"You can be a victim of the fastest growing crime, white collar crime... identity takeover... in the bricks and mortar world much easier even than in the clicks and mortar world."
Nevertheless, at Visa U.S.A., a new service is being offered to increase online shopping security. Senior VP Stacey Pinkard... says the Verified by Visa program goes beyond the protections already in place...
"What Verified by Visa is ... is it's a password based system that allows consumers to set up a personalized password with their bank, and then use that password when they shop on the Web. So when merchants implement Verified by Visa, the cardholders during the checkout process, which is exactly the same as it is today... there's no change to the consumer's experience of how they buy online... except for the fact that when they hit that final buy button, they'll be prompted by their bank actually to input their password. They put in that password, their identity is authenticated, and then the transaction goes through as it normally would."
Card issuing banks will be rolling out the new service. Visa says its surveys show seventy percent of consumers would feel safer using the additional password. Bloomberg Boot Camp, I'm Fred Fishkin.