Joining the gift and prepaid card industry's efforts to bolster its security, InComm announced a new partnership this morning aimed at protecting recipients from card fraud. The prepaid product and transaction services company, based in Atlanta, has joined with technology company Tendor Armor, based in Fort Lauderdale. Beginning next year, InComm's products will be available with Tendor Armor's fraud prevention tool, CVV+.
CVV+ provides dual-factor authentication to consumer payment products, allowing recipients to prevent unauthorized use of their gift cards, whether online, in-person, or over the phone. Instead of a set CVV code printed on the back of the card, CVV+ generates a daily security code known by only the cardholder, which they can then use to complete the transaction, making theft of the card's value extremely difficult.
"Protecting cardholders from fraud is a daunting task, but this new innovative and simple solution has the potential to help protect our consumers and to provide InComm with an important account feature that differentiates our products in the market," said Scott Meyerhoff CFO and COO, InComm.
This announcement is the latest initiative by gift card solutions providers to bolster their security offerings
. Last month, National Gift Card Corp. unveiled its Retail Partner Gift Card Agency
, aimed at, among other things, providing fraud protection for its gift card brand. InComm pointed to recent research by Tender Armor that found 78 percent of consumers wanted greater security in their payment cards.
"Our mission is to alleviate consumer worry about fraud and the associated hassles of fixing the problem or waiting for a replacement card," said Madeline Aufseeser, CEO of Tender Armor. "Card issuers and banks risk losing consumer trust, accounts, brand equity, and market share every time one of their payment cards is compromised."
She added that CVV+ reduces these risks while also cutting down on the chance of having a card declined as a result of mistaken identity.
"We are delighted that InComm, a recognized leader in the prepaid card industry, selected CVV+ to be part of their fraud prevention efforts," Aufseeser concluded.