cunews.com/roundtable/Symitar.pdf

USERS - http://www.users.com   Read Terry Murphy's comments:   http://www.cunews.com/roundtable/USERS.pdf

XP Systems - http://www.xpsystems.com   Read Janet Wall's comments:   http://www.cunews.com/roundtable/XPSystems.pdf

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RightNow Technologies has come out with RightNow 8 which is the latest version of their customer relationship management (CRM) suite. The company says that the new version allows you to establish complementary processes for developing workflows for how your credit union communicates with members, and for configuring information that agents see on their computer screens as they assist members. For example, the suite's Workspace Designer module enables you to determine how you display information, such as members' records or agents' to-do lists, on agents' screens. RightNow Feedback lets you set up surveys that you present through an on-line form, by e-mail, or through RightNow's speech recognition system. The suite's reporting module, RightNow Analytics, incorporates more than 500 pre-built reports and furnishes you with a drag-and-drop interface you can use to create your own reports. 

Credit unions looking to establish a prepaid card gift card program in time for the holidays may want to consider the CO-OP Financial Services' new program. CO-OP GiftCards will include cards, web activation, card packaging, transaction processing, database management, reporting, member support and turnkey marketing. 

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A recent survey by Lieberman Research Worldwide on consumer bill payment behaviors, a follow-up to a study announced in 2004 that first introduced Americans to six segments of bill-payer personalities, found that consumers today are more trusting of the Internet, particularly when it comes to financial management, and that there has been a significant, positive shift in several of the bill payment behavioral categories. Thirty-seven percent of 2006 respondents indicated they agreed that paying bills online is safer than paying them by mailing a paper check, as opposed to just 24 percent in 2004. This is an increase of more than 50 percent. "It has been shown that 90 percent of known-cause identity fraud happens through offline channels," said James Van Dyke, founder of Javelin Strategy & Research. "It's rewarding to see that consumers now understand that using an electronic billing and payment program is not only safe, but is one of the best things they can do to help protect themselves from identity fraud." 
Proginet Corporation, a developer of enterprise security software, said that they are offering credit unions an FFIEC-compliant two-factor authentication solution. Proginet offers a Web single sign-on solution, SecurAccess, which combines with third-party hardware tokens from VASCO Data Security International to deliver strong user authentication. 

According to Callahan’s Internet Strategy Consortium, credit unions in the $5 million to $50 million asset range have been rapidly getting on the online banking bandwagon. Case in point: since June of 2001, the percentage of credit unions in this range offering Internet-based home banking rose from 27.4% to 63.7%.

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The major telecommunications companies offer branch office solutions that combine professional and hosted services, however the major carriers are not the only ones who can fill the voids in serving branch offices. In fact, there are a growing number of options emerging for hosted, managed and professional services to the branch. Learn about them in the December issue of Credit Union tech-talk - subscribe now.

Security website Dark Reading has come out with "The Ten Most Dangerous Things Users Do Online." This list is arranged in descending order of peril, based on votes received from the experts and analysts who make up Dark Reading’s editorial advisory board. 
1) Clicking on email attachments from unknown senders 
2) Installing unauthorized applications 
3) Turning off or disabling automated security tools 
4) Opening HTML or plain-text messages from unknown senders 
5) Surfing legally risky websites 
6) Giving out passwords, tokens, or smart cards 
7) Random surfing of unknown, untrusted Websites 
8) Attaching to an unknown, untrustworthy WiFi network 
9) Filling out Web scripts, forms, or registrations 
10) Participating in chat rooms or social networking sites 

There are many big-name players in the Voice over Internet protocol (VoIP) market, but the cost and complexity of their product lines often put them out of reach for small and midsize credit unions. Here are two vendors whose technology is strong and prices affordable:

1. Digium is the creator and primary developer of the Asterisk open-source VoIP platform. The Huntsville, Ala.-based company early next year plans to begin offering its first hardware appliance, targeted at offices with two to 50 users. It also recently launched version 1.4 of its software, the first major release in nearly a year. 
2. Allworx is focusing exclusively on phone systems for small businesses. The company recently launched its new Allworx 24x, a phone system for fewer than 100 users. The new model includes features such as multiple conference-call bridges, voice mail, auto-attendant, remote-user capabilities and an integrated router and firewall. 

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Aheeva's Contact Center Suite is based on the aforementioned Asterisk IP-PBX, an open source PBX/telephony application for Linux. Aheeva CCS 2.2 requires only a Web browser for access, making remote monitoring, management and analysis possible anywhere with an Internet connection. The new version has recently been updated with support for low bandwidth, more versatile quality monitoring, and more security. 

Florida-based CAMPUS USA Credit Union is an early adopter of VoIP in their call center having gone live with a full VoIP suite five years ago. CAMPUS USA was an early customer of Interactive Intelligence and currently supports a 20-agent call center at its inbound/outbound center, plus about 100 branch office member service agents. In addition to toll and cabling savings, the credit union enjoys a strong disaster recovery service. In the event of a disaster such as a hurricane, the credit union's IVR system and circuits are switched to Interactive Intelligence's facility in Indianapolis, and agents could work from home on cell phones and laptops.

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Catch Tom and Bill Rogers, Associate Editor of Credit Union tech-talk at the following conferences in 2007:

Feb. 27-28, Miami Beach - Winter Biometric Summit

June 7-8, Las Vegas - Credit Union InfoSecurity Conference

October 10-13, Albuquerque - Firefighters' National Credit Union Summit

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