E-Government in Malaysia: Its implementation so far and citizen’s adoption strategies.

Various countries, including Malaysia, are implementing electronic government, generally known as ‘e-government’. Besides, E-Government also known as e-gov, digital government, online government or transformational government. The implementation of e-government started since the initiation of Multimedia Super Corridor (MSC) by the Malaysian government. This e-government initiative launched the country into the Information Age. It will improve the government operates internally as well as how it delivers services to the people of Malaysia. It seeks to improve the convenience, accessibility, and quality of interactions with citizens and businesses. Simultaneously, it will improve information flow and processes within the government, improve the speed and quality of policy development, and improve coordination and enforcement. This enabled the government to be more responsive to the needs of its citizens.

The myGovernment Portal (http://www.gov.my/) acts as the one-stop source of Malaysian government information and services for the citizens.

Under the e-government flagship, seven main projects were identified to be the core of the e-government applications.

(1) Government to Citizens
1. Electronic Services (E-Services)

This is allows citizens of Malaysia to engage in transactions with government and utilities payments such as telephone and electricity bills and police summons.
MY E.G. Services Bhd ("MYEG") was one of the private limited company that provide E-service on 17 February 2000. MYEG has provider link to Jabatan Pengangkutan Jalan, Jalan Diraja Malaysia, Tenaga Malaysia, Telekon Malaysia Berhad, Dewan Bandaraya Kuala Lumpur, Jabatan Insolvensi Malaysia and Jabatan Perdaftaran Negara.

2. Electronic Labor Exchange (ELX)

The objective is to improve the mobilization of human resource and optimize workforce utilization through systematic matching of job seekers of job vacancies.

3. E-Syariah

Introduction of administrative reforms that upgrade the quality of services in Syariah courts. To enhance the Islamic Affairs Department effectiveness – better monitoring and coordination of its agencies and Syariah courts.

(2) Government to Business
4. Electronic Procurement (EP)

The aim is to re-engineer, automate, and transform current procurement system. The project would cover central contract, tender and direct purchase. The use of eP will increase transparency, saves time and money, while encourage suppliers to go electronic and join the K-economy.

(3) Government to Government
5. Project Monitoring System (PMS)

This is designed to provide a mechanism for monitoring and implementation of government projects and also provides a platform for exchanging ideas and demonstrating best practices models in information management and communication services.


6. Human Resource Management Information System (HRMIS)

This will provide single interface for government employees to perform human resource functions effectively and efficiently. Furthermore, it will help to standardize all human resource processes. The objective is not just for record keeping also provides transactional functions such as leave application, loan processing, competency management, recruitment and selection.

7. Generic Office Environment (GOE)
The aim is to introduce a fully integrated, distributed and scalable office environment that leverages use of multimedia Information Technology. This will enable efficient communication, allowing collaboration across all workers, and ensuring right information reaching the right people in a timely manner.



Citizen’s adoption Strategies:

• Transformation.The use of ITS must greared toward introducing new work method ,by creating new operational processes and changing current process, as well as by changing government relationship with the public.

• Broad scope. Ensure all citizens will have equal access and geographic location , the issue of time an dsocial strata must be taken into account.

• Ease to use. Application that one to be implemented must be oriented toward citizens and hence be user friendly. The government needs provide websites with multiple language version such as chinese, malay,india and so on. For these purpose, it allow citizen can select the language they want and also make more convenient for them to read and understand it.

• Greater benefit. Application should ensure that the benefit of citizens will be greater than those from going in personto government offices. The government needs marketing expertise to better promote awareness, encouragement and dissemination of information on the benefits that can be obtained by using e-government.

• Security and privacy. When implementing applications, consideration should be given to using security and privacy mechanism and policies, to ensure the proper use and handling of personal information and transaction.

• Role of private sector. The private sector can assist the state in providing computer-based solution, as well as training government employees. And it can do so without limiting citizens’ access to information.

• Advertisement. Awareness programs should be launched through TV and radio advertisements, organizing workshops at shopping malls and so on. This strategy will help to increase the citizen’s awareness about the e-government concept.

• Consultation service. Provide consultation services on how to use those services. It is provided who is lack of knowledge for using computer to access e-government.

As a conclusion, the main challenge in e-government in Malaysia is the technological challenge, which includes issues like standards, data integration, legacy maintenance and privacy and security. The key priority in Malaysia now is to improve the core government application and integrating more service across agencies.

Learn more about E-government: http://en.wikipedia.org/wiki/E-Government

Review a local e-commerce site

BLOOM.COM.MY started off as a traditional flower shop and it has somehow become one of the leading Malaysia online florist. Bloom.com.my is an 24 hours online florist. They sell not only flowers, but also gifts, chocolates and cakes for all occasion.

This website is user friendly because this site has categorize their products in several categories that are flowers, flowers and gift, business, condolences, special occasion and lastly promotion items. This is especially easier for customers to choose items that they want.

Moreover, they also enable users to shop by price. So once the users click on his or her budget range which is situated on the right side, all items within the price range will appear on the screen. This website also ranks their best selling products at the left side of home page. Customers who have no idea what to buy can refer these popular products.

