YNOT – Over the past several years, hackers and phishing scams have targeted some high-profile financial institutions, adult websites and e-commerce ventures. Even a small security breach can expose personal data and potentially wreak havoc, not only through identity appropriation, but also through outright theft. Banks, internet payment processors, investment firms and others who deal with large sums of money through online transactions constantly audit and beef up their security systems to protect clients’ and consumers’ interests — particularly in Europe, where consumers often pay directly with a bank account instead of using arguably less-risky credit cards.
SegPay, an internet payment services provider located in Fort Lauderdale, Fla., said an increased focus on security, along with expanded service offerings, resulted in a nearly 18-percent increase in European clients over the past year. In addition, transaction numbers and amounts also increased.
On Wednesday, the company launched a new banking structure executives feel will increase SegPay’s appeal to Europeans even further.
“A new payout structure that was launched today makes SegPay the only IPSP in the [European Union] to convert payouts directly through the acquiring bank, making the process more secure,” Chief Executive Officer Cathy Beardsley said. “This model mirrors the payout process for our U.S. clients.”
Previously, SegPay employed a third-party trust to convert EU transactions. By switching to a new acquirer, the IPSP was able to ensure payments move directly from a consumer’s bank to SegPay’s, increasing the security of the transaction by eliminating an unnecessary middle step. Under the new relationship, client funds never leave the hands of SegPay’s acquirer until they reach their ultimate destination. The new service meets the requirements of MasterCard’s Payment Facilitator Model and conforms to the EU Payment Services Directive for safeguarding client funds.
“International markets have proved a major growth area for SegPay,” Beardsley said. “We ensure that we are not only compliant with all regulations, but provide industry-leading service to make sure our clients get paid before we do. The strategy has paid off with more clients picking SegPay for their IPSP needs.”
SegPay began moving EU payments to its acquirer in August and recently completed the transition for all EU IPSP clients.
Founded in 2005, SegPay provides services including real-time credit card, direct-debit and check authorization services; automated password management systems; marketing tools and real-time sales reporting. For more information, visit SegPay.com.
