1. MOBILE PAYMENTS Practices and Risks By Michaela Grube

2. Mobile Payments – An Introduction What are mobile payments? Rise of mobile payments Risks associated with mobile payments Best practices

3. What are Mobile Payments? “Gartner defines mobile payment as transactions conducted using a mobile phone and payment instruments that include: Banking instruments such as cash, bank account or debit/credit card, and Stored value accounts (SVAs) such as transport card, gift card, Paypal or mobile wallet” (Gartner, 2012.)

4. What are Mobile Payments? Include different types of technology NFC – Near Field Communications EMV – Europay, Mastercard and Visa ACH – Electronic Banking PCI – Payment Card Industry

5. Rapid Rise of Mobile Payments History – International vs Domestic Current - estimated at 5.7 billion dollars collected monthly (Kanopy, 2014.) Future – expected to grow exponentially Innovation - Beacons

6. Risks Associated with Mobile Payments Fraudulent Transaction What is and in not considered fraud? Data Breach Has this happened to you?

7. Practices in use to mitigate risks Who is responsible for consumer data ? Starbucks - Custodian Apple Pay – 3 rd Party Provider (Hamblen, 2015.) PCI Best Practices (PCI, 2013.) Specific guidelines to select a payment provider How to protect consumer data and plan for maintenance Other suggested practices (Baxley, 2013.) Multi-layered approach including encryption, tokenization, PCI standards EMV technology – in person fraudulent transactions

8. Conclusion Trends are the mobility is necessary to stay competitive Apple, Samsung, Google – major players in NFC technology WalMart and Best Buy – averse to incurring costs As mobility increases we must be advised of risks and best practices Small businesses more averse due to perceived less risk Students are increasingly tech-savvy Important to understand secure mobile payments from both a consumer and provider perspective

9. References Baxley, D. (2015). Chipping Away At Credit Card Fraud With EMV. Dark Reading. Retrieved 11 October 2015, from http://www.darkreading.com/endpoint/chipping-away-at-credit-card-fraud-with-emv/a/d-id/1322554 Hamblen, M. (2015). Battle over mobile payments is raging. Computerworld. Retrieved 10 October 2015, from http://www.computerworld.com/article/2890193/a-mobile-payment-battle-is-blazing.html Hamblen, M. (2015). Mobile payments to tally just 1% of all U.S. consumer spending in 2019. Computerworld. Retrieved 10 October 2015, from http://www.computerworld.com/article/2848836/mobile-payments-to-tally-just-1-of-all-us-consumer- spending-in-2019.html Holloman, C. (2015, March 3) Key Challenges Facing the Payment Industry in 2015. Retrieved from https://www.linkedin.com/pulse/key-challenges-facing-payment-industry-2015-christer-holloman Merchants Struggle to Contain Rising Mobile Fraud Costs. (2015). Retrieved November 8, 2015, from http://lexisnexis.com/risk/downloads/whitepaper/true-cost-fraud-mobile-2014.pdf

10. References (continued) Mobile Payment - Gartner IT Glossary. (2012, February 10). Retrieved November 8, 2015. http://www.gartner.com/it- glossary/mobile-payment Mobile payments: Trends and insights. (2014). https://unomaha-kanopystreaming- com.leo.lib.unomaha.edu/node/89938 PCI Mobile Payment Acceptance Security Guidelines. (2013) (1st ed.). Retrieved from https://www.pcisecuritystandards.org/documents/Mobile_Payment_Security_Guidelines_Merchants_v1.p df Pullen, J. (2015). Why Mobile Payments Aren't Gaining Traction with Small Businesses. entrepreneur.com. Retrieved 6 October 2015, from http://www.entrepreneur.com/article/250165 Schuman, E. (2015). Mobile payments: What will it take for beacons to take the next step?. Computerworld. Retrieved 6 October 2015, from http://www.computerworld.com/article/2923050/retail-it/mobile-payments-what-will-it-take-for- beacons-to-take-the-next-step.html United States. (2013). Developing the framework for safe and efficient mobile payments: Hearing before the Committee on Banking, Housing, and Urban Affairs, United States Senate, One Hundred Twelfth Congress, second session... March 29 and July 10, 2012. http://unomaha.worldcat.org/title/developing-the-framework-for-safe-and-efficient-mobile- payments-hearing-before-the-committee-on-banking-housing-and-urban-affairs-united-states-senate-one-hundred- twelfth-congress-second-session-march-29-and-july-10- 2012/oclc/827742528&referer=brief_results