KartStandart Processing center of the CFT Group

The processing center KartStandart (enters into the CFT Group) is the independent processing center providing all range of services on issue and acquiring of cards of international payment systems of Visa and MasterCard.

Works at the market since 2008. Provides complex technology outsourcing of card business of bank and offers additional financial services. Processing service underwent procedures of security audits PCI PIN Security and PCI DSS, for safety of payment under maps uses Verified by Visa and MasterCard SecureCode services and also offers the partners contactless MasterCard PayPass and VisaPayWave technologies. PTs "KartStandart" offers the clients not only efficiency, security and the round-the-clock support, but also a line of the services doing bank to modern and necessary clients: PayPass and PayWave proximity cards, cards of the EMV standard, 3D Secure technology and many other things. Processing business is a separate and highly specialized competence which should be saved from bank risks. Therefore gain in the market of independent operators – an inevitable trend.

The processor implements a SIEM monitoring system of events of information security from IBM, procedures of security audits PCI PIN Security and PCI DSS are taken place. PTs "KartStandart" pays special attention to expansion of a line of services for holders of cards. Independent setup of transaction schemes, service of receiving the PIN code by phone, monetary P2P-transfers from the map on the card are these and other additional services provided to PTs "KartStandart", do banking card products by more popular clients, and card business of banks – more profitable.

Performance Indicators

2019: Processing more than 700 million transactions

At the end of 2019 in PTs "KartStandart" more than 700 million transactions – twice more in comparison with 2018 are processed. The acquiring infrastructure working under control of an independent processing center in Russia and the CIS countries exceeded 100 thousand devices. On March 2, 2020 the Center of Financial Technologies (CFT) reported about it.

In 2019 projects of connection and migration on PTs "KartStandart" of card portfolios of a number credit of the organizations among which Bank "Taurian" Sea bank, Bank "MBA-Moscow", Bank "Kremlin" were successfully implemented, The first microfinancial bank (Tajikistan).

PTs "KartStandart" continued implementation of mobile pay-services in a payment landscape of partner banks. Services of mobile payment from world vendors of Apple, Google, Samsung, were started in 12 credit institutions.

Also in 2019 the processing center provided to partner banks a technological capability of connection to service contactless payments Mir Pay: together with National Payment Card System 14 partner banks PTs "KartStandart" were connected to a domestic mobile payment service. For issue and acquiring cards "World" PTs "KartStandart" provided support of the standard of security of transactions – the protocol 3-D Secure 2.0.

In 2019 in PTs "KartStandart" more than 700 million transactions are processed – it is twice more in comparison with 2018. At the same time the number of the transactions of payment made in the POS terminals which are under control of a processing center grew in a year by 1.7 times. More than 51% of transactions in retail in 2019 were contactless, and 31% of transactions is performed using mobile phones and gadgets. The general growth of a share of NFC transactions in a total amount of the processed PTs "KartStandart" of payments in retail was more than 1.5 times.

In 2019 PTs "KartStandart" successfully underwent a number of the audits confirming reliability and safety of conducting card business: the standard on security of transactions with the PCI DSS payment cards and 3-D Security Requirements and also PIN-Security Requirements

became Last 2019 sign for the processing market. Providers of processing services were in attention focus as significant players of the payment market who not just occupied a steady niche in this market but also perform important system function. Speed of evolution of the market is so prompt, the time2market parameter is so important that it is difficult for banks to do without multibank processing platforms. Cooperating with provider of processing services, credit institutions receive the most relevant services timely and with the minimum costs. Equal technology distribution of payment services is as a result created, the market develops more in a balanced way, so, becomes stabler,

History

2020: A possibility of contactless acquiring in ATM for partner banks

On April 29, 2020 CFT announced that a processing center KartStandart completed procedures of certification in payment systems MasterCard and Visa on contactless acquiring in the ATMs equipped NFC- modules. Thus, KartStandart in return provided for all banks- partners a technological capability of support of service of contactless service in the ATM networks.

