Electronic payment processing technology still has some inherent weaknesses when it comes to customer data, according to the assistant governor (financial system) of the Reserve Bank of Australia.
In a speech given earlier this week (March 20), Malcolm Edey asserted that while recent technological developments – including online payment services and mobile phones – have made electronic payments quicker and more efficient to use, the humble cheque still sets a relatively high benchmark.
He told an audience at the Cards & Payments Australasia 2012 Conference in Sydney: "Cheques are always a good reminder of the things that are missing in our electronic payments."
As an example, he noted that when making a payment with a cheque, all the person making the payment needs to know is the recipient's name, while electronic payments tend to require a bit more information.
Until details like account and BSB numbers can be integrated seamlessly, there will always be opportunities for further progress in the payment sector.
Widespread adoption of payments made via smartphones has underscored the importance of data security compliance in this sector, according to the general manager of the Payment Card Industry Security Standards Council.
Speaking last month in a podcast interview with Information Security Media Group, Bob Russo noted that PCI DSS compliance will be essential when taking mobile phone payments – and he urged companies to take a forward-thinking approach to managing vulnerabilities.