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Gemalto: EMV and Beyond - Fighting Fraudulent CardPayments with New Technology

Cyril Villemin, VP of Marketing & Business Development, GemaltoCyril Villemin, VP of Marketing & Business Development
Digital technology is creating new possibilities for people to bank, transact and interact online. Even though the benefits of this digital transformation are obvious, there are security implications. Banks and merchants are primary targets for fraudsters whether via data breaches, eCommerce transactions or face-to-face payments. To fight in-store fraud, U.S. banks have migrated from magnetic stripe payments to Europay, MasterCard and VISA (EMV) chip technology. Aiming at providing convenience, security and peace of mind to customers and end users, Gemalto delivers secure card and mobile payment services.

Gemalto’s payment security solutions allow financial institutions to protect against fraud on all channels from in-store to online. Gemalto works with banks to analyze current security and fraud risks and outlines strategies to mitigate the risks. Villemin gives the U.S. EMV migration as a current example, saying, “Gemalto has already supported the transition of U.S. banks to standard contact EMV technology, the first step in fighting fraud. While contact EMV has been the predominant flavor of EMV programs so far in the U.S., contactless EMV cards offer the same level of security, but with a much faster checkout experience for Americans.” Cyril also states, “the global trend with EMV compliant countries is to transition to contactless EMV after the first wave of contact deployments.” With contactless EMV, customers can simply tap their card or mobile against a payment terminal enabling fast and convenient transactions.

While EMV eliminates face-toface fraud, the fraudsters ultimately will find the next weakest link in the payment system. After EMV eliminates counterfeit card fraud, card not present fraud is where fraudsters focus efforts. Gemalto’s Dynamic Code Verification (DCV) suite is a complete CNP security solution applied to a payment card or via a companion mobile app with an existing credit or debit card. As with any online purchase, the cardholder enters the dynamic security code when paying. DCV allows card issuers to replace the static three-digit security code, traditionally used for online purchases, with a dynamic code displayed on the customer’s DCV enabled credit or debit card or via the mobile application.


Contactless payments can now give customers the convenience they want, combined with the security of EMV


The code is generated every few minutes making it impossible for hackers to reuse stolen information and DCV helps limit the scope of data breaches.

Effective solutions to address CNP fraud must focus on user experience and ease of integration. Gemalto’s solution can be deployed on existing payment rails and with no changes to merchant portals or consumer behavior. Recalling how this technology revamped France and Asia-Pacific markets, Villemin states that DCV tools will soon revolutionize the U.S. markets and protect against the potential threat of card not present fraud.

Additionally, as banks look to mitigate the risks and impact of fraud, Gemalto caters to their needs by providing them with a customizable security consulting offer. Villemin believes, “the best approach is to first understand the customer’s pain points and challenges then deliver solutions that are designed to address the customer’s needs but also bring strong value added services.” Gemalto does just that, in addition to the security portfolio the company is helping issuers maintain a “top of wallet” advantage through value add-ons such as customized card artwork, DCV and instant EMV card issuance for immediate activation and usage.

Working with over 3,000 financial institutions worldwide, Gemalto has global expertise in banking and payments. In the U.S., Gemalto has supplied EMV to 10 of the 15 largest financial institutions, and worked with over 1,000 regional banks, credit unions and their processors. The speed and massive volumes of credit and debit cards being replaced with EMV or chip technology makes the U.S. the fastest and largest EMV chip deployment on the planet. The company is perfectly positioned to provide banks with end-to-end payment solutions as the market continues to move to EMV and beyond.