Congratulations to traders who are increasingly reluctant to estimate the transaction fees imposed on them, Visa and MasterCard are hoping to save the day by presenting these days as the best barrier against bank fraud, as well as laying the groundwork for pure and general disappearances. Credit card.
Visa and MasterCard will pay Canadian merchants an exorbitant transaction fee of 13 131 million as of March 23, 2001. In addition to being able to claim up to $ 600 separately from the two issuers for this settlement after the joint action, traders will be able to pass. Additional charges on their customers will continue to be levied on them from next October.
As of next fall, consumers who see their bills inflated by a few percentage points will be tempted to leave their Visa or MasterCard wallets in their wallets if they decide to pay their bills with their credit cards instead of another way of paying. .
Fearing this possibility, the two companies therefore want to redefine their role in the payments market in order to remain essential to the checkout. Digital changes in recent years have shattered the payment industry. This turn is full of opportunities for the two giants.
In a word, in their eyes, confidence needs to be restored. Cyber-traders must reassure their virtual customers about their identities. In-store customers should not be afraid of having their personal information stolen.
In recent weeks, the two credit companies have similarly announced massive investments in the security of payment systems to restore the confidence of banks, retailers and consumers.
Live from Vancouver
Visa and MasterCard thus deal with computer security, as many Internet users use the same password for most of their accounts – passwords that are sometimes very easy to guess. Thus, the question of banking security goes beyond identity management.
Hybrid online and in-person payment arrangements by merchants are exacerbating this trend. To strengthen the security of its systems, Visa announced in April that it had invested more than US $ 9 billion in its cyber security and anti-fraud arsenal. The company says it blocked only 26 26 billion in fraudulent transactions in 2021, thanks to artificial intelligence (AI) tools, among other things. Visa says it could further reduce credit card fraud by 28%.
MasterCard, for its part, officially opened a technology center in Vancouver a week ago, dedicated to cyber security. As part of a larger half-billion-dollar investment in Canada, the technology center oversees the company’s work elsewhere in the country to strengthen the security of credit card transactions.
“We are in the process of transforming ourselves from a financial company into a technology company”, explained There is Sasha Kristik, President of MasterCard Canada for the event. “We rely heavily on Canadian technology to make the payment industry more secure and innovative. A
Vancouver thus became the seventh city in the world to have a MasterCard center This will be to prevent fraud by card cloning or malicious use of prepaid cards. Its in-depth learning algorithms detect seemingly suspicious transactions in a fraction of a second, no matter where they occur in the world.
MasterCard says it has already blocked $ 25 billion in fraud worldwide in the past year. The company believes it could double that performance by 2025 for the Vancouver Center.
Towards the end of the credit card
This expansion beyond the credit card gives MasterCard a glimpse into the near future – fans of non-communicative payments via their mobile phones are already experiencing this – where the credit card will no longer be an item you keep in your wallet. In the wake of the opening of its headquarters in Vancouver, the company announced the introduction of a face recognition technology in Brazil that it hopes to be able to market in Canada and elsewhere soon.
Advertised as cheap for merchants, the technology uses a simple digital tablet’s camera to confirm the buyer’s identity and post notes to his credit account. MasterCard promises to handle information securely and confidentially. He sees great potential in biometric detection as a payment tool. It has even created a version of this technology that allows users to recognize it through their eye movements.
This method of identification will allow, for example, to verify the identity of people who make virtual purchases on Metaverse. One day, perhaps, we quickly add to MasterCard. Because more urgent at the moment. Merchants and consumers alike are already present in the real world to meet the increasing pressure of consumers.
This report was created at the invitation of MasterCard Canada in Vancouver.