Digital Wallets Found Vulnerable to Fraudulent Payments

Researchers from the University of Massachusetts Amherst and Pennsylvania State University have identified significant security flaws in digital wallets. Despite their popularity for contactless payments, these digital wallets have vulnerabilities in authentication, authorization and access control. Attackers can exploit these weaknesses to integrate stolen or canceled payment cards into their wallets and make fraudulent transactions. The researchers demonstrated these issues using popular digital wallets and major U.S. banks. Their findings, presented at Usenix Security 2024, highlight the need for improved security measures in digital wallet systems.

New Tennessee Driver’s License, ID Cards Unveiled

The Tennessee Department of Safety and Homeland Security has unveiled new driver’s license and identification cards. The cards have a new design with improved security, the TDOSHS said. The license will help reduce wait times at Driver Service Centers. Over the next few months, the new credentials and kiosks will expand to all Driver Service Centers. The new driver’s license and ID cards feature a stylized version of the state capitol and state flag. The new design also features waves and patterns printed in very fine lines that cannot be scanned or easily reproduced.

Smart Card Statistics 2024 By Security, Technology, Control

The global smart card market is expected to reach USD 29.6 billion by 2033. CPI Card Group Inc. is the leading player with an 18% market share, while Gemalto previously led the market with a 35% share in 2008. The Asia-Pacific (APAC) region dominates the market, holding a 39.4% share. Cashless transaction volume in APAC is projected to grow significantly from USD 494 billion in 2020 to USD 1,818 billion by 2030. The smart card technology, which began with patents in the 1970s in Japan and France, has evolved considerably. In the U.S., FIPS 201-3 sets standards for Personal Identity Verification cards used for secure access by federal employees and contractors.

Study Finds Debit’s Importance to Consumers Continues to Increase

The 2024 PULSE Debit Issuer Study reveals that U.S. consumers are increasingly using debit cards for more transactions and higher spending. Conducted by Banking & Payments Group and commissioned by Discover® Financial Services’ PULSE debit network, the study highlights a rise in the number of debit cards, transactions, and annual spend per card in 2023. Steve Sievert from PULSE noted that the convenience of debit cards has solidified their role in retail banking, with active cardholders making over 400 transactions annually.

$1.25T Gift Cards Market by Type, Application 2024-2030

The gift cards market, valued at $827 billion in 2023, is projected to grow to $1.27 trillion by 2030, at a CAGR of 6.41%. Gift cards are available as closed-loop cards (usable only at the issuing retailer) or open-loop cards (accepted anywhere major credit cards are). Their popularity is fueled by convenience, digital gifting trends and a shift toward cashless transactions. Advances in technology have enhanced the ease of purchasing and redeeming these cards, with digital and e-gift cards becoming increasingly popular for their immediate delivery and usability.

Transit Card Shortage Leaves Tourists Scrambling

Foreign tourists in Japan have faced difficulties due to a yearlong shortage of essential transit cards used for navigating the country’s railway system. Contactless IC cards, such as Suica and Pasmo, are crucial for travel across Japan but have been unavailable for new issuance since summer 2023. This shortage is attributed to global semiconductor supply issues exacerbated by the coronavirus pandemic.

MBTA’s New Contactless Payment System Launches

The MBTA will now accept contactless payments on buses, Green Line trolleys, Mattapan Line trolleys and at all gated subway stations. Riders can use contactless credit cards or mobile wallets, such as Apple Pay, to pay by tapping their devices, replacing the need for traditional CharlieCards and paper tickets.

Translink Completes Rollout of Contactless Payments

Translink has finished rolling out contactless payments across its entire network, including all bus and train services. This update, which began in March 2022, now includes Ulsterbus and Goldliner services. Chris Conway, head of Translink, described the rollout as a significant advancement in customer-focused, innovative ticketing, emphasizing ease of use, simplicity and convenience.

South Korea Payment Cards Lead the Way in a Well-Developed Economy

South Korea’s cards and payments industry is well developed, and the country’s consumers are prolific users of payment cards. The average number of monthly card payments is estimated at 6.4 in 2018, which is among the highest figures in the Asia-Pacific region. South Korea is also a highly mature market in terms of card penetration, with an average of 5.3 cards per inhabitant. A strong banked population and high levels of financial awareness have driven consumer adoption of payment cards in the country.

Florida Driver’s License and ID Card Numbers Will Change

The Florida Department of Highway Safety and Motor Vehicles will begin implementing legislation which amends Florida Statute 322.14 (1)(a) and requires the distinguishing numbers assigned to a driver license or identification card to include at least four randomly generated numbers. This new system aims to improve security and safeguard individuals’ identities. While the license or identification card format will remain the same, a different formula utilizing randomization will now be used to determine the driver license numbers assigned to a customer.