Shopping carts are available so that customers can know what the total price is. This can save time as customers do not need to repeat the payment processes for several times.

After checking out and knowing what the total price is, customers need to fill up this form indicating receiver and sender’s personal information such as phone number, name and address.

As for the payment method, this site has a full detail on how to make the payment, whether it’s online or offline. This is helpful especially for the first timers.

After trying for sometime, I think that this website is user friendly and consist most of the information that I am looking for.

However, I have several recommendations for this local e-commerce website.
First of all, this website lack of search engine. If there is a search engine on its home page, it can save customer’s time and energy. Customers can find things they want in no time.

Secondly, they didn’t show pictures of every product. This is not fair for the consumers. Let’s say that a customer prefers to buy the 24 Stalks Red Roses, but the photos available are only in 12 stalks. Customers may have problem in knowing the actual product, this may cause loss for florists.

For example, photo showing below here is 12 stalks lipstick rose, but once i click on the other order, nothing appear on the screen. This is difficult for me as I also want to know how the 36 stalks red rose looks like.

Lastly, I suggest that this website can provide some templates on letting customers to customize product of their own. This can provide satisfaction for their valued customers.

link :

http://bloom.com.my/

A review on a post on Legal from My E-Commerce blog: New rules for cyber cafes.

Politicians decided to take the action after being approached by a worried mother whose son had gone missing. The teenager was found in a cyber cafe where he had been playing for 48 hours.

It is useful to safe some regulation enforcement on these cyber cafes and these will prevent children from lounging into the cyber cafes and doing unhealthy activities. The ideas of

Malaysian government will obviously improve the status and usefulness of cyber cafes in Malaysia. The rule of closing by midnight is basically a good decision to be made. This may lead to educate youngsters that use internet for wrong or crime purpose to take their seat back. At the same time, reduce of crime could be dramatically seen.

The rule to banned from using tinted glasses will reduce the unwanted crime and outsides may recognize the exist of the cyber cafe from outside itself. Cyber cafes should provide it services at the ground floor to avoid recognization of it. The usefulness of guardians with kids under 12years old will lead them to make use of internet in a good manner and purpose prohibited activities done in the cyber cafe make difficulties to the investigators to reveal the dangerous hackers or crackers.

With the banned of cigarettes and alcohols, the public will be more comfortable to use the cyber cafes without being annoyed. Gambling, pornography, publications of negative elements could be reduce. This also results in reduction of corruptions and bad rumors in the country.

Related links:

1. http://ecommerze.blogspot.com/search/label/Legal

2. http://scottthong.wordpress.com/2008/07/08/bn-will-do-everything-to-defeat-the-social ill-of-alternative-media-i-mean-cyber-cafes/

3. http://news.bbc.co.uk/1/hi/technology/4424528.stm

Things to take note to prevent e-auction fraud when a consumer participating in an e-auction.

Become familiar with the auction website.
Look into the websites protection policies. Never assume you are protected from auction fraud.

Before placing a bid, learn as much as you can about the seller.
If you can’t find anything out about the seller, than avoid doing business with them. Never fall for promises of better deals by moving away from the original auction website.

User identity verification
Such in IC number, driver’s license number or date of birth. For example, verified eBay user, the voluntary program, encourages users to supply eBay with information for online verification.

Authentication service
It is to determine whether an item is genuine and described appropriately. It difficult to perform because their training and experience, experts can detect counterfeits based on subtle detail.

Grading services
It is a way to determine the physical condition of an item, such as ‘poor quality’ or "mint condition". Different item have different grading systems. For example, trading cards are graded from A1 to F1, while coins are graded from poor to perfect uncirculated.

Feedback forum
It allows buyers and sellers to build up their online trading reputations. It provides user with ability to comment on their experiences with other.

Insurance policy
For example, eBay offers insurance underwritten, users are covered up to $200, will with a $25 deductible. The program is provided at no cost to eBay user.

Escrow services
Both buyers and sellers in a deal are protected with an independent third party. Buyer mails the payment to escrow services which verifies the payment and alerts the seller when everything checks out.

Non-payment punishment
It is to protect sellers, a friendly warning for first-time nonpayment. A sterner warning is for second-time offense, with a 30 day suspension for a third offense and an indefinite suspension for a fourth offense.

Appraisal services
It use a variety of methods to appraise items. It includes expert assessment of authenticity and condition, and reviewing what comparable items have sold for in the marketplace in recent months.

Item verification
It is a way of confirm he identity and evaluate the condition of an item. Third parties will evaluate and identify an item through a variety of means. For example, some collectors have their item “DNA tagged” for identification purpose. It provides a way of tracking an item if it charges ownership in future.

Physical inspection
It can eliminate many problems especially for collectors’ item.

Related links:

1. http://www.crimcheck.com/background-check-news/whats-internet-auction-fraud-and-how-do-i-prevent-it.

