Is Google Wallet secure?

Mobile Wallet Security Concerns – Is Google Wallet secure enough?

For those who did not have experience with Android mobile wallet app, let me explain how it works. In order to use Google Wallet, you must first set up a PIN. The PIN is required before you can access the app or make a payment transaction. The PIN has a timeout feature in order to ensure you are always in control of the mobile wallet application’s usage. Android phones also support a phone lock screen which is separate from mobile wallet application. It is highly recommended that Android users enable this security feature supported by the operating system.

In addition, users’ payment credentials are stored in a secure microchip within their Android phone called the Secure Element. This electronic chip is completely isolated from the phone’s main operating system and hardware and only trusted programs like Google Wallet can access the Secure Element to initiate a transaction.

Google is continuously working to improve and evolve the security features of the Google Wallet. The company has been actively working to make PIN enforcement part of the Secure Element feature set in order to make the entire system even more secure. In addition, Google has issued a fix that prevents an existing prepaid card from being re-provisioned to another user. This step was necessary as a precaution measure to ensure additional security of current mobile Wallet customers.

Google has recently released a completely new, cloud-based version of the Google Wallet app that now supports various credit & debit cards from Visa, MasterCard, American Express and Discover.

Google Wallet users can now utilize nearly any card when they shop in-store or online with Google Wallet.  With the new version, users can remotely disable or block their mobile wallet app from their Google Wallet account on the web. This change makes Google Wallet more secure and more useful for users and is expected to increase usage across a wider base of customers.

Even in the unlikely case that a thief has the ability to root a stolen phone, Google Wallet is still far more secure than a standard credit or debit card, as the Secure Element would protect a user’s payment information.

Security companies who are reporting that Google Wallet “hack” is possible, claim that a Google Wallet PIN is susceptible to a brute force attack – trying all possible key combinations until the PIN is discovered – that can make it possible for thieves to make purchases with a Google Wallet-enabled phone. In any case, this kind of hack has not been confirmed yet and there are no official reports claiming abuse of prepaid cards or the Wallet PIN resulting from these recent reports.

The Mobile Payments Ecosystem

The Mobile Payments Ecosystem- How it Works

To meet their customers’ expectations, NFC device suppliers, mobile network operators (MNOs), and issuers of secure payment accounts such as financial institutions and merchants will need the ability to deliver and manage these accounts as consumers continue to embrace a mobile lifestyle. TSM generally provides the infrastructure, functionality and comprehensive business service to enable over-the-air provisioning and management of a variety of accounts to any mobile device for use at a physical point of sale.

TSM as a service model can enable account issuers such as financial institutions or merchants and MNOs to integrate once and avoid the complexity of expencive, many-to-many integrations with little return on investment (ROI).

With increasingly complex technologies emerging throughout every industry, TSM has to be designed with security as a top priority. Through a secure interface to the service provider, the TSM can access any account and provides robust account life-cycle management. For MNOs, the TSM can securely access MNO systems for functions such as subscriber eligibility management, device management, billing and customer service.

Other key features of the TSM include card application, participant and subscriber management as well as chip data personalization, key management and remote download management.

Given the huge opportunity for mobile payments, it is imperative that the security and integrity of mobile transactions are provided by companies that know what they are doing. Reputation, experience and expertise in the payments industry makes the obvious winner to take payments to the next level as Trusted Service Manager.

Trusted Service Manager – the Way to Widespread Mobile Commerce

Trusted Service Manager (TSM) solutions are necessary for large-scale mCommerce enablement of Near-Field Communication (NFC) devices. TSM solution has to be the most scalable, cost-effective and secure service available today in order to signify a big step toward proliferation of the mobile wallet.

The solution developed in partnership with mobile commerce pioneer SK C&C USA, manages the enablement of Near-Field Communication (NFC) devices for issuers, merchants and mobile network operators looking to quickly prepare consumers for the fast approaching mobile payment reality.

As more consumers go mobile while managing their busy lives, an increasing number of smartphones equipped with NFC technology are now being deployed across a range of cell phones and carriers.

We’re definitely nearing a tipping point where connected consumers with access to a range of NFC-enabled devices and mobile wallets will be able to migrate all of the accounts contained in their leather wallet to their mobile device in order to make payments anytime or exchange value, anywhere.

