Consumers Prefer PIN–Secured Debit

PIN–secured debit is rapidly becoming the preferred consumer payment option. In the 2005 STAR Consumer Payments Usage Study, 45% of participants stated that they preferred to enter their PIN to pay for purchases.

When consumers see the STAR decal displayed, they know that paying for purchases will be convenient, fast and secure. Entering a PIN is faster and easier than handling cash or writing a check. And because their PIN is confidential, consumers perceive a higher level of security and protection than with other forms of payment.

When consumers enter a PIN to pay for purchases, their identity is electronically authenticated, virtually assuring that the funds will be settled to the merchant account.

Fast Settlement

STAR PIN-secured debit transactions are authorized in real-time – if the funds are available, upon authorization the purchase amount is debited or deducted from the cardholder's account at the time of purchase. Real-time authorization takes the uncertainty out of daily settlement that is sometimes associated with other payment types.

Help Boost Sales With STAR PIN-secured Debit

When customers can pay with an ATM/debit card they are likely to spend more – as much as 46% more than when they pay with cash and 41% more than when they pay with a check, according to the 2005 STAR Consumer Payments Usage Study.

Help Increase Customer Satisfaction

With STAR PIN-secured debit, both retailers and customers benefit from faster checkout times – entering a PIN is faster than writing a check or signing a receipt.

Convenience and Security Help Encourage Repeat Visits

According to the 2005 STAR Consumer Payments Usage Study, 45% of consumers surveyed prefer to enter their PIN to make purchases compared to 33% who prefer to sign a receipt.

Offering the ability for the consumer to enter a PIN to pay for purchases is another way to encourage consumer loyalty.

Lesser Chance of Chargebacks, Identity Theft

PIN-secured debit transactions provide extra protection against chargebacks due to consumer fraud. Because a consumer's PIN provides identity authentication when the consumer makes a purchase, transactions using a PIN carry a higher level of security than those requiring only a signature.

Help Reduce Fraud and Handling Expenses

Consumers write uncollectable or fraudulent checks each day that can result in ever-increasing losses for retailers nationwide. Even routine check handling can generate additional processing costs. Offering STAR PIN-secured debit can help reduce the costs associated with accepting checks and provide virtually guaranteed funds.

A Better Buying Experience

Entering a PIN is faster and easier than handling cash, writing a check or signing a receipt, and purchases are not limited to the amount of cash on-hand. The opportunity to get cash back at the point-of-sale (POS) is a time saving convenience for busy consumers.

Reduced Potential for Fraud

Recent research shows that consumers feel more secure entering a PIN than writing a check or signing a receipt. According to the 2005 STAR Consumer Payments Usage Study, 45% of consumers surveyed prefer entering a PIN when making purchases, while only 30% prefer to sign a receipt.

Fewer Delays From Check and Receipt Signing

Today's busy consumers expect convenience and speed of service wherever they go. STAR PIN-secured debit can accelerate checkout times at the POS because entering a PIN is faster and easier than counting bills and coins, writing a check or signing a receipt. Plus, ATM/debit cards give cardholders access to more funds than the amount of cash on-hand.

Only The Consumer Knows Their PIN

With 1 in 6 Americans being victimized by identity theft¹, more and more consumers are choosing PIN-secured debit for its added security and protection. Because cardholders enter their confidential PIN rather than signing a receipt to authenticate their identity, STAR PIN-secured debit can help reduce the potential for payment card fraud.

¹STAR Identity Theft Survey, 11/02

Convenience Helps Encourage Repeat Visits

Consumers appreciate the convenience of making purchases and getting cash back in one easy, fast, secure transaction. Research shows that the ability to get cash back is a key factor in influencing the consumer's decision as to where they shop. In fact, according to the 2005 STAR Consumer Payments Usage Study, 57% of debit card users stated that the cash back feature caused them to use their card more often, making cash back one of the most powerful tools for building customer loyalty.