2. http://amazingcommerce.wordpress.com/2008/06/26/things-to-take-note-to-prevent-e-auction-fraud-when-a-consumer-participating-in-an-e-auction/

Mobile payment systems in Malaysia: Its potentials and consumers’ adoption strategies

M-payment (mobile payment) is a point-of-sale or transaction of money payment made through a mobile device, such as a cellular telephone, a smart phone, or a personal digital assistant (PDA).

M-payments include:

• transactions through the mobile network
• payments in brick and mortar storefronts
• bill payments
• person-to-person such as transfer money to friends or families

Several companies in Malaysia have launched the mobile payment systems such as:

• REDtone International Bhd.
• Maxis
• Maybank
• Hong Leong Bank
• Mobile Money International Sdn Bhd
• MobileExec Sdn Bhd.

Mobile Money International Sdn Bhd

The most famous m-payment system in Malaysia is Mobile Money Wallet (MM Wallet). Mobile Money or MM Wallet is one of the online payments. MM Wallet is a new feature from Mobile Money that will turn your mobile phone into an electronic wallet. It brings you superior convenience that allows you to shop cash-free, making remote payment & send money with SMS.

In Malaysia, mobile payment is recently services developing fast. This service is effective providing customers with admission or money off vouchers which can be unique coded or designed to allow viral spread. The mobile channel can be effectively used as a self-funding and revenue generating medium. This service covers all mobile operators on Malaysia; it’s for prepaid and postpaid service billings.

Potential of Mobile payment systems in Malaysia

For your information, statistics show that as in year 2008, there are a total of 25 million of mobile subscribers in Malaysia. However, there have only 460,000 subscribers for mobile payment system. By looking at the large number of mobile subscribers, it is no surprise that our country has the potential to effectively use mobile device as a transactional device.

In addition, the large number of feature-rich mobile devices, third generation (3G) mobile networks, and the emergence of Near Field Communications (NFC) technology are combining to create an environment where the mobile phone could become the next generation payment device. Furthermore, there are only approximately 1 million 3G Subscribers in Malaysia. Therefore, the m-payment system still can grow in Malaysia.




Besides, the customers no need to carry money or credit card to make transaction; it is a very easy step by using their mobile phone to purchase the digital goods and booking cinema ticket and so on. Such mobile service works on any mobile and it eliminates the hassle to queue up just to pay your electric bills. With this, the m-payment providers have a large market share to be grabbed on. This m-payment system is still new and can developing in Malaysia. It will continue to grow as consumer’s confidence on mobile payment increased.

Consumers’ adoption strategies

There are few customer adoption strategies which can help to attract more customers to adopt and accept this mobile money concept.

(1) Cost-transaction fees:
The advantages of physical cash exchange are clear: it is simple, fast, and there is no additional cost involved. Because of this, most mobile payment systems should provide the service free to consumers. Besides, most of the company will reward the consumer by giving gift at certain level of purchasing or giving redemption of reward or will give extra credit to customers eg: Hotlink. With certain calling amount, users will accumulated the points to redeem free air time or free sms.




(2) Ease of use:
Ease of use of M-payment should be emphasized. There should be a few simple steps to conduct M-payment rather than demanding consumers to go through many steps to complete a transaction. The ease of use of M-payment relative to other payment methods such as credit card and debit card is an important factor for consumer adoption of m-payments.

(3) Enhancing of security system:
Upon subscribing to an m-payment system, users are expected to place inherent trust in the system. Needless to say, all steps should be secured and trusted from a technological as well as social perspective. Therefore, m-payment should minimize fraud losses and provide user-controlled transaction-specific privacy support. The last implies that anonymous payments should be possible (as with cash today). Furthermore, technologies such as biometrics, and mobile digital signatures will have to be further advanced in order to be easily integrated into MP architectures.


Conclusion

In conclusion, with the rise of MM Wallet or digital money, shopping, paying bills, transferring money and others, can be so easy and convenient for a customer and at the same time securing the safety of customers.



Related links:

http://en.wikipedia.org/wiki/Mobile_payment
http://www.mmwallet.com/testing123/index.html
http://mobile-money.com.my/
http://searchmobilecomputing.techtarget.com/sDefinition/0,,sid40_gci772807,00.html
http://www.neowave.com.my/mobilemoney_overview.asp

A review on a post on e-tailing from My E-Commerce blog.

Among all the posts on e-tailing from My E-Commerce blog, I’ve chosen ‘Sarawak handicraft to go for e-commerce’.

Definition for E-tailing is the selling of retail goods on the Internet. Short for "electronic retailing," and used in Internet discussions as early as 1995, the term seems an almost similar to e-mail, e-business, and e-commerce. E-tailing is synonymous with business-to-consumer (B2C) transaction.

According to the post, Sarawak government is urging the local handicraft industry players to venture into the online business. As a start, industry players are encouraged to utilize the one-stop e-handicraft mall set up by Sarawak Handicraft Council.

This would be the website, http://www.right.sarawak.gov.my/Rightmart/, a website for the handicraft industry players to showcase their products and designs online.

This would be a good idea as the Sarawak aborigines will be able to market their handicraft products on a global market, this indirectly will lead people around the world to acknowledge and appreciate Sarawak’s unique culture and values.



However, I realized certain details that need to be improved.

