The service is now being tested and is meant to help to keep credit cards from being used by the wrong people.
AT&T has revealed that it intends to begin a mobile security service test to help to make it safer for customers to be able to use their credit cards while they are overseas, while improving the fraud protection security that they provide.
The service will use geolocation technology to help to ensure that the person using the credit card is authorized.
The mobile security service from AT&T isn’t meant for local use of their credit cards but is instead formed to prevent fraudulent use of the cards when the customer is traveling overseas. It uses location based technology when the card is used for transactions while traveling. The service is being tested to become a part of the Location Information Services portfolio from the company.
This geolocation based mobile security service uses the individual’s location for identification and authorization.
This service will function by having AT&T customers opt in when they travel. The credit card company that issued the card to the customer will then be capable of using the service to be able to confirm that the cardholder has, indeed, traveled because they will be advised as soon as the customer turns on their smartphone upon landing. The purpose of this service is to assist credit card companies to make decisions that are based on a larger amount of information before they decline or approve a transaction that is being attempted overseas.
The tests will begin this summer and the company is expecting that the service will become available to enterprise customers before the close of 2014. The intention is to make this service available in over 150 countries worldwide.
According to MasterCard, at the moment, between 50 and 80 percent of the transactions that are currently being declined are actually legitimate. Financial institutions often turn them down over security concerns. That company also launched a mobile security program based on geolocation technology, back in February, using the Syniverse roaming infrastructure to help to better protect credit card transactions for their customers while they travel.