NACS Part of Unprecedented Coalition to Promote Greater Card Payment Security


WASHINGTON, DC –  Retail and payments industry leaders today announced the formation of the Secure Payments Partnership (SPP), a unique partnership formed to promote security across the payments system. SPP marks the first time these interests representing diverse parts of the payments system have joined forces to address the ongoing battle against payment fraud and devise improvements for the U.S. card payment system.

NACS is a founding member of SPP along with the Food Marketing Institute, National Retail Federation, National Association of Convenience Stores, National Grocers Association, First Data’s STAR Network and SHAZAM.

SPP was formed to anticipate new and better technologies for making payments that are secure and fast. As it currently stands, the United States lags behind the rest of the world in card payment security as the two largest card networks control and set payment security standards without the expertise of others, including competing card networks, merchants, consumers and financial institutions. SPP members believe all parties involved must work together to achieve successful payment security, increase transparency and limit fraud.  A survey from the Aite Group and ACI Worldwide showed that 42% of U.S. cardholders (including debit, credit and prepaid cards) have experienced card fraud, compared with 27% of cardholders globally.

“As a founding member of the new Secure Payments Partnership, we are optimistic about how this unique collaboration of debit networks, payments processors and retailers can work together to strengthen the security of the U.S. payments system,” said NACS Director of Government Relations Anna Ready. “NACS believes that by working together we can address the structural problems in the current system and ensure everyone with a stake in payments has a voice in shaping the standards that impact each of us.”

“Payment security and the threats to it are only becoming more complex,” said Hugh Gallagher, Senior vice president at First Data and head of the STAR Network. “No single industry has all the answers to get us to where we need to be. We must work collaboratively with input from all parties with a stake in the outcome to improve payment security and limit fraud.”

The Partnership also will focus on meeting consumer expectations for security, convenience and flexibility in payment options, especially as new technologies evolve and emerge.

“The payments system has to keep pace with rapidly evolving technology and the needs of consumers and commerce,” said Stephanie Martz, senior vice president and general counsel for the National Retail Federation. “The U.S. payments infrastructure should be the strongest, most innovative and most secure in the world, but we won’t get there unless we change the way we make security decisions.”

In recent years, a multitude of new technologies have been introduced to increase security, including mobile and wearable payments, biometrics (such as fingerprints, facial recognition, iris scanning and vein mapping), the use of artificial intelligence, geolocation, IP verification, blockchain and ultrasonic sound waves. SPP looks to harness these technologies to benefit all users.

“As innovation and technology continue to evolve and offer new ways to authenticate, we are committed to working in concert with our partners to address shortcomings in the payments system,” said Dan Kramer, senior vice president of government and community affairs at SHAZAM. “We look forward to working across the industry and with policymakers in Washington to implement real solutions.”

The group will emphasize several priority areas including stronger user authentication, open standard setting and adoption, payment security innovation and network routing competition.

More information is available at and by following SPP on Twitter and Facebook.