1. That particular website was not really attractive.









If the website is not attractive and eye-catching, potential customers might not have any interest to view further details. Therefore, the most effective way to achieve results would be to hire a web developer. the web presentation is too static, they should put on some dynamic catalog and interactive animation.



2. Sarawak Handicraft Council didn’t put much effort in promoting this website.

First of all, I agree with Mr. Kai Wah personal opinion that the URL for this handicrafts was a bit long. http://www.right.sarawak.gov.my/Rightmart/ . They should go for shorter URL such as http://www.e-handicraft.com.my/, http://www.sarawak-handicraft.com/, or anything that is shorter and easy to remember.


Secondly, government can advertise this website on newspaper, television and radio. Moreover, government can request cooperation from famous bloggers to promote this website.

3. Sarawak Handicraft Council didn’t explain further on what the handicrafts are about.

Sarawak Handicraft Council should include history and usefulness about those handicrafts.

link:

http://ecommerze.blogspot.com/search/label/e-Tailing

http://searchcio.techtarget.com/sDefinition/0,,sid182_gci212079,00.html

http://ecommerze.blogspot.com/2007/07/sarawak-handicraft-to-go-for-e-commerce.html

Corporate Blogging: A new marketing communication tool for companies

The blog has become one of the most cost-effective Internet marketing tools, due to companies’ growing need to interact with potential and existing customers.

Until a few years ago, having a home page was everything in Internet marketing, to deliver a company’s message to consumers and give them a nice company image. The growth of Internet has been encouraging consumers to be actively involved in companies’ marketing and production activities. They are not just sitting and waiting for the products and services anymore, but also they try to give their opinions on productions and companies’ activities directly.

These active customers, also called pro-sumers, demand high level of access and interaction in the company’s decision-making process, and blog was the best place for them to communicate directly to companies. This new trend on web is called ‘BR (Brand Relations)’ that covers the area that Public Relations could not reach-approaching each customer’s mind directly. According to this trend, a blog is one of the quickest, easiest, and most cost-effective ways to listen directly what customers want.

However, is it really useful? Should every company start a blog?

A blog is a completely open space, so if someone starts to talk about a specific topic, others can freely react with their comments. It is a place that totally relying on public opinion, so it is hard to predict what kind of reactions that public will make on a post. This means, sometimes it is much more difficult to manage a blog than a website’s contents management. Debates are often happened on company blogs between consumers, but also between a company and consumers, and how the company reacts can contribute or damage its brand image, because even though a blog is just a blog, people who write comments and join debates can be serious and they have a power to spread the story and comments.

Therefore a blog should be considered as a seed of conversation that can create either positive or negative buzz and it is treated as a part of Marketing and Branding tool. Then these points might need to be discussed fundamentally before launching a blog:
Who is going to visit the blog? And who should be the writer of the company blog?
How they should react when there is a negative comment?
How a company should reflect and monitor people’s raw opinions on their strategies?
What kind of topics need to be selected and discussed?

Yes, it may be just a blog that anyone write anything, but depending on how to manage it properly, it can be a key tool of integrated marketing communication, a really effective new media tool that helps developing communication plan in traditional media channels, or a good contribution in developing brand equity by focusing on consumer involvement and preference enhancement.

If a company decides to start corporate blogging, there are five types of corporate blogs (with examples) that it could choose.
1. Company Blog
This is the most common form of the corporate blog. In our opinion, the corporate blog is definitely the next stage in the evolution of the corporate website.
Examples: Top 5 include: Google, Adobe, Flickr, Facebook, and Yahoo! Search.

2. CEO Blog
Examples:Sun CEO - Jonathan Schwartz’s blog, Boeing VP of Marketing - Randy Tinseth’s blog

3. Industry Blog
This is an interesting type of corporate blog one that we should beware of, because it places some difficult ethical choices for the company at hand. Miller Brewing’s pseudo industry blog - Brew blog purports to be an insider blog, while taking potshots at arch competitor - Anheuser Busch.
This is definitely not an advisable strategy for every company but should be considered an option if you consider yourself or employees in your organization as thought leaders in your respective field/technology and choose to establish a blog to discuss best practices.
Example:Miller Brewing’s Brew Blog


4. Department or Product Blog
Again, department blog is another common style or kind of blogging, which is very popular and ultimately essential for large organizations (particularly Fortune 500). Cases in point are Microsoft, Sun, or SAP’s developer blogs in any particular space. Google’s extensive array of product blogs across their different product offerings (close to 90 in number) probably is another great example.
Examples:1. SAP IT Blogs 2. Sun Blogs3. Google - Product Blogs

5. Customer Service Blog
And, finally, the customer service blog or community blog. Given the preponderance of community forums and discussion groups as the new kind of communication media that companies chose to use as conversation methods with their users, we can see the evolution of this kind of a blog, yet.
Example: Microsoft Community Blogs



Related links:
http://blog.precedent.co.uk/unprecedented/2008/06/16/br-blog-relation-a-new-way-of-marketing-communication/

http://mariosundar.wordpress.com/2008/05/19/the-5-types-of-corporate-blogs-with-examples/

Electronic Currency

What Is Electronic Currency?
As a result of recent proliferation of computers, modems and telecommunications links, modern methods of rendering payment, i.e., electronic currency (a/k/a digital cash, virtual cash, electronic (e-) cash, digicash, electronic (e-) money, digital money, Internet currency, cybercash or cyberbucks), are receiving a great deal of attention from both consumers and merchants.

