The need for organisations to protect themselves against quantum threats to cybersecurity is becoming increasingly important as quantum-computing technology advances. Quantum computers have the potential to break many of the encryption techniques currently used to secure data, and this poses a significant risk to organisations in the payments industry. Understanding Quantum Threats in the Payments Industry While quantum computers are still in the early stages of development in terms of both hardware and software, it is anticipated that if development continues at its current pace, it will be a real threat to organisations five to ten years from now. While this may seem a long way off, the vulnerability of today’s payment infrastructure is greatly exposed to quantum supremacy, and it is imperative that financial institutions take steps now to protect themselves and their customers. “While ten years might seem very far in the future,” says Costas Valakas, Stanchion’s Senior [...]

Over the past few years, the evolution of standards such as 3D Secure 2 (3DS2) and regulations such as the Strong Customer Authentication requirements in Europe’s Payment Services Directive 2 has helped to contain the growth of card-not-present (CNP) fraud. Yet with online transactions growing at a rapid rate, the payments sector can’t afford to be complacent. According to the Nilson Report, payment card fraud losses worldwide exceeded $32 billion in 2021, with the industry projected to lose an accumulated $397 billion worldwide over the next 10 years. Continued growth in CNP losses as transactions on apps and websites rise is one of the factors fuelling the growth in payments fraud losses, according to Nilson. In addition to the financial and reputational impact of fraud on merchants and issuers, there are also the cost associated with high levels of false declines. Declining a legitimate transaction not only costs the merchant [...]

In today’s rapidly evolving digital landscape, retailers and organisations are continually having to embrace and implement innovative payment changes to streamline payment processes and improve the overall customer experience. An important consideration in this regard for retailers who own their own payment switch is moving it to the cloud, a complex but necessary upgrade and safeguard that requires industry expertise and experience to deliver the programme without introducing extra operational risks. As a leading global PayTech solution provider, Stanchion has more than 20 years’ experience solving complex payment problems for clients around the world. Currently, Stanchion is engaging with the largest payment switch vendor on a strategic European project, which entails migrating a large on-premise infrastructure to cloud. The project’s scope involves moving an existing multi-tenant payment switch to a well-known Cloud provider with Stanchion providing a solution architect to design the solution and provide support during the implementation and [...]

Today’s consumers are smartphone-obsessed – and the more time they spend on their devices, the more these devices impact their behaviour and the way they consume. These devices are now so much more than just a means for communication, they have become a tool to simplify and enhance every aspect of consumers’ lives, particularly the way they handle their money and make payments. To retain and gain customers, banks and financial institutions need to ensure that they are keeping up with the pace of change and that they provide their customers with seamless digital experiences. One way they can do this is by leveraging digital wallets to improve customers’ journey and meet their demand for frictionless, cashless and cardless payment options. The growth in cashless payments has been rapid and shows no sign of slowing down: PwC and Strategy forecast that between 2020 and 2025 global cashless payment volumes will [...]

Over the past three years, we’ve seen payments innovation move at a blistering pace. Accelerated digitalisation during the pandemic boosted the adoption of digital and contactless payments around the globe. But we’re just at the start of a shift in payments that will ultimately give consumers the ability to pay anywhere, anytime and anyhow. Though it’s too early to say that cash is an endangered species, the stage is set for even more rapid adoption of new payments choices over the next decade. PwC and Strategy forecast that global cashless payment volumes will increase by more than 80% from 2020 to 2025 from 1 trillion transactions to almost 1.9 trillion and almost triple that by 2030. We had the rapid adoption of digital wallets, NFC and QR code payments during lockdowns, but that was just the beginning. Alternative payment methods such as cryptocurrency, QR code-based wallets and account to account [...]

While the COVID-19 pandemic forced financial institutions to undergo rapid digital transformation, they must not be lulled into a false sense of security, thinking that the rate of change is going to slow down. In fact, it is just the opposite – the era of digital transformation is only just beginning to gain momentum. To remain relevant, banks and financial institutions will need to shift their focus from product to servicing customer needs and delivering a seamless customer journey. McKinsey and Company highlights this in its Global Annual Banking Review, titled The Great Divergence, which focuses on the changes brought about by the pandemic and how banks urgently need to deploy a future-proof business model to enjoy growth and prosperity. Keeping up with change “Companies like Amazon, Apple, Google, Netflix and Spotify have taken existing services and transformed them into digital experiences that are now embedded in customers’ daily lives. [...]

With the rapid rise in digitisation, real-time payments environments have become increasingly complex and can be difficult to manage on a day-to-day basis because of the significant amount of monitoring data they produce. This means constant attention is needed to deliver the required level of service. While the need for automation is well understood and there is a proliferation of tools available to assist with the process, organisations still face many challenges. This is largely because monitoring and operation management automation are reactive in nature and focused primarily on identifying problems once they exist, rather than preventing them. They are typically monitored by a network operations centre (NOC) that specialises in infrastructure as opposed to the payment systems that run on those systems. For example, all payments systems monitor transaction volumes, response times, response codes, settlement processes and a long list of other obvious (and necessary) data points. However, that [...]

Sandy Baker brings a wealth of experience in financial services, fintech, biotech and impact investing in emerging markets. Stanchion Payment Solutions, a leading provider of global payment application solutions and services, is pleased to announce the appointment of Sandy Baker as an independent non-executive director of the company. Sandy brings significant gravitas to the board of Stanchion, thanks to her more than 30 years’ experience in finance, corporate finance and governance in the fintech, biotech and impact investing sectors. Sandy also has more than a decade of experience as an executive and non-executive director, sitting on numerous boards. “Sandy’s skillset and expertise will add significant value and diversity to our board, and we are delighted to welcome her,” says Stanchion CEO Steve Kirrage. “Sandy’s insights from her impressive executive career together with her significant experience gained on the board of numerous companies will help Stanchion continue with its proven strategy [...]

Stanchion Payment Solutions has successfully completed HSM migration for one of Israel’s top three banks. The bank has migrated from ARX hardware security modules (HSMs) to Futurex HSMs. HSMs power the bank’s secure payments environments such as managing the cryptographic key exchange for the bank’s ATM and kiosk networks. In addition to the core HSM replacement, the bank invested in remote touch devices that allow for secure remote management of the hardware, reducing the number of visits needed to secure data centre locations in-person. ARX had a successful market share in Israel of HSMs and had announced that it was ending support and maintenance for its product line as it exits the HSM market. This latest success represents the third live deployment and riskless migration from ARX HSMs to Futurex trusted platform, in the Israel market. The bank went through a rigorous RFP procurement process and chose Stanchion’s expertise and [...]

JMMB partners with Stanchion to deliver innovative payments solutions to its customers across Jamaica, Trinidad and Tobago, and the Dominican Republic. JMMB, one of the leading financial groups in the Caribbean, has partnered with Stanchion Payment Solutions, global specialists in payment solutions and integrations, to reduce fraudulent card transaction activity and create new customer communication experiences. JMMB is the first bank to deploy the latest version (v3.0) of Stanchion’s Digital Payments platform, Verto. Verto is used by financial organisations globally and provides payment orchestration, data transformation and enrichment services. Through this partnership, Stanchion provides JMMB with a multi-pronged approach to fraud. A rules-based engine declines suspicious activity, while Verto enables transaction alerts – empowering JMMB’s customers to react to suspicious transactions. The flexibility of Verto’s innovative rules engine allows JMMB to selectively send different alerts over multiple channels depending on the nature of the transactions and the cardholders’ preferences. For [...]