Electronic transactions 123

Electronic Transactions

Contents

Introduction on

• SET

• CP and CNP

• Need security

Mobile tranactions

• Mobile banking

• Mobile commerce

Upcoming

Why SET?

History

• John Biggains had a vision of credit cards.

• In 1950s concept of customers paying different merchants using the same card came.

• This was termed as credit card

Why SET?

Until 1958

• There was no stable credit system by a third party bank that was accepted by a large no of merchants.

• Bank of America launched the BankAmericard in Fresno, California.

• a group of banks established Master Charge to compete with BankAmericard (1966)

Why SET?

90s

• Third party banks, mastercard and Visa shooked hands to develop a protocol

• goal was to combine the card associations' similar but incompatible protocols into a single standard.

• This was SET (secured electronic tranasaction)

Why SET?

Acceptability

• This protocol was widely used and accepted by many merchants

Why SET?

Working

Why SET?

Time

• This whole process is completed in just 2 sec.

secured

• This protocol is very secured as compared to traditional STT or SEPP

CP and CNP

Chip and pin

&

Card not present

CP chip and pin

Also called as card present

• The transaction which required the card and its credentials/pin

• To use this we have to visit to merchant place

• We can be in a queue

• It is same as carrying cash with you

CNP card not present

• The transaction which required not the card but its credentials/pin

• The CNP was developed to fulfill the needs of growing e-commerce activities

• Need not to visit merchant place

• Need not to form a queue.

Security

Why?

Why security?

• The protocol is responsible for transferring the money/service.

• No one wants his money/service reaches to one who is not supposed to avail that

Why security?

Roya Bank of Scotland WorldPay Heist

• 2008 hackers accessed RBS accounts and increased withdrawal amounts.

• To steal over $9m

• Clone cards were used on 2,100 ATMs across the world

Max vision

• He was sentenced to 13 year prison

• Hacked 1.8m credit card numbers

• Theft was turnaround to $86.4m.

RuPay!!

RuPay is an Indian domestic card scheme conceived and launched by the National Payments Corporation of India (NPCI). It was created to fulfill the Reserve Bank of India’s desire to have a domestic, open loop, and multilateral system of payments in India. RuPay facilitates electronic payment at all Indian banks and financial institutions, and competes with MasterCard and Visa in India. NPCI maintains ties with Discover Financial to enable the card scheme to gain international acceptance

Mobile transactions

Mobile payments

Mpos

Contactless/NFCBuying goods

Mobile bankingMobile commerce

Card payments

Carrier billing

Bank transfer

ALT payment

Virtual currency

no yes

inphoneIn cloud

yes no

We are using consumer phone or not

Where is the security

Who has the consumer account

Mobile

Mpos

• Mobile point of sale

• Mobile is the accepting terminal

• Terminal is lighter

• Cheaper

Mobile

NFC

• Was popular in japan

• User has to strike his phone on machine

• Such that credit is transferred to merchant via machine

Mobile banking

• To move money peer to peer.

• bitcoin

Mobile

Card payment

• Account is held by bank

Carrier billing

• Account is held by mobile operator

Alternative payment method

• Like Paypal

Virtual currency

Upcoming

Biomatric

Fingerprint biometric payment system

• Payment solution through biometric fingerprint consists in a self-installing USB system which allows reading customer’s fingerprint,

• no need of money or credit cards.

• Accurate Identification

• Easy and Safe for Use

• Time Saving

• Security

Money dashbord

• Another kind of application not only responsible for money transaction also the financial advice.

• User creates account in this.

• He sets goal that is to be maintained.

• User uses this application for all type of transactions.

• Whenever his transaction exceeds he is given a alert message.

Optimal payments

This is a network type payment system

• In this customer as well as merchant creates account in this

• Whenever customer wants any service or product the application can help him by locating the market place or by giving the customers requirement to merchant

• User just had to visit the that market place or avail that service

• While payment had already made prior to availing the product.

Conclusion

• The Internet might lead to a radical change in the future of money

• Money in form of coins and notes might lie in the banks as their circulation may stop due to internet.

The end