Electronic currency is essentially a system that allows a person to pay for goods or services by transmitting a number from one computer to another. These transactions are carried out electronically, transferring funds from one party to another, by either a debit or credit. These funds are instantly cleared and secured by using strong encryption, thus eliminating the payment risk to the consumer. It is only a matter of time before electronic currency will replace the present monetary systems. Thus, electronic currency is the digital representation of money, or more accurately, the digital representation of currency.

Purchasing Electronic Currency
Using electronic currency is like using a virtual ATM. A user simply connects to the Internet and verifies ownership of the account. The user may then withdraw the desired amount of the electronic currency. At this point, the bank issues a very large, unique random number in an electronic coin format (the "serial number" of the coin) to the user, which the bank signs with their private key. Instead of putting paper cash in your wallet, the user's software stores these electronic coins on the hard drive of the computer.

Once receiving the coins, the computer stores these notes until the user desires to make a purchase. When the user finds the desired product online, the computer collects the notes needed to pay for the item. These notes are then sent to the seller, who sends them to the digital bank.

Upon receiving the coins, the bank verifies the coin's serial number against its list of spent coins. If the user has not spent the coin previously, the bank credits the account of the vendor and the vendor ships the product to the user.

Examples of Electronic Currency

Electronic Currency's Unique Feature -- Blinded Coins
Since the issuer's digital signature authenticates the serial number on each electronic coin, the coin's redemption links its original holder to the transaction. However, consumers can avoid this by using blinded coins. Using the "blinding" technique, the bank can validate the coins without knowing the payer's identity. Therefore, this prevents the bank from recognizing the coins as having come from the payer's account.

Using public key cryptography, the electronic currency system provides each bank, customer (payer) and merchant (payee) with their own public and private keys.

To create a blinded coin, a bank customer must first make a request for electronic currency. The bank will then withdraw this pre-set denomination from the customer's account in the form of digital coins. The customer's software then generates a 100-digit random serial number for each coin. Since the length of the randomly generated serial number is large, it guarantees with high probability that the serial numbers of any two coins will not be the same. The coins are then "blinded" by multiplying them by a random factor. The customer then signs the blinded coins with his private key, encrypts the coins with the public key of the bank and then sends them to the bank.

When the bank receives the coins, the bank removes the signature, signs the coins with its own private key and registers its worth -- thereby "stamping" a value on the certificate. The bank then encrypts the coins with the customer's public key and sends them to the customer. The customer then decrypts the coins with his private key and "unblinds" them by dividing out the random factor. By using the blinding/unblinding process, the customer prevents the bank from associating subsequently spent coins with withdrawals from his bank account. Therefore, the bank is unable to know when or where you shopped, or what you bought.

Conclusion
Presently, electronic currency is at the early stages of implementation. As we are in the twenty-first century, a consumer's wallet will hold less paper cash, coins and magnetic strip cards. Instead, smart cards, e.g., Mondex, will contain electronic currency and other financial information that will automatically execute a transaction. Once the electronic currency industry is able to ensure consumers that these transactions are secure and trustworthy, it will change the way we conduct our daily lives.

Related links:
http://www.murdoch.edu.au/elaw/issues/v6n3/ishman63.html

Credit Card Debts: Causes and Prevention

Causes:

1. Reduced income/ same expenses
Too often we delay bringing expenses in line with a reduction in income for a host of good reasons and let debt fill the gap. The sooner you adjust to your new reality, whether it be temporary or permanent, the better off you'll be.

2. Divorce
Fees for the divorce attorney, division of assets between you and your spouse, proceeds given to children, etc are an easy way to rack up a huge debt. Filing for a divorce may force you to quit working for sometime which leads to reduction in income

3. Poor money management
A monthly spending plan is essential. Without one you have no idea where your money is going. You may be spending hundreds of dollars unnecessarily each month and end up having to charge purchases on which you should have spent that money. Planning is no more difficult than writing down your expenses and income and reconciling the two. You will be surprised at how powerful you'll feel when you are making thoughtful decisions about where and when to spend your money.

4. Underemployment
A close cousin to No. 1, people who experience under employment may continue to think of it as only temporary or if they are coming off unemployment feel a false sense of relief. Yes, you deserve a break, but this is not the time. Get those expenses in line with your current income. Down the road if you increase your income due to more hours, a second job, or a better job, then is the time to start adding in some of the previous spending before you became underemployed.

