B2B Credit Card Payments And EMV Technology

What’s the best EMV payment technology for business to business (B2B) merchants? Once the requirements are defined for non-EDI payments, the options are limited. Whether card not present only, or a mix of retail, phone, and ecommerce, B2B payments are different.

B2B Credit Card Payment Minimum Requirements.

  • Tokenization to store credit card, and possibly check and wire data
  • Level 3 processing (significantly reduces merchant fees through lower qualified interchange rates)
  • Payment optimization to qualify transactions properly. For example, if merchant does a pre-authorization, and captures at a later date, certain rules need to be met to avoid higher non-qualified interchange rates.
  • 24/7 payment options for customers to serve multi-time zone and increase security

EMV Terminals for B2B.

There are no desktop or countertop terminals that support level III processing, and that won’t change. These terminals are programmed with the acquirer instructions via download, and less frequently, may be connected to Point of Sale (POS) software.

To meet the minimum B2B requirements, a payment gateway is required. Merchants process transactions by accessing a virtual terminal via a secure web page, or with an integrated software solution. The gateway must certify level III processing for each card brand, and EMV, and the specific terminal, for each acquirer.

For example, CenPOS has certified the Verifone MX915 to TSYS, with P2P encryption, level III processing. Most acquirers and banks support TSYS as a way to connect to their platfor; for example, First Data, Chase Paymentech, and Bank of America Merchant Services. To date, no other gateway has certified level 3 processing for retail and EMV. The difference for distributors is huge; it’s not uncommon to reduce merchant fees an average of 30%.

Pending Certifications

Exercise caution on claims of pending certifications, if the solutions provider:

  • Doesn’t have any certifications to date, after a year or more to prepare.
  • Has never had level III processing for retail certification
  • Does not offer a way to automate interchange management in a mixed retail & card not present environment, or for card not present only

 

 

 

Jumio Turns Any Webcam into a Credit Card Reader, Creating Secure Way to Pay Online

Company Launches Patent Pending Netswipe Solution to Reduce Fraud for Merchants; Makes Online and Mobile Payments Easier and More Secure than Ever

MOUNTAIN VIEW, CA JULY 26, 2011 – Payment company Jumio today unveiled a new technology solution for businesses to increase security and ease of use for online and mobile credit card payments. Jumio’s patent pending Netswipe solution turns any webcam into a secure credit card reader that allows merchants to more easily and efficiently accept payments online.

“Jumio bridges the gap between the security and trust of credit card payments at the point of sale and the availability and convenience of modern day online transactions,” says Jumio founder and CEO Daniel Mattes. “Consumers love the ease-of-use and the smooth experience associated with completing a transaction. At a time when both consumers and businesses are looking for more efficient and safe ways to make credit card purchases, Netswipe promises to usher in a new era of disruption that makes online payments easier than ever before.”

Bringing Card Present Transactions Online

Netswipe is the first and only solution that enables online card-present-transactions: Checking out just like at the point of sale (POS). To complete a transaction, consumers briefly hold their credit card in front of their webcam. Through secure videostreaming, the credit card details are recognized and verfied. No snapshot image is taken, no data is stored on the computer that is used for the payment.

A More Efficient Payment Technology for Merchants

Business owners can implement Jumio’s Netswipe service into their payment process to reduce fraud and increase sales due to a heightened user experience.

“During our pilot phase, we have conducted a customer survey with a focus group who have used Netswipe.  Amongst other impressive numbers, the churn rate decreased significantly from 52% to 21%.“ (Mattes)

With the launch, Jumio has introduced three products for merchants that simplify the online payment process: Netswipe Start, Netswipe Scanning and Netswipe Processing. Additional products including a mobile solution will be released later this year.

Partners, High Profile Board of Directors

Jumio’s pre-launch negotiations attracted an impressive list of partners. Facebook co-founder Eduardo Saverin, member of the Jumio board of directors, previously led a Series A funding round of US$ 6.5m and will oversee Jumio’s rollout into the Asian market.

Says Saverin: “I am very excited to be involved with Jumio, which has developed a ground breaking technology that fulfills two of the most important aspects of payments processing: heightened security and a simplified user experience.”

Additionally, Jumio’s advisory board includes former executives from Google, Amazon and NASA.

About Jumio

Jumio offers an advanced technology that increases security and ease of use for online and mobile credit card payments. Jumio is the inventor of Netswipe, a patent pending solution that turns any webcam into a credit card reader. Jumio’s advisory board includes Zain Khan, former Google executive, Mark Britto, former Amazon executive, Thomas Jungreithmeir, managing director of TJP and Bjorn Evers, former gaming industry CEO. Facebook co-founder Eduardo Saverin has a seat on the board of directors.
Jumio Inc. is headquartered in Mountain View, California and operates a development center in Linz, Austria. The company was founded in 2010 by Daniel Mattes and employs 35 people. More onwww.jumio.com

 

XD1000 wireless countertop credit card terminal

The XD1000 wireless countertop credit card terminal is a next generation credit card terminal. What makes it unique is the ability to switch from wired to wireless, USB and Serial Port integration for PC connections, and integrated RFID reader. There are many cool new features for a countertop terminal, but I haven’t seen a wireless terminal for under $500. The base unit is now available to customers for the blowout discount price of $199 with a bit more for optional configurations.