MARLBOROUGH, Mass. (12/19/14)--More than two dozen credit union executives received an education this week in new trends in the payments industry at a symposium held by the Massachusetts Credit Union League in Marlborough, Mass.
The Emerging Payment Trends Symposium--which focused on how to most appropriately spend credit union resources when it comes to payments--was led by four panelists who work intimately with or in the payments field.
Panelists included Leah Work, business development manager, CO-OP Financial Services; James Heystek, senior director, FIS; Robb Gaynor, co-founder, Malauzai Inc.; and Tim Segerson, deputy director of the Office of Examination and Insurance, National Credit Union Administration.
Together, the group worked to help clarify for attendees the risks and opportunities associated with EMV/chip technology, tokenization, mobile banking and e-wallets.
Work addressed EMV technology and the process the industry is going through to fully adopt it in the United States.
Whether credit unions choose to adopt EMV technology by October 2015--the deadline mandated by the government--they still must bolster fraud-monitoring activities and be prepared once fraud occurs, Work said.
The reason is because most large retailers will have implemented the technology by the deadline, and any costs associated with fraud at that point will fall in the laps of credit unions that aren't EMV ready.
Heystek, meanwhile, focused his discussion on Apple Pay and tokenization. He spoke about his company and how it works with financial institutions to help them determine whether they can adopt and offer Apple Pay to members and customers.
Heystek also said that while many consumers who use Apple products have signed up for Apple Pay, other companies that offer tokenization might take charge of the market in the future.
Gaynor spoke about e-wallet technology, and explained that credit unions should prepare their members for widespread adoption of this technology by leveraging existing wallet innovations, such as picture pay, debit card management--where a member can turn on and off his or her debit card--and a future cash calendar.