The Shazam EFT network has announced the creation of a dual-message PIN product, and plans to expand its support of EMV. The product will use a dual-message transaction with separate authorization and settlement messages for PIN-based transactions, a capability previously only available on signature-based transactions.
"Our financial institution participants understand the importance of increasing PIN debit transactions in a post-Durbin world," said Michael Hollinger, Shazam president and CEO, in a press release.
This support for both single and dual-message PIN products will allow Shazam debit cardholders to make PIN-based purchases online. In addition to e-commerce, the dual-message PIN product will be available at brick-and-mortar merchants that accept signature debit transactions, such as restaurants, car rental companies and hotels.
The dual-message PIN transactions will be considered PIN transactions for routing purposes and will follow Shazam operating rules. Interchange rates for the dual-message transactions have not been set.
“Both the issuing and acquiring communities are facing tough decisions in the wake of Regulation II and an anticipated shift to chip-and-PIN to support EMV,” Hollinger said. “Shazam understands the need to be aggressive in supporting these changes, as well as other authentication technologies.”
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