November 07, 2007 17:31 ET

CUETS Financial Completes First Chip Card Transaction for Credit Union System

REGINA, SASKATCHEWAN--(Marketwire - Nov. 7, 2007) - CUETS Financial Ltd., a wholly owned subsidiary of MBNA Canada Bank, announced today the successful completion of the first chip transaction for the credit union system. The transaction was processed using a MasterCard® chip credit card at Nature's Own Sausage & Meats located in Regina, Saskatchewan.

"The success of this chip transaction is a major milestone for CUETS Financial and the credit union system, taking us one step closer to introducing our customers and clients to chip technology," Vice President, CUETS Financial Chip Centre of Excellence™, Brian Guillemin, said. "This achievement is a tribute to our team of over 30 people who, along with the contributions of our suppliers and partners, have shown dedication and commitment to this project over the past year.

This milestone allows CUETS Financial to be an early participant in the Canadian payments industry chip trial taking place this fall in Kitchener-Waterloo (K-W) Ontario. This trial of chip-based payments is designed to assess communications to customers and merchants and allow participants to monitor merchant and consumer awareness and adoption before continuing with the national chip rollout. The trial will also allow participants to ensure the interoperability of their respective cards and devices in a secure and controlled manner.

"Today's chip transaction is a significant step towards bringing CUETS' MasterCard card holders to the next level of technology with greater capacity and enhanced security," says Will Giles, Vice President - Advanced Payments and Chip Centre of Excellence, MasterCard Canada. "Having CUETS Financial as a partner during the major market trial of chip cards in Kitchener-Waterloo will be integral in helping us establish our strategy for the national roll-out of chip cards."

The K-W trial is expected to continue through to October 2008, at which point the deployment of chip-enabled cards, ABMs and merchant terminals will roll out nationally over the next several years. For more information about chip technology and the K-W chip trial, visit

The migration to chip technology represents an evolution of the electronic payments industry and is designed to make an already safe payments system even more secure. Widely used in more than 100 countries around the world, chip credit and debit cards contain an embedded computer chip that provides increased protection against counterfeit and lost and stolen card fraud.

To view pictures of the first chip card in action, please click on the link below:

About CUETS Financial Ltd.

CUETS Financial Ltd., a wholly owned subsidiary of MBNA Canada Bank, is a financing entity that delivers a range of MasterCard credit card and debit card products to credit unions and their members across Canada. In addition, CUETS Financial offers the CHOICE REWARDS® program that gives cardholders flexibility in earning and redeeming points for brand-name merchandise, unrestricted travel and charitable donations. CUETS Financial is based in Regina, Saskatchewan, Canada.

About MBNA Canada Bank

MBNA Canada Bank, a subsidiary of Bank of America Corporation, is the leading provider of co-branded and affinity credit card programs in Canada, and the second largest MasterCard issuer in the country. MBNA Canada Bank credit cards and related products and services are endorsed by nearly 500 Canadian organizations. MBNA Canada Bank provides financial products and services throughout Canada from its headquarters in Ottawa.

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