5. Medical expenses
Gaps in coverage, lapsed policies and increasingly costly alternatives make this a popular category. Just about every doctor I know now takes credit cards. The medical industry wants to get paid at the time service is rendered. They know that if they don't, the chances of their getting paid drops. This means more debt for you, less for them. To be fair, they are not in the lending business, but this only masks a bigger problem

6. Saving too little or not at all
The simplest way to avoid unwanted debt is to prepare for unexpected expenditures by saving three to six months of living expenses. With a savings cushion in place, a job layoff, illness or divorce will not cause immediate financial strain and increase debt. You always hear, "Pay yourself first." Do it and it will grow and be there when you need it. No one has ever regretted having a savings cushion.

7. No money communication skills
It is important to communicate with your spouse or significant other and your children about finances. Keep the lines of communication open and discuss financial goals and spending styles. If you are married to a spender and you are a saver, you will want to map out a strategy for you both to get what you want. Know what credit accounts you each have and promise each other to be honest about what each other spends. Many people find out that their spouses have racked up thousands of dollars in credit card debt and they had no idea that the accounts even existed. This often leads to number 2 above.

8. Banking on a windfall
Spending tomorrow's money today is very tempting especially if you believe that tomorrow will come no matter what. A planned job bonus may not be a sure thing. The inheritance that you believe will come your way may not. The lesson is do not spend the money until the check clears.

9. Financial illiteracy
Many people don't understand how money works and grows, how to save and invest for a rainy day, or even why they should balance their checkbook. The schools don't teach it, your parents may not have sat you down and explained it. It doesn't matter. You are responsible for your life and your money anyway. Financial mistakes are increasingly expensive and complicated to resolve. Get educated and get in control.

Prevention:

a). Making an budget
People have to create clear budget and stick on it that includes monthly bills, food, clothes, entertainment and miscellaneous expenses will prevent from overspending and fall under deeper debt load.

b). Contacting and dealing with creditors
Address the problem to creditors instantly to investigate whether they could give revised payment arrangement when having trouble to pay off debts because running away is not a good solution. If not, may refer to Fair Debt Collection Practices Act if the collection of money from creditors is not fair enough. Creditors may approve proposal and accept modified payment plan when hiring a good credit card debt consolidation companies.

c). Cut up your cards so that you are not tempted to use them
Pick the one with the lowest interest rate and cut up the rest. The one you keep should be deemed an ‘emergency card.”

d). Know what you're doing with reward credit card.
Holders of these can end up spending more than the reward itself is worth if they don't pay attention to the fees and interest associated with their credit card.

e). Self control and discipline
One of the best practices is to have a direct set up so that able to pay back the full amount each month and use in emergencies. Thus, self control and discipline to keep these cards in wallet and would not overspend.

Related Links:
1. http://www.bankrate.com/brm/news/debt/debt_manage_2004/top-10-causes.asp

2. http://www.3debtconsolidation.com/top10-causes.html
3. http://www.creditcards.com/credit-card-news/5-simple-credit-card-debt-rules-1267.php

The application of prepaid cash card for consumers

Prepaid cash card is a plastic card encoded with monetary value on a magnetic stripe. A prepaid cash card account is opened by depositing money into that account, once you have money in your account, you're issued a prepaid cash card that can be used anywhere.

The money is yours and once it's gone, you can't spend any more until you make another deposit. There are no bills and no interest charges.

There are two main categories:

Closed-loop cards- merchant gift cards, transit system fare cards, and prepaid telephone cards;
Open-loop cards- which can be used at many retail merchants and for banking purposes, such as receiving direct deposits or withdrawing cash from automated teller machines.

Prepaid cash cards are particularly useful for those:

1. Under the age of 18
2. Who have had past credit difficulties
3. Who have had difficulty getting accepted for a standard credit card or bank account

examples of applying prepaid cash cards on internet

Advantages of prepaid cash cards:
1. There is no worry about your credit history or more debt, because you are not borrowing any money but actually using your own money. The money is yours and once you finished using the money in prepaid cash card, you can't spend any more until you make another deposit.

2. A better way to track spending and not overspend. The account activity can be monitored online to help keep within a budget. The balance can be checked or loaded with additional funds online or over the phone.

3. Secure way to carry your money. Carrying a prepaid cash card is much safer than carrying a large amount of cash. It also offers convenience when a merchant only accepts cash or credit. You also have the security of knowing that you must sign for every purchase, making it difficult for a thief to use your card.

4. If your card is ever lost or stolen, you can cancel it with a simple phone call.

Examples of prepaid cash cards:

Touch ‘n Go (TnG) smart card used by Malaysian for electronic payment system to toll expressway and highway.

Obopay, The service itself will allow for person to person payments between phones. Obopay says that “users can send money to almost any mobile handset”,

Octopus Card -It is a rechargeable contactless stored value smart card to transfer electronic payments in online in offline system.

Apple iTunes prepaid cards -Once you enter in the card # (on the back, under some silver coating that can be scratched away), you can then buy 15 songs which are automatically downloaded to your computer.

link:

1. http://www.moneyextra.com/cards/prepaid-cards/

2. http://www.wisegeek.com/what-are-prepaid-credit-cards.htm

3. http://www.answers.com/topic/stored-value-card

4. http://www.marketprosecure.com/free-prepaid-debit-card.html

5. http://ezinearticles.com/?Benefits-of-Using-a-Prepaid-Credit-or-Debit-Card&id=1838202

A Review on Internet Security from My E-Commerce blog

After reviewing the e-commerce blog, I have learnt a lot of things about internet security. I just realize that have more than 1 million types of computer viruses in circulation, new spamming tactics and so on. Besides, I also know several ways to prevent threats and blog being hacked, other solutions for spamming tactics and so on.

