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 Your source for the latest technology information of interest to credit unions across America.

Subscribe to our weekly e-mail newsletter and/or our monthly newsletter and stay on top of the latest technology trends in Hardware, Software, ATMs, Biometrics, Wireless, Online Banking, Marketing, Security, Internet Access and Call Centers.

October 14, 2013

~ This Week's News is Sponsored by Better Branches ~

 

General News

 

* CU Wallet Partners with Paydiant
* FIS’s ePix Card Customization Chosen by Westmark CU
* CoVantage CU Pilots Tyfone’s Connected Smart Card
* Fiserv Launches Snap-to-Pay
* CU*Answers Improves Mobile Banking

Paydiant, a provider of a white-label mobile payments, offer redemption, loyalty and cardless cash access platform, announced that it has been selected by CU Wallet to power its recently announced credit-union centric mobile wallet offering. With Paydiant, CU Wallet will integrate complete mobile wallet capabilities into its own mobile application including contactless mobile payments, e-receipts, offer redemption and cardless cash access on existing payment terminals, point-of-sale (POS) systems, ATMs and online shopping carts.

Westmark Credit Union has implemented ePix from FIS, a customizable photo card solution allowing members to display their favorite photo on a debit or credit card. The Idaho-based $520-million credit union is the first member of Card Services for CUs to deploy ePix from FIS.

Tyfone, a secure ID and transaction solutions provider, announced that its patented technology under the brand name of The Connected Smart Card (CSC) is being tested by CoVantage Credit Union. CSC technology adds a smart card chip to any device in several form factors, and enables the storage of digital certificates for a two-sided request-challenge-response to every authentication request.

Fiserv, a leading global provider of financial services technology solutions, announced the launch of its Snap-to-Pay capability for select Fiserv mobile banking and payments solutions, which enables consumers to pay bills easily with a snap of their smartphone cameras. Essential bill information, such as the company to be paid and the amount due, is captured by taking a picture of a paper bill, and then used to automatically populate the appropriate fields on the smartphone screen.

CU*Answers, the West Michigan-based cooperative CUSO, announced that with the 13.2 release of its core processing platform, CU*BASE, it included enhancements to its mobile web banking version of It’s Me 247 Online Banking. The CUSO made improvements to the layout, graphics, and styling of mobile web banking to give users a better experience.

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Hardware News

IBM is trying to provide computing flexibility through its PureFlex System servers with support for multiple operating systems and chips. The single-chassis PureFlex System Express is aimed at smaller organizations, while the more expensive PureFlex System Enterprise is a high-uptime server available in multiple configurations. A system consists of storage systems, networking components, and computing boards with CPUs, memory and other processing units such as graphics processors. The servers also have new desktop virtualization tools through the SmartCloud Desktop Infrastructure, which is a bundle of hardware, software and services to centrally manage virtual machines.

Bosch announced their Advantage Line DIVAR IP 2000 and 3000 all-in-one recording and video management solutions. These intelligent IP storage devices integrate with third party cameras, and enable viewing and management via a remote operating client. They support up to 32 channels and up to 8 TB (4 x 2 TB) storage capacity. 

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Hardware Section Sponsored by
Millennial Vision, Inc. (MVi)

 

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Software Updates

Equifax has launched Advanced Decisioning Attributes, a set of analytical building blocks that they say enhances the ability to make predictive underwriting decisions. Equifax Advanced Decisioning Attributes delivers more than 500 tri-bureau-enabled consumer credit attributes which they say allows lenders to perform deeper, more strategic analysis.

The Federal Financial Institutions Examination Council (FFIEC) has warned that plans by Microsoft to discontinue support for the XP operating system pose operational risks for credit unions that still use it. Potential issues include degradation in the delivery of various products and services, application incompatibilities, increased potential for data theft and unauthorized additions, deletions, and changes of data, and lack of PCI compliance. To help organizations upgrade, Dell announced a new Windows Migration Fast Forward Service that offers pre-packaged modules to address the migration from XP to Windows 7 or 8.

 

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Software Updates Sponsored by
Raddon Financial Group (RFG)


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ATMs/Kiosks

Diebold is launching a contactless card reader globally that utilizes Near Field Communication (NFC) at ATMs. The user interface reads contactless payment cards, mobile devices with NFC support and additional forms of contactless media such as fobs, stickers and tags. Available as an upgrade on existing Opteva ATMs, Diebold's contactless card reader coexists with both dip and motorized magnetic stripe card readers to allow an alternate method to initiate transactions.

