January 21, 2014

Calls for chip-and-PIN silent on national standards

Jan. 22, 2014 - NAFCU continues to call on Congress to hold retailers responsible for the consequences of data security breaches like the one that hit Target Corporation, whose CEO is instead touting the adoption of chip technology such as EMV cards.

EMV chip technology - named for Europay, Mastercard and Visa - is widespread in Europe, and most credit card companies in America have announced plans to switch over in 2015. The Wall Street Journal ran a story Tuesday that focuses on Target's short-lived effort to move to chip technology and the company's CEO reviving a call for the technology.

What the story doesn't address is the need for national standards for merchants to protect consumer data, such as those imposed on credit unions under the Gramm-Leach-Bliley Act.

Data SecurityNAFCU was the first financial trade association to issue the call for Congress to hold retailers to the same standards that credit unions adhere to in terms of data security. Credit unions attending NAFCU's Technology and Security Conference, Feb. 11-13, will learn the latest on fraud trends and managing threats; attendees will hear about critical areas of cybersecurity as well as the current efforts for legislation mandating that merchants take a more active role in protecting consumer's data.

"Now is the time for credit unions to come together to talk data security," said NAFCU Senior Vice President of Government Affairs and General Counsel Carrie Hunt. "Consumers are understandably skittish in the wake of recent data breaches at major retailers, and those breaches are sure to continue happening. Credit unions have been there for their members, and NAFCU wants to provide its members with the right tools and most up-to-date information as we continue to respond to this developing situation."

Members and nonmembers can register for NAFCU's Technology and Security Conference.