What Is PCI Compliance?

Payment Card Industry Compliance is a critical and ever changing standard that affects millions of businesses in the US. Most importantly it was created to help with the rising issues surrounding identity theft. The Identity Theft Resource Center, a non-profit organization in San Diego states that not only is identity theft no going away anytime soon, it’s out of control! Today’s economic climate provides the perfect catalyst for identity fraud. The PCI Data Security Standard (PCI DSS) originally began as five different programs from the five credit card schemes. Each company’s intentions were roughly similar: to create an additional level of protection for consumers by ensuring that merchants meet minimum levels of security when they store, process and transmit cardholder data.

Who has to comply you might ask?
Any business accepting credit cards must comply annually. There is no way around it. It is especially critical for those businesses that feel the need to store credit card info after an initial transaction is complete such as those doing recurring transactions.

Todd
Southern Lending Solutions

Welcome To Bank Of Amex

On Nov. 11, 2008, American Express Co. won approval from Federal Reserve banking regulators to become a commercial bank. The fourth largest U.S. credit card issuer said it is taking steps to cut borrowing costs and give it access to government funds. Regulators said they approved its application because of the "unusual and exigent circumstances" currently shaking up financial markets. The Fed's approval for AmEx was similar to the decision it made in September to transform the country's two biggest investment banks, Goldman Sachs Group Inc. and Morgan Stanley, into bank holding companies. AmEx can now issue bonds that are government guaranteed through the end of June 2012.

Industry analysts said the primary concern about AmEx is not funding, but consumer credit losses. The funding pressures are adding to the credit pressures the company is facing. Default rates among its credit card clients in the United States almost doubled in the third quarter of 2008.

Todd
Southern Lending Solutions