For example, Google Wallet 2.0. solution powers the near-field communications (NFC) payment aspect of Google Wallet, which is an essential component of the solution. TSM solution performs several critical functions for Google Wallet:

  • Sets up and manages the chip (Secure Element) on the cell phone to make mobile point-of-sale payments possible.
  • Provides account provisioning and life-cycle updates to the account for the Google Wallet ID.

For someone who can adopt and develop such technology fast there is an opportunity to take over and manage 2.7 billion accounts across the widest array of account types and networks. A strong, neutral card processing provider has to have the time-tested scale, industry relationships and security expertise in order to enable the broadest payments ecosystem.

State-of-the-Art Payroll Service

Where Payday meets with innovation – What defines a State-of-the-Art Payroll Service

Bank of America Merchant Services and Money Network have launched the Money Network Payroll Distribution Service sponsored by Bank of America. The program enables employers to comply with complex payroll distribution laws while providing a safe and convenient pay alternative for employees, including millions of underbanked and unbanked Americans.

Through the service, the payroll process is efficiently streamlined through more than 60.000 Bank of America and Allpoint Network surcharge-free ATMs and complete cash access at more than 5.700 Bank of America banking centers that offer a minimum of one surcharge-free withdrawal per pay period.

The service lowers payroll expense by making employer-printed checks optional, provides employees “pay-to-the-penny” access to their payroll funds with no fees, and handles exception pay and termination pay.

The solution and its benefits for both employees and employers are numerous:
Payroll distribution can be costly and complex for any business. The Money Network Service helps reduce the expense burden for companies while enabling 100% electronic pay and payroll compliance in all 50 states.

The features and advantages that have historically been distinctions of the Money Network Service are now combined with the strength and reach of Bank of America’s ATM network and banking centers. Employees using the Money Network Service have long enjoyed access to the 43.000 Allpoint Network surcharge-free ATMs in the United States and beyond, as well as free check cashing at more than 6.800 retail Money Network partner locations. With the launch of the Bank of America- issued Money Network Service, employers can provide their employees the additional benefits of:
- The Bank of America-branded Money Network Paycard, carrying the most widely-recognized name in banking
- Nearly 18.000 in-network Bank of America ATMs
- More than 5.700 Bank of America banking centers for free encashment of the Money Network Check

Employee acceptance and enthusiasm are necessary before employers can realize the benefits of a completely electronic payroll distribution. The Bank of America-branded Money Network Paycard and the Money Network Check enable employers to introduce a payroll distribution program with immediate appeal and recognition for all of their employees.

Mobile POS solution for micro-merchants

Mobile POS solution for the micro-merchant segment is now available to U.S. merchants through two key distribution partners: Bank of America Merchant Services and Sams Club. Additional distribution partnerships are in the works and will be available soon.

Mobile POS solution enables micro merchants to accept credit and signature debit card payments on the go, anywhere, anytime.  It works by combining a web-enabled smartphone or tablet with an app and secure mobile card reader to create a point-of-sale device.

What is the definition of micro-merchants? Micro merchants are generally defined as those who process fewer than 100 transactions annually with less than $50,000 in processing volume.

Mobile POS solution is not simply another equipment option, it represents a whole new way of offering payments to a segment of customers where traditional acquiring options just haven’t made sense.

The world is changing. Information and technology access are transforming commerce-empowering both merchants and consumers. Customers now expect more integrated buying experience that is quick, consistent and secure wherever they are, at any time. According to MobeeCash.com sources, mobile payments as a whole are expected to account for $214 billion in volume by 2015, up from $16 billion in 2010, with mobile POS driving a lot of that growth.
Not surprisingly, the mobile POS category is exploding, with new entrants surfacing daily and more and more micro-merchants learning about easy, affordable options for card acceptance.

Unlike competing mobile-payment solutions, mobile POS is a full-fledged, business-grade solution that is designed to meet the needs of new and emerging businesses with true needs for payment acceptance. It features world-class security, reliability and ease of use. And delivered by leading banks, it is a solution small businesses can trust.

From the device itself, to the application components, support model, security layers, and customer growth path, mobile POS solution will definitely deliver a better overall experience for micro-merchants.