Banking Blog

Finance Blogs » Banking » Banks, retailers form partnership

Banks, retailers form partnership

By Marcie Geffner · Bankrate.com
Monday, February 24, 2014
Posted: 6 am ET

Thirteen banking and retail industry groups have announced a new cybersecurity partnership to address the growing problem of cyberattacks and data breaches.

In a joint statement, the groups said the partnership will form working groups comprised of the associations, their member companies and other stakeholders. The groups will be focused on sharing information about cyberthreats, payment system technology innovations, national data-breach laws and other issues.

The focus will be on "exploring paths to increased information sharing, better card security technology and maintaining the trust of customers," the groups said.

Areas of agreement and disagreement and possible solutions will be discussed.

The financial industry groups involved in the effort are the Financial Services Roundtable, American Bankers Association, The Clearing House, Consumer Bankers Association and Independent Community Bankers of America.

The retail groups are the Retail Industry Leaders Association, American Hotel & Lodging Association, Food Marketing Institute, International Council of Shopping Centers, National Association of Convenience Stores, National Grocers Association, National Restaurant Association and National Retail Federation.

The partnership agreed to three guiding principles: that information sharing is paramount to warding off cyberattacks and protecting data; that innovative technologies must be implemented to reduce risks; and that partnerships must be formed "among all stakeholders of the payments ecosystem" to collaborate on long-term solutions to threats in card-not-present situations and the mobile-payments environment.

In the statement, ABA CEO Frank Keating characterized the partnership as a positive first step.

"Consumers expect both that the payments system will protect their sensitive information and that they receive the convenience they've come to expect while using their credit or debit cards," Keating said.

ICBA CEO Camden R. Fine said data protection is a shared responsibility of all payment-processing companies.

"Consumer confidence in the payments system is vital for retailers, networks, processors, telecom providers and card issuers and is at the heart of the customer-bank relationship," Fine said.

NRF CEO Matt Shay said there is no one solution to the complex issues of cybersecurity.

"That is why it is important to bring stakeholders together as we seek answers, share solutions and implement programs that not only prevent hackers from breaching data systems, but protects the consumer by shutting down these criminal enterprises," Shay said.

Follow me on Twitter: @marciegeff.

«
»
Bankrate wants to hear from you and encourages comments. We ask that you stay on topic, respect other people's opinions, and avoid profanity, offensive statements, and illegal content. Please keep in mind that we reserve the right to (but are not obligated to) edit or delete your comments. Please avoid posting private or confidential information, and also keep in mind that anything you post may be disclosed, published, transmitted or reused.

By submitting a post, you agree to be bound by Bankrate's terms of use. Please refer to Bankrate's privacy policy for more information regarding Bankrate's privacy practices.
1 Comment
Khasru bhuiyan
February 24, 2014 at 12:47 pm

Dear sir, thanks for ur nice co-operation,

Add a comment

(Comments may take 5-10 minutes to appear)