23 April 2014

Mat Peck

Mat Peck - Sage Pay

1 | posts 3,321 | views 3 | comments
A post relating to this item from Finextra:

MPowa launches UK's Square

23 January 2012  |  18295 views  |  11
UK e-commerce outfit Powa has become the latest firm to launch a plastic dongle and mobile app that turns smartphones into payment card readers.

This is non-compliant in the UK

24 January 2012  |  3322 views  |  1

Cardholder Present transactions in the UK are mandated to be Chip and PIN verified, and since this device is swipe only (like Square in the US) it would not reach the minimum requirements for such payments.

I doubt that any UK acquiring banks would issue merchant accounts for use with this device.  It wouldn't be supported by Visa or Mastercard, and is against the recommendations of the Payments Council.

I fail to see how this has any legs at all.  It strikes me nothing more than another media stunt by Mr Wagner.

TagsMobile & onlinePayments

Comments: (2)

John Dring - Intel Network Services - Swindon | 24 January, 2012, 13:57

Sounds about right.  I was waiting for iZettle to arrive in the UK as its solution is a Chip reader, as I recall.  Currently in Sweden only.  Its EMV approved.

Mat Peck - Sage Pay - London | 24 January, 2012, 16:31

Unfortunately iZettle is only a Chip reader, and whilst EMV compliant is not a full Chip and PIN device.  At present that won't help in the UK market either.

The only compliant solutions at present are Pin Entry Devices (PEDs) that link to smartphones using Bluetooth.  The data is end-to-end encrypted so that the phone is not in scope for the Payment Card Industry Data Security Standard (PCI-DSS).

There are a couple of relatively recent entries into the market in this area. 

Comment on this story (membership required)
Log in to receive notifications when someone posts a comment

Latest posts from Mat

This is non-compliant in the UK

24 January 2012  |  3322 views  |  1  |  Recommends 0 TagsMobile & onlinePayments
name

Mat Peck

job title

Head of Innovation

company name

Sage Pay

member since

2012

location

London

Summary profile See full profile »
I'm responsible for the next generation of Sage Pay products which will allow easier and simpler ...

Mat's expertise

What Mat reads
Mat writes about

Who is commenting on Mat's posts