China UnionPay confirmed: more than 1,000 illegal hand brush POS machines were shut down


The rectification of the mobile terminal outside the mobile terminal market is still continuing. On July 13, it was reported that China UnionPay informed the various acquirers of the list of brands that were closed by the mobile terminals outside the mobile devices submitted by the acquirer. The list of closed down brands has been updated to 1,154, 192 more than the previous 962. The brands that have been shut down are the list of brands that have been closed by the terminals, unreported and uncertified for mobile devices submitted by various acquirers.

The relevant person in charge of China UnionPay confirmed the news to the reporter, but he said that this time is not informal, but internal ventilation.

“The acquiring organization needs to carry out related security technology certification for mobile terminal management services, and needs to report to the card organization. Some acquirers consider various reasons such as security, no longer operate various brands, and at the same time for brands that are no longer operating. The acquiring institution will inform UnionPay to report, and China UnionPay will also inform the remaining acquiring institutions to communicate and ventilate.” The relevant person in charge of China UnionPay further explained.

In fact, rectifying mobile terminals outside of mobile devices is not a recent matter. It is reported that in May of last year, China UnionPay issued a notice on the requirements for the regulation of mobile terminals outside the mobile terminal, in order to implement the Notice of the People's Bank of China on Strengthening the Outsourcing Management of Bank Card Receiving Business (Yinfa [2016] No. 199, below Referred to as “No. 199”, it is required to further strengthen the management of mobile terminals outside the mobile device, and require each acquiring institution to submit the terminal information of the terminal that has been shut down. In addition, according to the requirements of Document No. 199, the acquiring institution may not Outsourcing related core acquiring services such as transaction processing, fund settlement, and acceptance of terminal master key generation and management.

In the view of Wang Pengbo, a senior analyst in Analysys Financial Industry, there are two major risks in this tool, which are M-pos machines or mobile phone card readers. One of these two card POS machines has the risk of customer funds being taken away by the POS machine company; second, the two POS machines are easily reduced to credit card cashing tools.

It is reported that the shape of a small POS machine is mostly a square box of half the size of a cigarette case. It is provided with a card slot and a card slot. A mobile phone App can be downloaded through the two-dimensional code on the body to be paired with the mobile phone. By binding a personal savings card, you can make money and expenses. Compared with the formal POS machine, the merchant registration information is required, and the registration of such POS machines is almost “zero threshold”, so some people start to use this POS machine to cash out. In the opinion of analysts, small POS machines are easy to obtain, and they are realized through virtual transactions, which makes it easy to get funds out of bank supervision and there is a great financial risk.

Xue Hongyan, a senior researcher at Suning Financial Research Institute, said that the acceptance terminal is an indispensable channel for payment transactions, and can be exposed to sensitive information such as customer transaction information, bank card information and passwords. It is also one of the most prone to violations or fraud. .

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