The service allows to receive cash and to make other transactions in ATMs without physical contact of cards or devices with the tokenized purses of pay-services (smartphones, gadgets) with ATM. The Taurian Bank (autonomous area) became the first partner of PTs "KartStandart" who implemented industrial start of contactless acquiring in ATM.

Service of contactless service in ATM network – relevant and demanded service. For April, 2020 more than 40% of number of the cards emitted by the Russian banks are equipped with contactless chips, about 50% of smartphones support NFC technology. Contactless technologies significantly reduce holding time of the client – on average from 45 to 10 seconds and also prevent fraud using skimmingovy devices, – Maya Glotova, the director of PTs "KartStandart" says.

2019: Providing to partner banks of a technological capability of connection to Mir Pay

On August 21, 2019 PTs "KartStandart" announced that it provided to partner banks a technological capability of connection to service contactless payments Mir Pay. A processing center KartStandart provides technology support of activity in to national payment system "Mir" for more than 100 partner banks. Now clients of these credit institutions will have an opportunity to use service PS "World" for contactless payment of purchases with the help smartphone. In more detail here.

2018: Total issue portfolio — more than 50 million cards

At the end of 2018 the total issue portfolio which is on service of a processing center KartStandart (enters into the CFT Group) made more than 50 million cards. The acquiring infrastructure working under control of PTs "KartStandart" in Russia and the CIS countries exceeded 79 thousand devices. The number of the transactions of payment made in POS terminals and processed by a processing center grew in a year by 1.5 times. At the same time more than 32% of non-cash transactions in retail in 2018 were made using the contactless interface of cards: growth of a share of contactless transactions in a total amount was more than 2.5 times.

In 2018 the command of a processing center implemented projects of connection and migration on PTs "KartStandart" of card portfolios of 9 credit institutions among which Transcapitalbank, Aleksandrovsky Bank, NS Bank, International Bank of Tajikistan, Zhivago Bank, IT Bank, Radio technical bank, Energomashbank.

2017: 114 partner banks

At the end of 2017 the number of partners of a processing center KartStandart (enters into the CFT Group) was 114 banks. The total issue portfolio which is on service of an independent processing center increased in a year by 16% and contains over 52 million cards. The acquiring infrastructure working under control of PTs "KartStandart" exceeded 66 thousand devices in all territory of Russia.

• 2017 passed for PTs "KartStandart" under the sign of implementation of mobile Pay-services: KartStandart and RNKO "Payment Center" are provided with a processing center technology and organizational conditions for connection of service of mobile payments of Android Pay and Apple Pay for all partner banks in Russia and also for the prepaid cards emitted within programs of loyalty Corn and Beeline. In addition, last year PTs "KartStandart" together with MasterCard payment system started the Russia's first solution on MasterCard Cloud Based Payments technology on the platform of tokenization Mastercard Digital Enablement Service that will allow banks to implement own services of payment using the smartphone.
• PTs completed connection of all the partner banks to a national payment system and technology provided for them release and service of the World cards.
• In reporting year of PTs "KartStandart" once again successfully there took place a number of the audits confirming reliability and safety of conducting card business – the standard on security of transactions with the PCI DSS and PCI PIN Security payment cards and also audit on compliance of 3-D Security Requirements.

2016

112 partners, issue portfolio of 45 million cards

At the end of 2016 the number of partners of a processing center KartStandart (made 112 banks. The total issue portfolio which is on service of an independent processing center increased in a year by 15% and contains over 45 million cards. The acquiring infrastructure working under control of PTs "KartStandart" exceeded 39 thousand devices in all territory of Russia.

In 2016 projects of connection and migration on PTs "KartStandart" of card portfolios of 13 banks among which Kuban Credit bank, RFI Bank, Yekaterinburg bank, Kuznetsky bank, the Moscow Bill Bank, Baikalinvestbank, Gaztransbank, Vesta bank and others were implemented.

