The National Retail Federation has written a letter to congressional leaders asking for help from the financial and banking industry in the security-breach issue.
Matthew Shay, president and ceo of the retail trade association, wrote to Senate Majority Leader Harry Reid (D., Nev.) and Speaker of the House John Boehner (R., Ohio), “When it comes to the most criminally lucrative data — sensitive bank card information — our partners in the financial sector have a critical role to play in making sure their cards are secure.
“For years, banks have continued to issue fraud-prone magnetic stripe cards to U.S. customers, putting sensitive financial information at risk while simultaneously touting the security benefits of next generation ‘PIN-and-Chip’ card technology for customers in Europe and dozens of other markets.”
As reported by Women’s Wear Daily, Shay said retailers have long sought the lead in payment security through adopting new technologies. But he stressed that retailers cannot solve the problem alone and noted that the industry is “eager to work with banks and card companies to fight cyber attacks and reduce fraud.”
“Only by working together will consumers’ financial data be protected from criminals,” Shay said. “That is why it is time for our partners in the card industry to invest in next-generation technology to secure sensitive bank-card data. As long as bank cards continue to be issued with outdated and fraud-prone magnetic stripe (and signature) security, it is clear American card holders will remain largely unprotected.”