In light of the Target and Neiman Marcus breaches, many are pointing to EMV “chip and pin” technology as the silver bullet that could have saved Target and its customers a lot of heartache. However, while EMV is a good step forward for card security, it’s inaccurate to say that EMV would have stopped the Target breach.
The Truth about EMV
EMV would not have prevented the Target breach from happening.
EMV began as a joint effort conceived by Europay, MasterCard and Visa to replace the mechanism to provide customer identifiable information (Account number, CVV, etc.) to the terminal initiating a transaction. Instead of a magnetic strip for this purpose, EMV cards use a smart chip and require the entry of a PIN number that only the customer should know (hence the term “chip and PIN”). Once the information has been passed into the terminal, the transactional process remains the same - the account information is loaded into the terminal’s memory, a transaction frame is built to request authorization, and so on.
As we are in the midst of the largest online holiday shopping phenomena ecommerce has ever experienced, it’s pretty safe to assume that fraudsters are looking for new and even more ways to put a little jingle in their wallets this season and beyond. So in a year where we are seeing data from various sources indicating financial fraud is climbing faster than Santa can slide down your chimney, we have pulled out our crystal ball to make some 2014 Financial Fraud Predictions here at Easy Solutions to help you stay head of the game in the coming year. While these are just predictions, they are based off of some very real trends and data we are seeing here at Easy Solutions:
Mobile fraud will evolve faster than defenses for at least another year. In the last month, the four major US mobile carriers announced that they will begin blocking premium or paid SMS charges, otherwise known as cramming. Around 75% of all existing mobile malware uses this method to monetize mobile fraud. Cutting off this revenue source for fraudsters will accelerate innovation of mobile malware and take more advanced techniques like SMS OOB interception into the mainstream.
Last week, the Justice Department indicted a 24 year old Vietnamese man with 15 counts of wire fraud, identity fraud, access device fraud and conspiracy charges, for his part in stealing and helping to sell ‘fullz’ packages of IDs online for over 500,000 people. These ‘fullz’ packages include a person’s name, date of birth, social security number, bank account number and bank routing number, and payment card data. Read more
Good news for customers of Easy Solutions’ Detect Monitoring Service (DMS). Our team has been hard at work making a number of performance improvements as well as several new front-end enhancements to this important service. With this new upgrade, customers will be even better equipped to manage the entire lifecycle of phishing attacks via real-time monitoring and connections analysis. Read more
Easy Solutions, the Total Fraud Protection® company, today announced that it has closed an $11 million Series B financing round from Medina Capital, a high-growth equity investment firm focused on the IT infrastructure sector. The funds will be leveraged to expand sales and marketing in the U.S. and worldwide in order to meet increasing demand for the company’s total fraud protection platform.
As social media becomes an increasingly mainstream method of trusted communication, how can companies such as Twitter strike a balance between ease of use, and the need for greater security? How will users react when asked to adopt additional security related processes?