In the data, most consumer defaults on unsecured credit are informal and the lending industry devotes significant resources to debt collection. We develop a new theory of credit card lending that takes these two features into account. The two key elements of our model are moral hazard and costly state verification that relies on the use of information technology. We show that the model gives ri...

For years now, there has been a lot of excitement about using digital cash for purchases of goods and services. In fact, studies in Briton indicate that two out of every three individuals would rather carry one card for every purchase as opposed to carrying cash (9). Additionally, there is tremendous interest in using digital cash for purchases via the World Wide Web instead of other common tra...

Smart cards are the safer device to execute cryptographic algorithms. Applications are verified before being loaded in the card. Recently, the idea of combined attacks to bypass byte code verification has emerged. Indeed, correct and legitimate Java Card applications can be dynamically modified on-card using a laser beam to become mutant applications or fault enabled viruses. We propose a frame...

Recently, Lee et al. proposed a secure dynamic ID based remote user authentication scheme for multi-server environment. They claimed their scheme can remedy the weaknesses of prior schemes and is thus more effective. However, we find Lee et al.'s scheme still fails to achieve the anonymity and has the security weakness of a smart card clone. In this article, we shall propose a new scheme to imp...

Biometric is a technology for verification or identification of individuals by employing a person’s physiological and behavioural traits. Although these systems are more secured compared the traditional methods such as key, smart card or password, they also undergo with many limitations such as noise in sensed data, intra-class variations and spoof attacks. One of the solutions to these problem...

Although some sellers have practiced advanced selling, the generality of its profit advantage is just now being realized. Further, recent development in technologies such as electronic tickets, smart cards, biometrics, and online prepayments now make it appropriate for nearly all services. Advance selling can improve profits for reasons very different from the traditional price discrimination e...

In this paper we share lessons learned in designing, developing, and testing features for a high-assurance smart card operating system. In particular, this paper describes our software design, development, and testing processes, and the advantages reaped from following established process guidelines. We describe the project impact experienced from external influences and count among them market...

The Security-by-Contract (S×C) framework has recently been proposed to support applications evolution in multi-application smart cards. The key idea is based on the notion of contract, a specification of the security behavior of an application that must be compliant with the security policy of a smart card. In this paper we address one of the key features needed to apply the S×C idea to a resou...

The remote user authentication scheme of Lin and Lai, that uses a smart card and a fingerprint measurement, is reviewed and shown to possess significant security issues.

User authentication is an important security mechanism for recognizing legal remote users. We propose an available and secure authentication scheme for service provider to verify users without using verification table. It can resist most of the attacks by improving nonce-based mutual authentication mechanism, and ensure the security by dynamic session key. User may change his password freely. O...