ROYAL BANK TO MAKE COMPUTER PURCHASES SAFE
By Adnews Staff
The Royal Bank of Canada will offer electronic security in the fall for purchases made with a credit card on-line. The system uses technology from VeriFone Inc., a credit card processing company, and Netscape Communications Corp., the Internet software company that produces the popular Web browser Network Navigator. The software to be used is based on the Secure Electronic Transaction protocol. This, says a bank release, is expected to become the industry standard for encrypting and authenticating Internet credit card transactions. It was developed by industry experts including Visa, Mastercard, Netscape, Microsoft Corp. and International Business Machines Corp. The Royal Bank expects its system will eventually be used for debit cards, stored value cards and other electronic payment methods. Computerized shoppers will go to a retailer's Web site or on-line store, select the products and services desired, and then place an order by entering a credit card number and expiry date. The payment information will go to the merchant, who will get authorization and settlement from the Royal Bank. The merchant will then fill the order. According to the bank's figures, about 15% of Canadian households and one quarter of businesses have Internet access in Canada.