A Chip Off the Old Block or a New Direction for Payment Cards Security? The Chip & PIN Debate, Apple Pay, and the Law & Economics of Preventing Payment Card Fraud

2017 ◽  
Author(s):  
James C. Cooper
Keyword(s):  
Payment Card ◽  
Payment Cards ◽  
The Law ◽  
Apple Pay

17. Payment cards

2017 ◽  
Author(s):  
MA Clarke ◽  
RJA Hooley ◽  
RJC Munday ◽  
LS Sealy ◽  
AM Tettenborn ◽  
...  
Keyword(s):  
General Circulation ◽  
Consumer Credit ◽  
Personal Identification ◽  
Personal Identification Number ◽  
Payment Card ◽  
Contractual Relationships ◽  
Payment Cards ◽  
Lender Liability ◽  
The Uk ◽  
Debit Cards

This chapter focuses on the use of payment cards in commercial transactions. Contactless cards are becoming increasing popular and account for 49 per cent of all cards in issue. Contactless payment is made through the tap of a card on (or by waiving it over) a reader, without requiring a personal identification number or signature. With the increased availability of mobile payment technology, contactless payments are likely to shift from cards to smartphones. This chapter begins with a discussion of the main types of payment card in general circulation in the UK, including credit (and charge) cards, debit cards, and ATM cards. It then considers contractual networks and the regulation of contractual relationships, along with liability for unauthorised transactions under the Consumer Credit Act 1974 (CCA) and Payment Services Regulations 2009. It also describes connected lender liability under CCA.

scholarly journals Externalities in Payment Card Networks: Theory and Evidence

2010 ◽  
Vol 9 (2) ◽  
Author(s):  
Sujit Chakravorti
Keyword(s):  
Social Welfare ◽  
Public Authorities ◽  
Payment Card ◽  
Advanced Economies ◽  
Payment Cards ◽  
Regulatory Interventions ◽  
The Impact

Payment cards continue to replace cash and checks in advanced economies. Along with the growth of payment card transactions has come greater scrutiny by public authorities of certain payment network rules along with the level of certain fees. This article reviews the growing payment card literature and discusses the impact of several regulatory interventions on card adoption, usage, and social welfare.

scholarly journals A METHODOLOGICAL FRAMEWORK FOR MEASURING THE LEVEL OF CONVENIENCE OF TRANSPORT TICKETING SYSTEMS

Transport ◽  
2018 ◽  
Vol 33 (4) ◽  
pp. 1005-1016 ◽  
Author(s):  
Dušan Zalar ◽  
Rasa Ušpalytė-Vitkūnienė ◽  
Danijel Rebolj ◽  
Marjan Lep
Keyword(s):  
Public Transport ◽  
Performance Indicators ◽  
Methodological Framework ◽  
Environmental Aspects ◽  
Payment Card ◽  
Smart Systems ◽  
Research Perspectives ◽  
Travel Experience ◽  
Payment Cards ◽  
Survey Results

Public transport sustainability is becoming a major driver for public transport development. Public transport ridership represents one of the key performance indicators of sustainability in the sense of balancing the economic, social and environmental aspects of public transport. There are various methods for improving the attractiveness of public transport for passengers by reducing resistances, which discourage potential and existing passengers to use public transport. Transport ticketing is one of the methods. This article presents a methodological framework for evaluating transport ticketing technologies with the use of a transport ticketing convenience model developed by the authors as well as some survey results through the application of the developed framework on traditional smart ticketing and contactless payment card ticketing technologies. First, a methodological framework for modelling ticketing convenience based on end-to-end passenger experience is presented. Second, a ticketing convenience model for barrier-free and double-sided validation baseline ticketing systems is developed. Third, the ticketing system based on contactless bank payment cards is compared with traditional smart ticketing systems in terms of convenience. It is shown that a contactless payment cards ticketing system has greater convenience or a better, more seamless travel experience than traditional smart systems. Finally, some research perspectives on enhancing the ticketing convenience model by using mobile smartphones with NFC, BLE and GPS technology, as well as the inclusion of technologies related to ticketing such as passenger information systems into the model, are contemplated.

