Credit Union 24, the country's largest credit union-owned ATM and point-of-sale (POS) network, has entered into a pilot agreement with Acculynk to provide the company's Internet PIN debit service, PaySecure, to its member credit unions.
While Credit Union 24 is the fourth EFT network to announce a pilot program with Acculynk, it is the only network solely devoted to credit unions.
"Our members are seeking new products that provide value to their customers and increase credit union loyalty," said Jim Park, President and CEO of Credit Union 24, Inc. "PaySecure is one of the few noteworthy innovations in the debit card market in the last 10 years. It satisfies consumer demands for more secure and convenient online payment methods."
PaySecure is the first software-only service for PIN debit payments on the Internet. Consumers enter their PIN on PaySecure's graphical PIN-pad at the merchant checkout, and only need their existing debit card and PIN to use PaySecure. There are no hardware devices, passwords, enrollment or redirection to another website for payment.
A Javelin Strategy & Research study conducted on PaySecure in March 2009 found that 78% of survey participants agreed that entering their PIN on the PaySecure PIN-pad was similar to and as simple as entering their PIN at the ATM or grocery store. The same study found that 48% of participants would buy more often on the Internet if they could pay with PaySecure.
"PaySecure will drive incremental fee income to Credit Union 24's members," said Ashish Bahl, CEO of Acculynk. "We are delighted that Credit Union 24 has agreed to pilot PaySecure, as they bring a unique base of consumers that prefer to bank with credit unions."
PaySecure provides an extra layer of security for debit card transactions, leading to reduced fraud and charge-backs for credit unions, and offers attractive margins. "This is a value-add service for any credit union we work with, and we expect it will be widely adopted," said Park.
Credit Union 24 joins ACCEL/Exchange, PULSE and NYCE as participating PaySecure EFT networks.