With less than a week to go before FinovateSpring, it’s pretty hard to hide our excitement for Ondot Systems. The Finovate newcomer will be arriving at the show $18 million in funding richer courtesy of an investment from a set of undisclosed contributors.
Ondot Systems’ technology is called CardControl. CardControl allows consumers to have instantaneous control over their credit, debit and other payment cards via their smartphones.
The applications for the technology are clear: from parents setting limits on a son or daughter’s credit card, to an individual being able to quickly “freeze” a lost or stolen card. The range of control options includes the ability to turn cards on or off, to provide location-based parameters on where the cards can be used, as well as to limit purchases by type and/or amount.
Said the company in a statement: ” We think giving consumers tools to control, monitor, and manage card usage is a cost-effective way to protect cardholders and enhance the value of existing debit, credit, and prepaid cards.”
Ondot has been in stealth for years, developing the sophisticated technology to enable this card-controling smartphone functionality. Now in the public eye, we learn that the company has partnerships with four of the top payment processors, and that its technology reaches 10,000 banks and credit unions around the U.S.
To this last point, Ondot is already claiming significant success in helping FIs reduce fraud costs. They cite Long Star National Bank as one client that has seen declines in fraud losses of 40%. Bank COO David Penoli added that card usage has also increased, which he called “the most cost-effective way to increase debit card margins.”
Founded in 2011, Ondot Systems will demo CardControl at FinovateS[pring in San Jose next week. There’s still time to get your tickets, so visit our registration page today to save your spot.