scholarly journals DIRECTIONS OF USE OF PAYMENT CARD AS INNOVATION OF PAYMENT OF TRANSPORT ORGANIZATIONS SERVICES

2018 ◽  
pp. 143-154
Author(s):  
Hryhoriy Monastyrsky ◽  
Yaroslav Chaikovskyi ◽  
Ivanna Chaikovska ◽  
Yevhen Chaikovskyi
Keyword(s):  
Money Supply ◽  
Shadow Economy ◽  
Transport Infrastructure ◽  
Systems Dynamics ◽  
Electronic Payment ◽  
Payment Systems ◽  
Payment Card ◽  
Strategic Direction ◽  
Payment Cards ◽  
Integral Indicator

It is carried out the analysis of the share of cash outside the banks in the money supply in Ukraine within 2013-2017 and the integral indicator of the level of the shadow economy in Ukraine for 2010-2017. The dynamics of the main indicators of functioning of the payment cards market of Ukraine during 2012-2017 is analysed. The main tendencies of development the market of payment cards in Ukraine are considered. In particular, the dynamics of the number of holders of payment cards and their issuing banks, the development of electronic payment infrastructure, the types of payment cards issued by Ukrainian banks by types of carriers etc. formations, in terms of payment systems, dynamics of the structure of operations using payment cards by volume and quantity are considered in this research. On the basis of the results of the analysis, we have concluded that there is a development of cashless payments by payment cards in Ukraine. The strategic direction for the development of cashless settlements in transport infrastructure has been revealed due to the use of payment contactless cards as an innovative means of payment for services of transport organizations.

scholarly journals MARKET OF PAYMENT CARDS: STATE, PROBLEMS AND PROSPECTS FOR DEVELOPMENT IN UKRAINE

2019 ◽  
Author(s):  
Igor Legkostup ◽  
Olha Vaganowa
Keyword(s):  
Market Economy ◽  
Rapid Development ◽  
Research Work ◽  
Payment Card ◽  
Payment Instruments ◽  
Scientific Analysis ◽  
Payment Cards ◽  
Strategic Factors ◽  
Large Distribution

The purpose of the research work is to conduct a scientific analysis of the payment cards market in Ukraine, as well as to find ways to improve it using foreign experience. The urgency of the research topic is conditioned by the significant growth of the role of cashless payments at the present stage of the formation and development of the Ukrainian economy. Formation of a market economy, improvement of technical means of payments, growth of volumes of domestic and foreign economic operations of Ukraine with other countries, cause a large distribution of cashless payments, replacement of traditional payment instruments with new ones, rapid development and improvement of the payment card market.Using non-cash payments leads to acceleration of settlement operations and cash flow. Also, formation of a market economy, improvement of technical means of payments, growth of volumes of domestic and foreign economic operations of Ukraine with other countries, cause a large distribution of cashless payments, replacement of traditional payment instruments with new, rapid development and improvement of the payment cards market. Therefore, the use of technologies encourages banks to expand the range of services provided by them, improve their quality, increase the level of accessibility, reliability and convenience for customers, and, accordingly, is one of the strategic factors for strengthening the competitive position in the market of banking services of the country.

scholarly journals Does Crime Influence The Payment Decisions Of Consumers?

2015 ◽  
Vol 31 (5) ◽  
pp. 1709-1718
Author(s):  
Bruno Karoubi ◽  
Regis Chenavaz
Keyword(s):  
Adverse Selection ◽  
Financial Crime ◽  
Payment Card ◽  
Automated Teller Machines ◽  
Cash Payment ◽  
Financial Crimes ◽  
Payment Cards ◽  
The One ◽  
Card Payment ◽  
The Impact

