Ready or not, customer-controlled accounts are coming

That title is actually one of Javelin Strategy & Research's News Item : http://www.javelinstrategy.com/2007/11/02/every-new-idea-looks-crazy-at-first-attention-e-bankingpayments-product-or-security-managers-ready-or-not-customer-controlled-accounts-are-coming/

In another Javelin's news item, James Van Dyke stated : "....on this subject is the first significant industry-wide announcement that we’ve seen which falls under what we’ve been calling “UDLAPs” (user defined limits and prohibitions) for years now. We have 3 years of longitudinal history on what UDLAPs actually exist, and even longer historical data on what consumers want or are prepared to use to get more control (or alerts) on their accounts.

I’ve rarely been more sure of anything: control is shifting from financial provider, UDLAPs and IFMs are the primary levers that will make it happen, and the term “account holder” is about to become a reality. Get ready for the follow-on shift in loyalty and transaction volume."

and again... in http://www.corporate.visa.com/md/nr/press828.jsp

"According to a recent Javelin Strategy & Research report, consumers view timely alerts as a valuable resource to help detect fraud.

"Information is power, especially when delivered in a timely manner," said Elizabeth Buse, Global Head of Product at Visa Inc. "Visa already delivers real-time transaction risk scores to financial institutions, and we are now empowering cardholders in this pilot with real-time transaction alerts when..."

and now...

Visa is investing heavily in mobile payments.... which includes alerts and notifications.

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VISA seems to have conveniently forgotten that Javelin actually endorses UDLAP (user defined limits) that provide the customer the ability to restrict or allow certain types of payments as the main element of an ideal card protection. 

I do agree with James Van Dyke of Javelin. I am also sure that control is shifting from financial provider to account holder. But as a background, this system (that enables cardholders to control their own accounts) was actually developed in October 2000 and piloted in Sept 2002 with 120 cardholders, way before Javelin even thought of UDLAPS. The pilot lasted over 12 months and was a success. Additionally, I'm happy to say that I am the inventor of USPTO 6931382, which was referred to by VISA in their similar patent filing (but filed later than mine).

Strange thing is that I posted a comment on Javelin's website much like I would do here in Finextra, but all I got was "Pending Moderator Approval" and eventually after many months of checking, my comments were never posted. HHHMMMM...

By the way, Paul Penrose's "Hey Fool, Don't be a Mule" can be seen posted in Javelin's site. http://www.javelinstrategy.com/2008/09/26/hey-fool-dont-be-a-money-mule/