Unauthorised Tapping Into Home WIFI - Teenager is facing a Jail term.

In so many topics that I have review in the e-commerce blog, I found that one of the cases is quite special and can catch my attention to it. Besides, it also has a question posted there (Who's responsibility to secure the home WIFI systems? Owner or Service Provider?) This question let me think from a various perspectives: legal, political or social issues. Although the question was a very good one, yet there were no suggestions on the part of the blogger concerned. It was 'left hanging' there for people to think by themselves. Different people have their own opinion towards this question.

Please logon http://ecommerze.blogspot.com/2007/02/unauthorised-tapping-into-home-wifi.html to review the case.

First of all, in my opinion, owner has more responsibility compare to service provider in order to secure the home WiFi system. This is because the service provider only provides the services. While the owner need to set his / her own password. It was a kind of privacy for the owner and cannot be exposure to other parties included service provider. Besides, some of the owner did not set up a security-enabled wireless network and it could be automatically accessed by other parties. As a Wireless Internet consumer myself, I have noticed that hardware manufacturers today, such as Aztech & Linksys, have made it simple enough for any home user to setup his or her 'Security Enabled' Wireless Network with very few and simple steps. Therefore, the service provider cannot, and should not be held responsible for breach of Wireless Network setup by a home user.

For your information, there are some problems / issues that could be faced by innocence people referring to this case. eg: Wireless Network from others which is not security-enabled can be automatically accessed, unknowingly by a person who has his own Wireless Modem, thinking they are using their own line, not knowing what they have done. Therefore, they could be convicted under the Computer Misuse Act.



Related Links:
1. http://www.itconsulting.com/news/singapore-misuse-crime-011707/
2. http://newsinfo.inquirer.net/breakingnews/infotech/view_article.php?article_id=31954
3. http://www.theage.com.au/news/Technology/Report-Singapore-teen-faces-3-years-jail-for-tapping-intoanothers-wireless-Internet/2006/11/11/1162661936948.html
4. http://www.zdnetasia.com/news/security/0,39044215,61982282,00.htm
5. term 'Computer Misuse Act' - http://www.thinkcentre.org/article.cfm?ArticleID=2229

The application of 3rd party certification programme in Malaysia

Let’s get protected!!! (3rd party certification programs)

Have you ever thought that is it secured to make an online transaction? Is the website that I visit can be trusted? How do I know my privacy is not being intruded by others? Here are a bunch of questions that we all would like to ask first before start to do an online transaction. All of these questions causes some of people deliberately limit the online transaction because they don’t fully trust the e-commerce process. These people simply fear for the security of personal and financial information transmitted over the Web. In order to reduce this problem, the application of third party certification programme is using in Malaysia.


What is third party certification program?
First of all, third party certification program is a procedure by which an authoritative body gives formal recognition that a body or person is competent to carry out specific tasks.

Why does the 3rd party digital certificate so important and is needed? Well, it assures you with:

• Confidential which guarantees you the protection against third party invasion of the messages passed between 2 parties;
• Authentication of the other party’s digital signature is verified by the person himself – to avoid being spam
• Integrity of the information passed between the 2 parties is not intruded by third party;
• Non-Repudiation where ensure the party did not deny the action of sending or receiving any transaction/information being made.
• Safety online transaction – eg: secure online shopping cart

MSC Trustgate

Certification authority (CA) is an entity which issues digital certificate for use by other party. It is an example of a trusted third party. One of the certificate authorities is MSC Trustgate.com Sdn Bhd. MSC Trustgate.com Sdn Bhd is the most famous application of 3rd party certification program in Malaysia. It was incorporated in 1999 as a licensed Certification Authority (CA) operates within the Multimedia Super Corridor under the Digital Signature Act 1997 (DSA).

The objective of MSC Trust gate is to secure the open network communications from both locally and across the ASEAN region. While the vision is to enable organizations to conduct their business securely over the internet, as much as what they have been enjoying in the physical world.

For your information, Trust gate have provide digital certification services such as digital certificates, cryptographic products and software development. It offers complete security solutions for individuals, organizations, government, and e-commerce service providers by digital certificates, digital signatures, encryption and decryption. In present, MSC Trust gate has 12 million in paid up capital.

Among the projects they have implemented are:

• E-banking Security Deployment and E-procurement Integration
• User Authentication and Customer Clearance Approval System
• Public Key Infrastructure (PKI) to assist all type of companies and institution conducting their business over the internet. The state of the art back-end infrastructure that costs RM14 million is probably one of the best in the region.

Here are some products and services that are offered by Trustgate: SSL Certificate, Managed PKI, Personal ID, MyTRUST, MyKAD ID, SSL VPN, Managed Security Services, VeriSign Certified Training and Application Development. Please refer to http://www.msctrustgate.com/ for more details about the products and services that are offered.

