1. Mobile Payments Commerce Without Cash or Credit Cards

2. Traditional Methods of Payment Cash Check or Money Order Traveler’s Checks Credit Cards and Debit Cards Pre-paid Cards (e.g., Gift Cards, MetroCard) Combination Cards (Loyalty Plus Payment) ▫e. g., Starbucks Card NFC or RFID Tokens (“tap to pay”)

3. Cyber Payments Secure Web site ▫Uses credit card numbers, often with CVV Cyber Wallets ▫PayPal, Amazon.com, iTunes, Google Wallet Cryptocurrency ▫Bitcoin, eGold, etc.

4. Mobile Payment Processing Moves credit/debit card processing to the mobile device ▫Square ▫Pay Anywhere ▫PayPal Mobile ▫Intuit

5. Hybrid Payment Systems Moving Cards and Cyber Wallets to mobile devices ▫PayPal app – access your PayPal account ▫Amazon apps – purchase merchandise, MP3s ▫Google Wallet – for Google Play & apps that accept the wallet ▫iTunes and the App Store ▫Combination card apps  Starbucks, Dunkin Donuts, etc. (scan to pay)

6. NFC: Payment’s Next Iteration? NFC: Near Field Communication ▫Devices must be in close proximity (??) ▫Login plus secure PIN to access payment method ▫Secure settings within the NFC chip (specific to the device) ▫Accounts must be manually migrated to upgraded devices

7. NFC and Mobile Payments Isis Wallet ▫Hover/tap to pay ▫Available for Android and iOS ▫Based on NFC (built into newer, high-end Android phones, newer iOS systems can access with special cases) ▫Copies credit/debit card information to your phone (limited number of banks and services) ▫Limited (but growing) number of loyalty programs

8. Isis Incentives Isis and American Express Serve (a prepaid card) have been offering $25 to join the program (available through certain wireless carriers) Verizon Wireless has been offering $1 credit per wireless purchase with AmEx Serve My Coke Rewards incentives to join through, or to attach existing accounts to, Isis Other credit incentives have been offered to “seed the market”

9. Other Incentives Dunkin Donuts and Isis are both offering referral incentives Loyalty programs usually reward in merchandise or in “points” to be redeemed for merchandise

10. Is Mobile More Secure than Credit Cards? Pros: ▫NFC: Secure chip, dual identification ▫Magnetic stripes cannot be force-read (street device) if cards are not present Cons: ▫NFC: Can the radio and/or the app(s) be hacked? ▫NFC: Despite the availability map, many locations have “contactless payment” disabled ▫What if you lose or break your device (or it is stolen)?  Security apps, remote wipe of device  Card management through computers/Web

11. Other Considerations Resource Management ▫How many different places do you want to store money? (What if you suddenly need it all in one place?) ▫How much room on your device do you want to allocate to wallet apps and loyalty apps?  How many of these apps come pre-loaded as “carrier bloatware”? ▫What if you don’t have a data plan (or a 3G/4G chip)? Back End Security ▫Your financial information is only as secure as the systems through which it is sent

12. NFC Security: Resources 8 Myths About Mobile NFC (Gemalto Security)8 Myths About Mobile NFC How Secure is NFC Tech? (How Stuff Works)How Secure is NFC Tech? Security Concerns with NFC Technology (NearFieldCommunication.org)Security Concerns with NFC Technology Nearfield Communication (Wikipedia)Nearfield Communication NFC FAQ (Smartcard Alliance)NFC FAQ