During reporting period specialists of PTs "KartStandart" into commercial operation put the Multiple Currency Card service allowing users to link the accounts opened in different currencies to one card and thanks to it to minimize expenses on converting of money at performing transactions abroad.

During the whole 2016 PTs "KartStandart" carried out hard work on connection of credit institutions to a national payment system, providing technology release and service of the World cards for partner banks. At the end of year with technology support of PTs "KartStandart" the activity in PS "World" is conducted by 29 banks.

Technology support of release and service of the World cards

Processing center KartStandart (enters into the CFT Group) expanded cooperation with the National Payment Card System and provides to the partner banks technology support for issue and acquiring of World cards of the payment service provider.

During 2015 PTs "KartStandart" implemented projects on transfer of processing of in-Russian transactions on cards of international payment systems MasterCard and Visa in operational payment clearing center NSCP. Developing interaction with the National Payment Card System, KartStandart provided a technological capability to partner banks for issue and acquiring of World cards of the payment service provider.

In October, 2015 partners of PTs "KartStandart" — KS Bank and Levoberezhny bank — within the all-Russian pilot project became participants of Mir payment system. In the middle of December specialists of PTs "KartStandart" completed the integration works which allowed banks to perform the first successful acquiring operations with the World cards in the infrastructure, and at the end of 2015 — to issue own cards of PS "World" and to make the first real transactions in infrastructure of other participants of a payment system.

In the summer of 2016 a number of the partner banks of an independent processing center KartStandart which are indirect participants of PS "World" under sponsorship of RNKO "Payment Center" started release and service of cards of national payment system. PTs "KartStandart" provided technology support of issue and acquiring of World cards of the payment service provider for PJSC Sovcombank, PJSC SKB of Primorye Primsotsbank, JSC AIKB Eniseysky objedinenny bank, JSC CB Hlynov. Technology readiness of a processing center and the standardized procedure of connection of banks allows to provide start of new functionality in bank as soon as possible.

2015

110 partners, issue portfolio of 40 million cards

At the end of 2015 the number of partners of a processing center KartStandart exceeded 110 banks. The total issue portfolio which is on service of an independent processing center increased in a year by 74% and contains over 40 million cards today.

In 2015 projects of migration at a power of PTs "KartStandart" of card portfolios of 16 banks among which Nordea Bank, Jay Enda Ti Bank, FIA-Bank, Natsinvestprombank, Zhilfinancebank, China Construction Bank and others are implemented. The total quantity of the partner banks which entrusted the card business to a processing center KartStandart exceeded 110.

The total issue portfolio which is on service processing provider makes 40 million cards today (a gain to indicators of 2014 – 74%), and the acquiring infrastructure working under control of PTs "KartStandart" contains more than 22 thousand devices in all territory of Russia.

PTs "KartStandart" is the Russia's first processing center which received the status Cloud-Based Payments Service Provider by Visa

This status given to an independent processing center by Visa international payment system opens new opportunities for all partner banks PTs "KartStandart". They the first in the Russian market will be able to offer the clients service which allows to release NFC cards ** Visa payWave which data will be stored on the mobile phone.

The Host Card Emulation (HCE) technology which allows to emulate the virtual card per host system in "cloud" is the cornerstone of service and to transfer from it "payment data" of the client to his smartphone. Thus, all necessary information which was stored before by the microprocessor of the plastic card will be periodically loaded from "cloud" in the smartphone. It means that users will not need to carry with themselves the bank card. All payment functionality will contain their mobile device connected to "cloud" service.

Payment process happens by present of the smartphone to the POS terminal equipped with the contactless reader. For transfer of payment data in the terminal and communication with bank acquirer the smartphone should be equipped with the NFC module which provides contactless data transmission in encrypted form at midget distances.

