International Verifact Inc. announced yesterday that its Latin American joint venture, IVI Ingenico Inc., has received an order commitment in excess of US $1.5 million to supply CREDIRED with Ingenico’s Elite 500 electronic payment terminals.
The terminals will be used in merchant locations throughout Argentina to process credit card transactions based on a pre-approved amount stored on a smart card. These credit cards will be issued to people with low income levels who would otherwise not qualify for a traditional credit card. The credit limit on the smart card is pre-approved based on an individual’s qualifications – with the amount of the purchase charged against this credit limit each time the card is used.
The merchant will redeem the electronic transactions for cash at regional centers spread throughout the country. “The system is designed to save communication costs by not having to authorize each transaction on-line every time. Further cost savings are realized as printing and mailing monthly statements are not required as the card holder knows the balance on their card every time they use the card,” said Jorge Fernandez, Executive Vice President and General Manager, IVI Ingenico. Software will be developed as a partnership between CREDIRED and IVI Ingenico.
Nestor Yoan, Vice President and General Manager, CREDIRED stated, “Among the factors that convinced us to purchase IVI-Ingenico terminals included their superior technology and know-how in smart card based EFT-POS as well as their superior price/performance. Additionally, their UNICAPT(R) operating environment allows us to write and maintain our own applications while providing us with the security and flexibility that we will need in managing different applications in the future.”
“We have spent the last year building a strategic approach to the Latin American market and we are now starting to see the benefits of our efforts. These countries are evolving quickly to modern technology such as smart cards. Our world leading expertise and technology is a perfect fit for such markets,” said L. Barry Thomson, Chairman of IVI Ingenico. Mr. Thomson is also President and CEO of IVI.
Based in Argentina, CREDIRED is in the business of granting credit to individuals of low income. This credit is granted in the form of a set, pre-approved credit line which the card-holder may use to purchase goods and services at approved merchants. While the card works similar to a conventional credit card, their product serves people who would otherwise not qualify for a conventional credit card.
IVI Ingenico, based in Coral Gables, Florida, is a joint venture between IVI and its strategic alliance partner, Groupe Ingenico, of Paris, France.
Group Ingenico is engaged in the design, development and sale of secured terminals and complete systems dedicated to electronic payments, loyalty and electronic benefits transfer, and is the recognized leader in smart card technology in Europe, Africa and the Asia-Pacific areas.
IVI is engaged in the design, development and sale of electronic payment solutions for retailers, financial institutions, governments and other businesses. The company’s hardware and software products include solutions for point-of-sale debit/credit/EFT/EBT terminals, check readers, smart card readers, POS printers and secure PIN entry devices. Additional company information is available on IVI’s website at .Details