Chase Paymentech Solutions LLC will provide an advanced encryption service for its point-of-sale retail clients in Canada, the Dallas-based payment processor announced Oct. 26.
Chase Paymentech has offered the service, called Safetech Encryption, in the United States since January through a partnership with terminal maker VeriFone Systems Inc., the company stated in press release.
Safetech Encryption secures cardholder data for card-present transactions while eliminating processing, transmission and storage of unprotected payment card account information on retailers’ systems, the company stated.
Safetech encrypts and formats the customer’s card data so the retailer’s POS systems process the transaction in typical fashion, but the card data are rendered useless to any other person or system that obtains it. Safetech sends the encrypted data to Chase Paymentech, where the information is decrypted and processed through the payment brand networks, such as MasterCard Worldwide or Visa Inc., the company reported.
“Data security is a great concern for retailers, and Safetech Encryption will ultimately help protect merchants and their customers from the increasing risks associated with global fraud and data breaches at the point of sale,” Sam Jawad, president, Chase Paymentech Canada, stated in the press release.
Using an encryption process can reduce Payment Card Industry Data Security Standard compliance requirements because the retailer no longer has a need to store unprotected cardholder data in their POS system or within their networks, the company stated.
Chase Paymentech is a subsidiary of New-York-based JPMorgan Chase & Co. In Canada, the company has offices in Toronto, Ontario.
