Tag Archives: Card Skimming

March Networks delivers insights on “superior surveillance” in banking with video-driven business intelligence

March Networks, the global provider of intelligent IP video solutions, is helping banking organisations understand how they can use business intelligence drawn from video, analytics and transaction reporting to implement strategy, gain tactical and operational insight and facilitate effective decision-making. 

In a topical webinar, now available for replay on the Banking Technology website, Ely Maspero (March Networks’ IP video management solutions product manager) highlights the growing relevance and popularity of analytics and industry-oriented reporting tools. They’ve become so useful to banks, in fact, that an investment of just $1 in analytics resulted in an RoI of $13 in 2014, representing a growth rate of 18% since 2011[1].

Video and analytics are increasingly being used together, not only to provide data on specific ATM-related fraud, but also to deliver meaningful insights into bank branch performance and help improve customer relations, reduce waiting times and increase the effectiveness of in-branch marketing activities.

According to 61% of those individuals surveyed by Technology Business Research at the end of last year, the main driver of business intelligence software market growth is operational efficiency.

Ely Maspero of March Networks

Ely Maspero of March Networks

Financial institutions can be vulnerable to different types of fraud, from cash trapping and card skimming through to the more extreme use of explosives. While ATM fraud incidents fell by 26% last year, related losses did increase by 13%.

The combination of video and analytics can speed investigation times and identify at-risk ATMs to help reduce prevent fraud.

Video, analytics and transaction data

From a marketing perspective, video and analytics may be used to help banks maximise their up-selling and cross-selling opportunities by analysing staff and customer behaviour. Multiple banking departments can use the powerful combination across all aspects of client relations in order to help them move from a product-oriented business model to one that’s more customer-oriented.

“Today, most banks are using video surveillance to help reduce losses and better protect their customers’ assets,” said Ely Maspero, “but the combination of video, analytics and transaction data can target more than loss prevention. Video-driven business intelligence can provide banks with valuable information on the behaviours and habits of customers and staff, helping banks refine and improve their in-branch services.”

Talking specifically about the webinar, Maspero added: “This webcast highlights the many opportunities that today’s video analytics can provide, including the reduction of vulnerabilities and improving customer experience to help build brand loyalty and increase revenues.”

Reference

[1] Nucleus Search, September 2014

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Diebold launches “revolutionary” ActivEdge anti-card skimming technology

Representing global losses in excess of a billion Euros, card skimming remains the most prevalent type of ATM crime and a major concern for financial institutions at risk of losing customers’ confidence due to the constant threat of cardholder identity theft and card losses.

Continuously working on new solutions to counter these risks, Diebold has announced the launch of Diebold ActivEdge, the first complete anti-skimming card reader that prevents all known forms of skimming in addition to other forms of ATM fraud.

ActivEdge counteracts skimming technology that currently relies on an ability to read the magnetic stripe of an ATM card in the short edge orientation by altering the way in which the card is inserted and read.

A shift of 90 degrees is all it takes. ActivEdge requires card users to insert their cards long-edge, making it impossible for skimmers to capture the card’s information.

Safety at the ATM is a major concern for consumers and Diebold’s end user survey conducted in Europe, North America and Latin America showed that 95% of consumers preferred the ActivEdge card reader over current card readers while they didn’t mind changing their card insertion behaviour in return for safer and more secure transactions.

Consumers inserted their card correctly on the first attempt or were able to quickly determine the proper way to insert the card.

Diebold's ActivEdge solution requires the ATM user to place their card into the reader using the card's long side

Diebold’s ActivEdge solution requires the ATM user to place their card into the reader using the card’s long side

Prevention of attacks from every vector

“Skimming devices have become more sophisticated,” explained Bassem Bouzid, senior vice-president and managing director for Diebold EMEA. “It was crucial to find an innovative solution to stop this type of fraud which, today, represents the majority of overall ATM-related fraud and also restore consumers’ confidence in ATM transactions.”

Bouzid added: “The ActivEdge card reader is the greatest weapon in the fight against card fraud and will enable financial institutions to guarantee their consumers highly secure ATM transactions.”

Diebold’s technology provides an effective security solution that prevents attacks from every vector. ActivEdge’s encrypting read head prevents criminal modifications to the card reader while the encrypted communication to the ATM’s central processing unit eliminates the ability to fraudulently capture and track card data.

In addition, each reader is paired with a specific ATM, in turn precluding the installation of fraudulent readers.

To counteract card trapping and fishing attacks, ActivEdge features automatic gate-locking functionality to prevent fraudsters from freeing trapped cards.

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