Diebold also announced what they are calling the industry's first conversion to Windows 7 for U.S. Bank's ATM fleet. Their technicians will also install advanced encrypting PIN pads on the ATMs in accordance with PCI mandates.

EMV and Windows 7 readiness are two big issues facing ATM deployers in the coming months. We will look at these issues and some of costs that will be involved in remedying them in the November issue of Credit Union tech-talk - subscribe today.

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ATMs/Kiosks Sponsored by
Heritage Industries


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CU Success Stories 

 

Here is a chance to learn about real life credit union success stories from various technology vendors through the words of their clients. This week's vendor is:

 

SilverSky

and their client is:

Cabrillo Credit Union

Credit Unions - if you have a vendor that you are happy with then please This email address is being protected from spambots. You need JavaScript enabled to view it.!

Vendors - if you have a credit union that is happy with your solutions then please This email address is being protected from spambots. You need JavaScript enabled to view it. and we will give you a $100 discount on your Case Study!
 

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Wireless World

According to a new survey, more than half of mobile consumers are comfortable using biometrics to authenticate themselves on mobile devices. Plus nearly 70 percent believe that storing payment information on their smartphone is unsafe. The survey, sponsored by PayPal and the National Cyber Security Alliance, found that Americans are comfortable replacing passwords with newer security technologies such as fingerprint identification (53 percent) and retinal scans (45 percent).

The carrier-controlled Isis mobile-payments system has rolled out a new version of its application that allows users to pay bills, send money, add funds to cards, and log into the online site for the card with a single sign-on. The group said that more than 40 mobile-device models now include the NFC chips necessary for Isis to work at the point of sale. Plus they are predicting that about 30 million mobile phones will support the near-field-communication-based product by the end of 2014.

While companies such as Google, Isis, MasterCard, Visa and many others are competing with each other to see who can establish an NFC-based mobile payments standard and build a strong enough ecosystem to support it, a startup out of Silicon Valley says that they have a simple solution that will let you use your phone to make payments on nearly 90 percent of all POS systems in the country. The Loop Fob, which is a $34 device that plugs into your iPhone or Android handset through its headphone jack, is about the size of a matchbook and features a mag-stripe reader slot. The Fob is capable of encrypting and storing your credit or gift card information and transmitting it wirelessly to most run of the mill POS systems.

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Security Section

EMV chip and PIN proponents contend that America's continued reliance on signature-based payment verification is in many ways responsible for it being the country with the most card fraud in the world. The U.S. leads in card fraud with 47 percent of local fraudulent transactions, even though the U.S. does only 23 percent of the transactions globally.

Synthetic identity theft occurs when a criminal uses a real Social Security number and combines it with a fake name and date of birth that is not associated with the number via credit bureaus or anywhere else. Because it rarely appears on the victim's credit report, this is a difficult type of fraud to detect. With synthetic identity theft, the criminal often succeeds in creating a new credit file or, in some cases, a subfile that may end up on the victim's credit.

When it comes to detecting data breaches, there are many indicators. There are numerous activities and clues on systems that can often help organizations spot malicious behavior on systems more quickly so that their IT Departments can either prevent an eventual breach or at least stop it in its earliest stages. We will cover some tell tale warning signs in the November issue of Credit Union tech-talk - subscribe now.

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Security Section Sponsored by
THE FINANCIAL & SECURITY PRODUCTS ASSOCIATION (FSPA)

Our members, located in every state, will be more than happy to consult with your credit union regarding: Upgrading branch security equipment, remodeling branches, servicing all types of physical & electronic security equipment (to include keeping older equipment operational), and providing quotes on ATMS, cash-recyclers, safes, vaults, safe-deposit boxes, after-hour-depositories, drive-up banking systems, tellers’ undercounter steel & storage units, insulated products and all types of electronic security & digital video systems. This email address is being protected from spambots. You need JavaScript enabled to view it. by telephone or e-mail for an immediate referral to a member-company in your local area.

CREDIT UNIONS:

For more information or for a member referral in your specific geographic area, please This email address is being protected from spambots. You need JavaScript enabled to view it. for a prompt & detailed response. Our members carry a very broad line of products and are able to provide credit unions with many powerful and affordable alternatives for their security equipment & servicing needs.

SECURITY VENDORS:

For more information about joining our organization and all of the accompanying benefits, please This email address is being protected from spambots. You need JavaScript enabled to view it. for a prompt & detailed response.