In a technology linking of HCE and NFC the same data encryption standard which is used in the majority of modern POS terminals is applied to data transmission. Therefore use of technology does not require deployment of new terminal network, and the security level of similar transactions conforms to the highest international standards.

Use of the innovation service will allow partner banks PTs "KartStandart" to increase the volume of cashless payments significantly. The technology gives the chance to card owners to pay goods and services quickly, simply and safely with one movement, without transfer of the map to the cashier and without input of the PIN code (for transactions to 1 thousand rubles). Such opportunity is especially relevant when it is required to pay, for example, for the parking without going out of the car, to pay travel by public transport, to be calculated in fast food restaurant, etc. Thus, the technology stimulates users gradually to transfer to a non-cash format category of fast payments for the small amounts, thereby increasing revenues of bank from non-cash operations with cards.

Service is available to the partner banks PTs "KartStandart" which are basic members of Visa payment system and also participating in it under sponsorship of Accounting non-bank credit institution Payment Center (enters into the CFT Group). Today, in addition to PTs "KartStandart", the only company in the world having the status Cloud-Based Payments Service Provider by Visa is Giesecke & Devrient Systems Canada, Inc. which specializes in release and personalisation of cards.

2014: 100 partners, issue portfolio of 23 million cards

In 2014 projects of migration at a power of PTs "KartStandart" of card portfolios of 45 banks are implemented. The total quantity of the partner banks which entrusted the card business to a processing center KartStandart exceeded 100. The total issue portfolio which is on service processing provider makes 23 million cards (a gain in 12 months – 35%), and acquiring infrastructure exceeded 22 thousand devices in all territory of Russia.

In 2014 the solution for mobile applications with support of HCE technology (Host-based Card Emulation) allowing to review a view of contactless NFC payments in a root and opening the road to their mass application was developed and brought into commercial operation. The solution for contactless payment developed by CFT by means of the cell phone became the Russia's first HCE application created completely according to the specification of Visa payment system.

2013: 40 partners, issue portfolio of 17 million cards

In 2013 more than 40 banks became new partners of an independent processing center KartStandart, and cumulative issue of cards which are supported by a processing center exceeded 17 million.

At processing capacities of PTs "KartStandart" during 2013 began service of plastic cards of 15 Russian banks from 8 regions among which Dil-bank, SOFRINO BANK, CB Evroplan, Miraf-Bank, Venets Bank, the project on transition of National Standard bank from processing in-house at a power of PTs "KartStandart" is complete, other partners finish projects on migration. According to the results of activity in 2013 on service of a processing center there were more than 17 million cards (a gain of 19% to result of 2012).

Komponenty the complex offer of PTs "KartStandart" directed to increase in safety of payment under maps projects on certification of partner banks on issue and/or acquiring on EMV technology and for certification 3D Secure became important. As of the end of 2013 already more than 50 credit institutions — partners of PTs "KartStandart" completed EMV certification and about 30 banks had an opportunity to use 3D Secure technology in the work.

Also in 2013 large-scale upgrade of a hardware platform and network equipment of PTs "KartStandart" was carried out, implementation of a technique of stress testing of a processing complex is performed. According to the results of these works the eightfold stock on performance is provided that guarantees the high level of fault tolerance and smooth functioning of all components and systems.

2012: 14 partners, issue portfolio more than 16 million cards

In a year the number of the cards serviced in PTs "KartStandart" emitted by partner banks increased by 46%. For 69% the number of the processed transactions, and infrastructure of the serviced terminal equipment — more than grew by 47%. In absolute measures for the end of 2012 the processing center operated with more than 16 million cards, processed nearly 160 million transactions, the park of terminal equipment made more than 25 thousand units.

Last year was marked by active connection to processing capacities of KartStandart of partner banks. 14 banks among which there are Promtransbank, Pervobank, Starbank became new clients of PTs "KartStandart" in 2012.

