As we blogged about from the IHRSA 2007 show and as we wrote about in the June 2007 issue, the credit card industry has developed a new standard that is affecting all businesses that take credit cards. At Club Industry East, Checkfree once again sponsored a session on the topic presented by Michael Scott Scudder, owner of MSS FitBiz, with some intersessions made by Ron Poliseno of Checkfree.
The new payment card industry (PCI) data security standard basically requires companies that handle credit cards to be responsible if the cards are used illegally due to the company's poor security practices related to customers' credit card information.
Minnesota recently passed a state law that requires all credit-card handling companies to be PCI compliant by Aug. 1. Similar laws are in committees in the legislatures of Texas, Massachussetts and Connecticut. What this means is that not only will the credit card companies come after you if you aren't compliant, but state enforcement agencies may soon, too.
Read the stories I've offered links to above for more details on this issue. It's an important one in the industry, and I don't think enough people know about it yet. --Pam