Visa Announces New Ways for Financial Institutions to Enhance Digital Card Management Experiences for Customers

by PaymentsJournal 0

This new set of capabilities will helpissuers deliver superior card management experiences to their cardholders,letting them add, view, manage and share access to their card

SANFRANCISCO – May 4, 2017 —VisaInc. (NYSE:V), today announced it will help its financial institution partnerscreate customized digital card management experiences for their customers. Asthe Internet of Things (IoT) grows, consumers put their card on file andimplement recurring payments in more places. To help give consumers morevisibility and control, Visa is creating upcoming enhanced capabilities that willcomplement several existing Visa functionalities. These capabilities will beavailable for issuing partners to provide to their cardholders through theironline and mobile banking channels. When implemented, the new capabilities willlet issuers provide their Visa cardholders greater control and insight over howthey pay, where they pay and who can pay using a digital version of their Visacard.

The newofferings will build on existing capabilities of VisaToken Service (VTS)to let issuers create a customizable suite of services to offer to their Visacardholders. Visa Token Service replaces sensitive accountinformation found on payment cards, such as the 16-digit account number,expiration date and security code, with a unique digital identifier that can beused to process payments without exposing actual account details.

New Capabilities to Provide Consumers with Greater Visibilityand Control

The new VisaNetwork Hub Push Provisioning capability to be offered will simplify issuers’access to push provisioning capabilities, by providing one integration point tointerface with participating VTS token requestors. When implemented by anissuer, this would allow their Visa cardholders to easily add a digital versionof their Visa card to participating VTS token requestors through the issuer’smobile banking app or online banking channel. This means the bank’s consumerswill not need to go through the process of individually signing-up forparticipating services, such as digital wallets, card-on-file merchants, e-commerceenablers and IoT providers. For example, the upcoming capability would helpenable a consumer who receives a new Visa card from their financial institutionto log into their bank’s mobile app and link their new card details to adigital wallet or online merchant before receiving the card in the mail.

Inaddition, an issuer may pair the Visa Network Hub Push Provisioning with ConsumerTransaction Controlsto create new experiences for cardholders. For example, issuers can offercardholders the ability to give restricted card access to another user througha digital wallet, card-on-file merchant, e-commerce enabler and IoT provider.In this case, the cardholder could extend access in the form of a digital cardto a trusted person, like a child or caregiver, to make purchases online or viamobile wallets, without giving access to a physical card or the full accountdetails.

“As consumers become more connected, itis increasingly important for cardholders to be able to manage digital paymentactivities in one central location,” said Jim McCarthy, executive vicepresident, innovation and strategic partnerships, Visa Inc. “With these newcapabilities, we are enabling our financial institution partners todeliver greater control, increased insights and enhanced security to theircardholders who make digital payments.”

Visais also developing a new Visa Card-on-File Data API that will provide issuerswith details around merchants where a consumer has stored their card on file.The API will scan transaction history and identify card-on-file transactionssuch as bill pay or subscriptions, providing Visa cardholders with additionalinsight into where their card is stored. Additionally, an issuer will receiveinformation about where their customers’ cards are updated in the event of areissuance, due to reasons like expiration or loss of card.

Thenew capabilities will be available to issuers in the United States andAustralia in 2018.