In 2012 PTs "KartStandart" continued business development in Kyrgyzstan where in addition to RSK of Bank, such banks of the Republic as CB Kyrgyzstan and Russian-Kyrgyz "AMANBANK" became partners of a processing center.

One more it is significant an event of year there was a receiving RNKO "Payment Center", performing sponsor's support of partner banks PTs "KartStandart", the rights to sponsorship in Visa international payment system. The Samara Pervobank became the first client serviced under sponsorship in Visa.

Also in 2012 PTs "KartStandart" underwent a number of the certifications guaranteeing reliability and safety of conducting card business — the standard on security of transactions with the Payment Card Industry Data Security Standard payment cards (PCI DSS), certification of ATM and terminal software on Payment Application Data Security Standard (PA DSS), audit according to the program of control of fraud (Fraud Management Program) of MasterCard payment system. The specialists of processing involved in the course of all checks and certifications received the high level of assessment of auditors.

In 2012 PTs "KartStandart" was implemented 3D Secure technology. It is the system of security of payment of goods and services on the Internet which guarantees not only safe preserving of information about buyers, but also promotes preserving of financial resources of participating banks of payment. Also certification on PIN Management in MasterCard was complete. This service allowing to make change of the PIN code in ATMs is already implemented in many partner banks of a processing center.

2011: 18 partners, issue portfolio more than 6 million cards

For the reporting period PTs "KartStandart" showed steady growth and dynamics of key indicators of business: 18 new banks were connected to services of processing, the number of the cards emitted by partner banks increased by 2.3 times.

Obtaining Accounting Non-bank Credit Institution (ANBCI) Payment Center the status of the Basic Participant and Sponsor in payment systems became one of events, strategically important for PTs "KartStandart", in 2011 Visa and MasterCard. Together with RNKO "Payment Center" a processing center KartStandart performs consulting support of banks, settlings with payment systems and carrying out claims activities.

In 2011 under sponsorship of RNKO "Payment Center" passed 14 banks among which there is BKF Bank, Bank of Khakassia, the Yenisei United Bank, Kuznetskbusinessbank, Zamoskvoretsky Bank.

In 2011 PTs "KartStandart" expanded geography of the business and started service of banks in the territory of the CIS. RSK Bank (Kyrgyzstan) became joint stock company the first bank client PTs "KartStandart" in the former Soviet Union.

For card management and customer accounts, connections of SMS informing and flexible configuration of the commission of card products by specialists of CFT in 2011 the Card and Account Management Web Service (CAM-WS) was developed and implemented. Service provides interaction of banks with PTs "KartStandart" in real time.

For the purpose of improvement of customer service for holders of plastic cards online integration of a processing center KartStandart and the systems of remote banking Faktura.ru was implemented (enter into the CFT Group). Integration allows to process payments in the systems of Internet and mobile banking on the card account in mode 7*24, performing all operations only through processing KartStandart without the address to the core banking system.

2010: 60 partners, issue portfolio more than 3 million cards

At the end of year the number of the banks connected to PTs "KartStandart" increased by 3 times and reached 60. The number of the emitted cards exceeded 3,000,000 pieces that in 40 times more, than in the same period of 2009.

As of 2010 PTs "KartStandart" is integrated with money transfer systems and loyalty, Internet and mobile banking that allows to create unique card products, such as, for example, Corn card of federal cellular retailer "Euroset". This card combines functionality of the coalition card of loyalty, the card of money transfers and also the versatile payment instrument for payment of goods and services in trade and service companies and the Internet.

In 2010 the number of partners of PTs "KartStandart" increased by 3 times, the ATM network grew twice. Among clients of PTs there are Svyaznoy Bank, Ferrobank, bank "Orenburg", "Kitfinance", Express bank, the Yenisei United Bank and other credit institutions of Russia.

2008

On October 14, 2008 a processing center KartStandart processed the first transaction on the Visa card emitted by the Krasnoyarsk bank "Yenisei".