Can Banks Protect Consumer Identity?

Oct 20, 2015

Identity theft protection services have taken a big hit this month as two major companies have been exposed for misconduct and dishonesty. The Federal Trade Commission accused LifeLock of failing to secure sensitive customer information as it pledged to do in 2010. Then the credit bureau Experian, which also provides identity protection services, was sued for allegedly selling consumer records to an identity thief. In the wake of these incidents, many consumers are wondering if there are any services that can actually keep their identities safe.

This news comes as no surprise to many in the financial industry, who are thankful that consumers now know the truth about LifeLock and other commercial “identity protection” services. They claim that consumer information has been compromised for years and that banks and others must develop better solutions. Identity protection services often scan the internet for signs of suspicious activity of a customer’s information, then sends an alert to notify them. Critics claim that many identity protection services charge large fees to consumers for activities that consumers can perform for free. For example, by law consumers can get a free credit report three times a year. They can also acquire free credit monitoring from companies like Credit Sesame and Credit Karma.

In the digital age, it is extremely important for consumers to practice good identity hygiene. This means before hiring an ID protection company, read the fine print. Do they have protection? What are their ID theft and remediation strategies? All in all, people should know what services they are paying for.

Consumers can also take action on their own. Check their credit reports annually, shred documents with personal identification on them, monitor bank statements, and watch out for phishing and web scams to ensure personal identity information is safe.

It’s a new era where identity protection should be on the forefront of consumer minds. Merchants must be aware of this imminent threat, and the impacts it can have on their customers and businesses. EMB is a comprehensive chargeback protection provider that protects merchants from fraudulent attacks as a result from identity theft activity. Contact EMB about Chargeback Shield and take the risk out of high risk business.

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Having a merchant account allows an account holder to take advantage of merchant cash advances. When a merchant is approved for an advance, the business agrees to receive a lump sum of cash in exchange for an agreed-upon percentage of future credit card sales.

Pricing varies depending on the merchant’s industry, past credit card processing history, the type of business seeking the account, average ticket sales, and average transaction volumes.

Yes, EMB works with merchants who are building their credit, as well as those who have poor credit. EMB also approves merchants that have no credit card processing history and businesses that have lost their merchant accounts due to high chargebacks.

Several factors influence a merchant’s risk level. Though only one factor likely will not get a merchant classified as high risk, a combination of these may: business size, location, and industry, credit score, credit card processing history, a industry’s reputation for excessive chargebacks, a prior history of high chargeback ratios, and whether a merchant exclusively sells online.

Virtual terminals are stationed on a merchant’s website, making it easy for customers to make a payment or purchase online. Merchants or a payment processor can easily set up virtual terminals, so online businesses can accept credit and debit card and e-check transactions.

A merchant account is a business account with an acquiring bank. Without this business account, which actually works more like a line of credit, a merchant cannot accept and process credit and debit card transactions. Businesses need a merchant account to accept major credit cards via a static point-of-sale terminal, mobile card reader, or through a virtual payment gateway.

After filling out EMB’s simple online application and submitting any necessary, requested documents, many merchants get approved within 24 and 48 hours.

EMB specializes in working with high-risk merchants. EMB works with many merchants, including but not limited to businesses in these industries: gambling and gaming, adult entertainment, nutraceuticals, vaping and e-cigarettes, electronics, tech support, travel, high-end furniture, weight loss programs, calling cards, e-books and software, and telecommunications.

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