Call Today: 800.843.6082

Visit Us Online Today: http://www.fspa1.com

 

 

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Leaders Roundtable

Core Systems:

Driving More Efficiency From Core Systems

Celent - http://www.celent.com
Read Stephen Greer's comments:
https://www.cunews.com/Celent.pdf

 
Corelation - http://www.corelationinc.com
Read Theresa Benavidez's comments:
https://www.cunews.com/Corelation.pdf

 

Credit Union Data Processing (CUDP) - https://www.cuprodigy.com
Read Charlie Fulks' comments:
https://www.cunews.com/CUprodigy.pdf

 
CUtopia - http://www.cutopiasolutions.com
Read John Pantaleon's comments:    
https://www.cunews.com/CUtopia.pdf

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

 
Fiserv - http://www.creditunions.fiserv.com
Read Mark Sievewright's comments:    
https://www.cunews.com/Fiserv.pdf

Harland Financial Solutions - https://www.harlandfinancialsolutions.com
Read Tom Berdan's comments:
https://www.cunews.com/HFS.pdf

 
Innovative Technology (INTECH) - http://www.intech-inc.com
Read Tim Erwin's comments:
https://www.cunews.com/INTECH.pdf

 
Mercator Advisory Group  - https://www.mercatoradvisorygroup.com
Read Edward O'Brien's comments:    
http://www.cunews.com/Mercator.pdf


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Technology and Marketing

In 1980, about 95 percent of consumers frequented a branch, but now that number is down to roughly 50 percent. In an effort to further promote online and mobile banking, some larger institutions have instituted "branch-banking" or "teller" fees of anywhere from $3 - $9 per visit. However, Bank of America recently canceled its "branchless" banking option called eBanking that charged account holders an $8.95 fee if they performed transactions through a teller after signing up for the fee-free eBanking checking account option. While admitting that there are significant cost savings to encouraging consumers to utilize self-service channels, branch fee critics contend that charging a fee for a service consumers previously received for free will result in defections and bad publicity in general.

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Online Banking/E-Commerce/Website Design

Arroweye Solutions announced its new EMV On-Demand system that they say gives credit unions a more effective strategy to manufacture, personalize and fulfill Europay/MasterCard/Visa (EMV) chip cards. The solution is an open-source, universal EMV platform that provides data integration and supports online/offline card authentication as well as various cardholder verification methods. The platform is now approved by Visa and MasterCard for EMV on-demand card production.

SmartMetric claims to offer the only biometric payment card in the world that affords a high level of identity and transaction security by building biometrics inside the card. The cardholder's fingerprint is used to activate the card using the card's integrated fingerprint reader thereby allowing for card-based biometric identification with the user's fingerprint never leaving the card. The fingerprint activated EMV card will be offered as an "ID and transaction safe" alternative to existing payment systems such as PayPal.

The iPad was released in 2010, and since that time more than 100 million iPads have hit the market. Some observers believe that credit unions should not focus too much time and energy on developing native tablet apps, but rather focus on creating tablet-friendly websites. We will explore why they think this way in the November issue of Credit Union tech-talk - subscribe today.

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Online Banking Section Sponsored by
Cachet Financial Solutions

 

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Internet Access

Novus is marketing Phybridge’s networking switch to small organizations looking to get into VoIP in an affordable manner. The product enables you to deploy IP telephony for about 80 dollars per port and the switch uses Power over Long Reach Ethernet (PoLRE), which means that it can receive power on the same cable that it receives data on. This makes installation simpler and also increases reliability of the network. The switch also makes it easier for small organizations to move to VoIP phones by creating a separate LAN just for VoIP traffic.

GFI Software announced their new Web Protection service which enables IT managers to help reduce exposure from Web-based security risks and productivity loss by managing Internet access and use on company machines, regardless of whether they are in-house or in remote locations. They say that Web Protection ensures that the majority of malicious code on the Internet is blocked at the point of request, ensuring that it never makes it to the endpoint, be it servers, client PCs or laptops. Additionally, Web monitoring functionality helps administrators stay on top of bandwidth usage through real-time graphical reports and automated alerts when defined bandwidth thresholds are reached. Administrators can spot excess bandwidth usage by device, URL or category of website and remediate the problem to avoid unwanted costs and network strain.

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Call Centers

Nemertes Research has released their “Top Five Contact Center Trends for 2013” report. The study identifies key trends that are reshaping contact centers today. Among the trends that a contact center needs to account for and incorporate:

- mobile device engagement

- “Big Data”

- speech analytics

- the popularity of consumer social media

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