03/08/2007
NFIB and Visa partner to educate small businesses on security in 2007
CONTACT:
| Jay Hopkins | Michael E. Diegel |
| Visa USA | National Media Director |
| Mobile: (703) 927-8334 | NFIB |
| Office: (703) 683-5004 ext. 107 | (202) 314-2004 |
| jhopkins@crcpublicrelations.com | Michael.Diegel@NFIB.org |
Washington, D.C.--Today at a Visa-sponsored card security summit in Washington, D.C., the National Federation of Independent Business and Visa USA are announcing a partnership to help the nation's small businesses develop stronger security practices, as new survey results show that many such companies use a "common sense" approach to protecting customer and employee information.
According to the new survey, small businesses recognize the importance their customers place on protecting their information (83 percent say it is very or extremely important to their customers). Moreover, some 87 percent believe that if customers saw how they handled their data, it would either affirm (48 percent) or strengthen (39 percent) the trust that customers put in their business. At least 84 percent of the businesses surveyed protect customer information through encryption or passwords. The survey defines small businesses as any company with 250 or fewer employees.
Although many small businesses are confident about their data-storage practices, their level of storing sensitive information may make them an increased target for data thieves, according to the survey. Specifically:
- 37 percent of card-accepting businesses store customer card numbers;
- 24 percent store customer Social Security numbers;
- 28 percent store customer bank account numbers or copies of their checks;
- More than half (52 percent) of all small businesses keep at least one these sensitive pieces of information.
In some situations, business owners may not be fully aware that their systems are storing this highly sensitive information. Yet, it is exactly this sort of personal information that criminals seek in order to commit payment fraud.
Few small businesses have established data-security processes in place, the survey shows. Most small businesses (57 percent) do not see securing customer data as something that requires formal planning, and many (39 percent) say they rely on common sense to keep data safe. Most small businesses (61 percent) have never sought out information about how to properly handle and store customer information.
"Today, consumers are increasingly demanding that the companies they do business with take action to protect their personal information," said Dan Danner, executive vice president, Public Policy and Political, National Federation of Independent Business. "Small businesses understand the importance of customer service and, increasingly, good customer service includes proper handling of customer information. Today's small businesses need to understand their data practices and make their systems more secure. This is why we are so enthusiastic about partnering with Visa in a focused security education campaign. Small businesses will listen, understand and act."
"The entrepreneurial, go-it-alone spirit that drives many small businesses may actually work against them on important issues like security. In today's environment, data security takes thoughtful planning and practices," said Rosetta Jones, vice president, Visa USA. "That's why creating educational programs that provide a blueprint for protecting small businesses and locking down customer information are so important."
To reach as many small businesses as possible, NFIB and Visa will be launching a comprehensive data security education program later this year. Combining Internet technology in-market events and turnkey materials, the effort will be designed to be as accessible as possible to today's fast-paced, busy small business owners and employees. Visa and NFIB have a long-standing, multi-dimensional partnership focused on delivering valuable educational resources to the small business community and tomorrow's entrepreneurs.
"We value our partnership with the nation's small businesses with which we share common customers, a common payments system and a common enemy in fraud," added Jones.
"Small business shares a responsibility to protect customer information and prevent fraud beyond what the credit card companies are already doing," said Danner. "NFIB is committed to working with Visa to provide them with the resources and information they need to take action."
About NFIB
NFIB is the nation's leading small-business advocacy association, with offices in Washington, D.C., and all 50 state capitals. Founded in 1943 as a nonprofit, nonpartisan organization, NFIB gives small- and independent-business owners a voice in shaping the public policy issues that affect their business. NFIB's powerful network of grassroots activists send their views directly to state and federal lawmakers through our unique member-only ballot, thus playing a critical role in supporting America's free enterprise system. NFIB's mission is to promote and protect the right of our members to own, operate and grow their businesses. More information about NFIB is available online at NFIB.com/newsroom.
About Visa USA
Visa connects cardholders, merchants and financial institutions through the world's largest electronic payments network. Visa products allow buyers and sellers to conduct commerce with ease and confidence in both the physical and virtual worlds. Visa is committed to the sustained growth of electronic payment systems to support the needs of all stakeholders and to drive economic growth.
Visa products currently generate more than $4 trillion in sales volume worldwide. Visa has acceptance at more than 24 million locations worldwide including one million ATMs. For more information, visit www.corporate.visa.com.
