Target Corporation Selects MasterCard Inc. To Launch Enhanced Security Credit Card

Target has selected MasterCard to allow it to enhance the security of the credit cards it issues through EMV technology beginning next year.

Apr 29, 2014 at 2:36PM

Today Target (NYSE:TGT) announced a variety of actions in an effort to enhance its security, including a deal with MasterCard (NYSE:MA) to offer its credit cards with EMV technology. In addition it also named a new executive, Bob DeRodes, to be its chief information officer and enhance its data security efforts.

"Establishing a clear path forward for Target following the data breach has been my top priority," noted the chairman, president and CEO of Target, Gregg Steinhafel, in the press release. "I believe Target has a tremendous opportunity to take the lessons learned from this incident and enhance our overall approach to data security and information technology. Bob's history of leading transformational change positions him well to lead our continued breach responses and guide our long-term digital strategy."

Tgt Cards

Prototype of Chip-Enabled Target REDcards. Source: Target

The agreement with MasterCard will in turn result in all existing Target credit cards to be reissued and replaced by 2015 with the EMV, or chip-and-PIN technology. In addition, all the Target-branded credit and debit cards will be issued with the technology beginning in 2015.

This technology enhances security and results in the cards generating unique data for each purchase, which in turn makes it more difficult to both create counterfeit cards and steal data.

"Target and MasterCard are taking an important step forward in providing consumers with a secure shopping experience, and the latest in payments technology," added MasterCard's president of Chris McWilton in the announcement. "Our focus, together with Target, is on safety and security and a good consumer experience."

Earlier this year Target announced a $100 million plan to enhance the security of its payment terminals through the use of chip-enabled technology in the nearly 1,800 stories in the U.S. The company noted today it will be six months ahead of schedule in these efforts, as all stores will have the new payment solutions by September of this year.

The new CIO, Bob DeRodes, is coming to Target from previous positions surrounding information technology and data security, including acting as an advisor to both the U.S. Department of Homeland Security and Justice, as well as private enterprises like Home Depot and Delta.

"I look forward to helping shape information technology and data security at Target in the days and months ahead," DeRodes said to conclude the announcement. "It is clear to me that Target is an organization that is committed to doing whatever it takes to do right by their guests."

Patrick Morris has no position in any stocks mentioned. The Motley Fool recommends MasterCard. The Motley Fool owns shares of MasterCard. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Money to your ears - A great FREE investing resource for you

The best way to get your regular dose of market and money insights is our suite of free podcasts ... what we like to think of as “binge-worthy finance.”

Feb 1, 2016 at 5:03PM

Whether we're in the midst of earnings season or riding out the market's lulls, you want to know the best strategies for your money.

And you'll want to go beyond the hype of screaming TV personalities, fear-mongering ads, and "analysis" from people who might have your email address ... but no track record of success.

In short, you want a voice of reason you can count on.

A 2015 Business Insider article titled, "11 websites to bookmark if you want to get rich," rated The Motley Fool as the #1 place online to get smarter about investing.

And one of the easiest, most enjoyable, most valuable ways to get your regular dose of market and money insights is our suite of free podcasts ... what we like to think of as "binge-worthy finance."

Whether you make it part of your daily commute or you save up and listen to a handful of episodes for your 50-mile bike rides or long soaks in a bubble bath (or both!), the podcasts make sense of your money.

And unlike so many who want to make the subjects of personal finance and investing complicated and scary, our podcasts are clear, insightful, and (yes, it's true) fun.

Our free suite of podcasts

Motley Fool Money features a team of our analysts discussing the week's top business and investing stories, interviews, and an inside look at the stocks on our radar. The show is also heard weekly on dozens of radio stations across the country.

The hosts of Motley Fool Answers challenge the conventional wisdom on life's biggest financial issues to reveal what you really need to know to make smart money moves.

David Gardner, co-founder of The Motley Fool, is among the most respected and trusted sources on investing. And he's the host of Rule Breaker Investing, in which he shares his insights into today's most innovative and disruptive companies ... and how to profit from them.

Market Foolery is our daily look at stocks in the news, as well as the top business and investing stories.

And Industry Focus offers a deeper dive into a specific industry and the stories making headlines. Healthcare, technology, energy, consumer goods, and other industries take turns in the spotlight.

They're all informative, entertaining, and eminently listenable. Rule Breaker Investing and Answers are timeless, so it's worth going back to and listening from the very start; the other three are focused more on today's events, so listen to the most recent first.

All are available for free at www.fool.com/podcasts.

If you're looking for a friendly voice ... with great advice on how to make the most of your money ... from a business with a lengthy track record of success ... in clear, compelling language ... I encourage you to give a listen to our free podcasts.

Head to www.fool.com/podcasts, give them a spin, and you can subscribe there (at iTunes, Stitcher, or our other partners) if you want to receive them regularly.

It's money to your ears.

 


Compare Brokers