Credit Card Security: What Needs to be Done

In an ever changing world where honesty and trust are losing the race to money and power, security is becoming a major issue in every aspect of life; the credit card industry is no exception. Studies show that stolen credit cards and fraudulent credit card use has risen every single year in the past decade. It’s time do something about it. A new technology is needed to make credit card use more secure and to give consumers and businesses peace of mind.

American Express credit cards contend to be the most secure in the world and succeed in doing so, but what would take American Express to a new level? What could bring them ahead of the game? With their rise in users and popularity, a more secure card would secure their position as the world’s #1 used card, and that’s where they want to be.

Biometrics is the measurement and analysis of physical characteristics. Used in conjunction with technology, biometric recognition is a superior method of user specific authentication. Imagine a credit card that can only be used when in its owner’s possession. I believe that implementing such a security measure in American Express credit cards is quite feasible, cost efficient, and a sure fire way to lower fraudulent usage and theft of credit cards.

The most effective and efficient method of biometric science to use with a credit cards is fingerprint recognition. Fingerprints are very unique from person to person and can be identified very quickly. When a consumer applies and is accepted for an American Express credit card he or she would be required to go in to their local branch from where the credit card is being issued. They would then have their fingerprints taken and turned in to digital information. This information could then be stored on the card. The easiest way to do this would not be with a computer chip, but by using a small section of the already existent metallic memory strip located on the back of the card. This eliminates the need for a separate storage unit for the fingerprint information saving massive amounts of money needed for the migration. The fingerprint information should also be stored at the person’s local branch on a separate storage server and not on the servers that have remote or internet access. This would ensure that the card holder’s fingerprint information be available only to authorized bank personnel and not anyone with computer skills and malicious intent. The lower right portion of the card would have a 1” by 1” section dedicated to a scanning device where consumers place their index finger (or another finger if the index finger is not available) and their fingerprint is read. There of course would have to be a minute software program locally on the card either in the metallic strip or a small microchip. The information read from the scanner would then be verified with the information stored in the metallic strip and if the fingerprints match the card would then be activated for a period of 10 seconds to allow a scan of the user’s card to take place. Immediately after the scan the card would be deactivated again even if the initial 10 second activation period has not ended. In the case of online purchases, the user would have to be at home or within reach of a phone number that is already on their account. The credit card company would call the house or phone numbers listed and verify the user’s information as well as have the user answer 2 security questions. This would also be true for phone purchases and also makes it very hard for fraudulent use by simply obtaining the credit card number almost impossible. If the card was lost, stolen, or had too many incorrect uses (swipes without proper authentication) the card would then be permanently deactivated. The owner of the card would have a new card that is preprogrammed with their fingerprint information sent out to their house immediately (same day or next available business day) in order to keep their time without a card minimal. The user could also still make purchases with their card over the phone and internet with the proper information and security answers. Also, the fingerprint information on the metallic strip would be protected meaning if anyone were to try to change the fingerprint information on the card the card would cease to function. This would also apply to tampering of the scanning device. It may seem a bit excessive and a hassle in order to obtain a new card, but with the projected fall in fraudulent use and stolen cards the number of claims would lower dramatically allowing the reissuing process to be much faster.