Two years ago, Finextra published words of banking business consultant, Mark McMurtrie: “PINs are generally sent to the cardholders address using the postal service. …It seems that not much has changed in the process used by banks in the last 30 years.” Luckily, according to the study published today by the Ostendo Consulting, things are changing now – and they are changing fast!
Study at the Executive level
Information for the study has been provided exclusively by the top managers in the payment card industry who are directly responsible for payment card business development in their companies. More than 500 card business executive directors, vice presidents for card business and top ranked managers around the world were contacted to contribute to this research. Information from 23 countries has been collected.
Security, Price, Cardholders’ satisfaction
According to the industry leaders, banks were waiting for the credit card vendors to define appropriate security requirements for EPD solutions before making final decisions to get rid of 30+ years old PIN mailers. As much as two-thirds of contributing banks are already considering or would consider EPD solutions. Study results are pretty much straight forward. Lower cost, better security, better customer satisfaction and environmental protection are main reasons for payment card issuers to abandon traditional PIN mailers and adopt new technology.