Mastercard is teaming up with telecom company Syniverse to bring a new security service to mobile users. The new pilot program will track user’s smartphone geolocation in order to approve credit cards purchases.
This service aims to reduce consumers’ frustrations associated with having their payment cards used without their knowledge or having their own transactions unnecessarily declined when trying to make purchases in another country. Financial institutions will also have an additional tool that will help them make more effective decisions when approving or declining a transaction on behalf of their customers.
Once launched, interested card holders will have to opt-in on the program, which conveniently allows Mastercard and Syniverse to sell foreign data plans to travelers and send them coupons and location-based offers:
In addition, mobile users could also have a choice of prepaid data packages that they can purchase directly from their phones when they arrive in their destination country…
Mobile network operators and brands can also benefit from the collaboration between MasterCard and Syniverse. In the future, they could implement targeted offers, which will be made more relevant by knowing the location of a mobile device, for example in close proximity to a retail store.