The impact of crime on economic activity has been widely studied. The economic analysis of crime on payment instrument, however, is still lacking. In this paper, we analyze the impact of crime on the use of cash and card payment with an original database of a representative sample of French consumers. We provide empirical evidence that violent and financial crimes have opposite effects on cash withdrawn and cash payment: On the one side, violent crime increases the amount of cash withdrawn and increases the probability of a cash payment. On the other side, financial crime decreases the amount of cash withdrawn and increases the probability of a credit or debit card payment. The probability of mugging is higher when withdrawing cash and automated teller machines (ATMs) deliver only notes. The increase in the amount of cash withdrawn comes from the reduction of the number of cash withdrawals together with the non-linearity of cash withdrawals at ATMs. The increase in the proportion of card owners when financial crime is high is a result of adverse selection: a financial fraudster is more aware of the insurance provided with payment cards, and therefore he places a greater value on having a payment card.

scholarly journals Market Definition and Market Power in Payment Card Networks: Some Comments and Considerations

2006 ◽  
Vol 5 (1) ◽  
Author(s):  
Lawrence J. White
Keyword(s):  
Market Power ◽  
Joint Ventures ◽  
Market Definition ◽  
Payment Card ◽  
Network Characteristics ◽  
Payment Cards ◽  
Two Sided Markets

Antitrust and regulatory concerns swirl around the payment cards industry, for understandable reasons: It is not atomistic; it has network characteristics; it involves two-sided markets; and its two prominent members – Visa and MasterCard – are network joint ventures of the banks that issue cards to consumers and enroll and service the merchants who accept those cards. These characteristics raise the possibility that the industry may not be fully competitive and thus raise potential policy concerns. But these same characteristics also cloud the standard against which the performance of the industry should be judged and complicate the analysis necessary for forming judgments.

Competition is Bad for Consumers: Analysis of an Artificial Payment Card Market

2011 ◽  
Vol 15 (2) ◽  
pp. 188-196 ◽  
Author(s):  
Biliana Alexandrova-Kabadjova ◽  
◽  
Edward Tsang ◽  
Andreas Krause ◽  
◽  
...  
Keyword(s):  
Demand Elasticity ◽  
Optimal Pricing ◽  
Payment Card ◽  
Payment Cards ◽  
Marketing Activities ◽  
Net Benefits

This paper investigates the competition between payment card network platforms in an artificial payment card market. In the market, we model the interactions between consumers, merchants, and competing card schemes and obtain their optimal pricing structure. We allow platform operators to charge consumers and merchants with fixed fees, provide net benefits from card usage/acceptance, and engage in marketing activities. We assume that the consumer side exhibits lower demand elasticity. With these settings, we establish that consumers benefit from a reduction of the numbers of competing payment cards through lower fees and higher net benefits, while merchants remain largely unaffected. The two-sided nature of the market leads to the result that having more competitors actually reduces prosperity for customers.

scholarly journals The Economics of Two-Sided Markets

2009 ◽  
Vol 23 (3) ◽  
pp. 125-143 ◽  
Author(s):  
Marc Rysman
Keyword(s):  
Public Policy ◽  
Operating Systems ◽  
Video Game ◽  
Regulatory Policy ◽  
Consumer Electronics ◽  
The Other ◽  
Payment Card ◽  
Payment Cards ◽  
Game Developers ◽  
Two Sided Markets

Broadly speaking, a two-sided market is one in which 1) two sets of agents interact through an intermediary or platform, and 2) the decisions of each set of agents affects the outcomes of the other set of agents, typically through an externality. In the case of a video game system, the intermediary is the console producer—Sony in the scenario above—while the two sets of agents are consumers and video game developers. Neither consumers nor game developers will be interested in the PlayStation if the other party is not. Similarly, a successful payment card requires both consumer usage and merchant acceptance, where both consumers and merchants value each others' participation. Many more products fit into this paradigm, such as search engines, newspapers, and almost any advertiser-supported media (examples in which consumers typically negatively value, rather than positively value, the participation of the other side), as well as most software or title-based operating systems and consumer electronics. This paper seeks to explain what two-sided markets are and why they interest economists. I discuss the strategies that firms typically consider, and I highlight a number of puzzling outcomes from the perspective of the economics of two-sided markets. Finally, I consider the implications for public policy, particularly antitrust and regulatory policy, where there have been a number of recent issues involving media, computer operating systems, and payment cards.

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