MasterCard Inc. has announced plans to bring passcode-generating display cards to U.S. consumers.
The Purchase, N.Y., company recently tested and introduced the cards in Europe and Asia.
They function as, and look like, the usual magnetic stripe card — with the addition of a built-in display that generates a one-time passcode for improved security, MasterCard said on Monday. Card issuers may use the passcodes as a card-verification code to help identify counterfeit cards or as a complement to MasterCard SecureCode, an online authentication service.
Symantec Corp. in Mountain View, Calif., is supplying the technology through its VeriSign Identity Protection Authentication Service, which lets merchants offer secure transactions and online access to help combat fraud.
NagraID is to develop and manufacture the cards, which have a display screen, 12 buttons and an embedded secured chip, said Philippe Guillaud, the Los Angeles company's executive vice president and chief technology officer.
The use of dynamic data in payments and authentication has been growing, said Gwenn Bezard, a co-founder and the research director of Aite Group LLC in Boston. "Most consumers log in to their online bank accounts with static information that rarely changes. And anything that is static has a level of vulnerability," he said.