VeriSign’s certificate authority technology was created in 1994. The company has created the most widely recognized digital certificate or digital ID for authentication of parties in ecommerce and other electronic interaction. It also creates software to authenticate users and then provides validation and registration capabilities (also known as Public Key Infrastructures, or PKIs) to provide a dynamic library of digital identities.

Functions of VeriSign SSL certificate:

(1) Global Server ID
Global Server ID adopts today's strongest encryption commercially available for secure communications via Server Gated Cryptography (SGC) technology. GSID authenticates your web sites and enables 128- or 256-bit encryption to secure communications and transactions between the site and its visitors. Every purchase of GSID comes with a VeriSign Secured Seal that you can display on your web site. The seal is an instant proof that your web site is genuine because you have been verified by the World Leader of SSL Provider, and your customers can conduct business with you free of worry.

(2) Secure Server ID
Secure Site SSL Certificates protect the transfer of sensitive data on Web sites, intranets, and extranets using a minimum of 40-bit and up to 256-bit encryption. It includes VeriSign Secured Seal.

In conclusion, implementation of third party certification programmes could help to improve customers trust as end users know exactly who they are dealing with and feel comfortable that the information they send is not falling into unknown hands. They know that their server is receiving accurate transmissions that have not been tampered with or viewed en route.

Related Links:
http://www.msctrustgate.com/
http://en.wikipedia.org/wiki/Digital_certificate
http://www.verisign.com/

Phishing: Examples and its prevention methods.

What is phishing?

Phishing (pronounced “Fishing”) is an online fraud technique used by criminals to entice you to disclose your personal information. Phishing is the fastest rising online crime method used for stealing personal finances and perpetrating identity theft.

Phishers use many different tactics to lure you, including e-mail and Web sites that mimic well-known, trusted brands. A common phishing practice involves "spamming" recipients with fake messages that resemble a valid message from a well-known Web site or a company that the recipients might trust, such as a credit card company, bank, charity, or e-commerce online shopping site. The purpose of fake messages is to trick consumers into providing their personal information such as: name and username, address and phone number, password or PIN, bank account number, ATM/debit or credit card number and etc.

Criminals use this information in many ways for financial gain. For example, a common practice is identity theft, whereby the criminal steals your personal information, takes on your identity, and can then do the following:

• Apply for and get credit in your name.
• Empty your bank account and max out your credit cards.
• Transfer money from your investment or credit line accounts into your checking account, and then use a copy of your debit card to withdraw cash from your checking account at ATMs around the world.

Example of phishing:

Citibank phishing scam

eBay phishing scam

IRS Tax Refund scam

How to prevent phishing?

1. Never reply to e-mail messages that request your personal information

Be very suspicious of any e-mail message from a business or person that asks for your personal information — or one that sends you personal information and asks you to update or confirm it. Instead, use the phone number from one of your statements to call and do not call a number listed on the e-mail message. Similarly, never volunteer any personal information to someone who places an unsolicited call to you.

2. Use strong passwords and change them often

If your account allows them, strong passwords combine uppercase and lowercase letters, numbers, and symbols, which make them difficult for other people to guess. Don't use real words. Use a different password for each of your accounts and change them frequently. It's hard to remember all those passwords. For tips on creating strong passwords and how to remember and store passwords securely, see creating stronger passwords.

3. Don't send personal information in regular e-mail messages

Regular e-mail messages are not encrypted and are like sending a post card. If you must use e-mail messages for personal transactions, use Outlook to digitally sign encrypt messages by using S/MIME: Secure Multipurpose Internet Mail Extensions (S/MIME) is a specification for secure e-mail messages security. MSN, Hotmail, Outlook Express, Microsoft Office Outlook Web Access, Lotus Notes, Netscape, and Eudora all support S/MIME security.

4. Don't click links in suspicious e-mail

Don't click a link contained in a suspicious message. The link might not be trustworthy. Instead, visit Web sites by typing their URL into your browser or by using your Favorites link. Do not copy and paste links from messages into your browser.

5. Do business only with companies you know and trust

Use well-known, established companies with a reputation for quality service. A business Web site should always have a privacy statement that specifically states that the business won't pass your name and information to other people.

6. Make sure the Web site uses encryption

The Web address should be preceded by https:// instead of the usual http:// in the browser's Address bar. Also, double-click the lock icon on your browser's status bar to display the digital certificate for the site. The name that follows Issued to in the certificate should match the site that you think you're on. If you suspect that a Web site is not what it should be, leave the site immediately and report it. Don't follow any of the instructions it presents.

7. Help protect your PC

It is important to use a firewall, keep your computer updated, and use antivirus software, especially if you connect to the Internet through a cable modem or a digital subscriber line (DSL) modem.

8. Monitor your transactions

Review your order confirmations, credit card and bank statements as soon as you receive them to make sure that you're being charged only for transactions you made. Immediately report any irregularities in your accounts by dialing the number shown on your account statement. Using just one credit card for online purchases makes it easier to track your transactions.

9. Use credit cards for transactions on the Internet

In most locales, your personal liability in case someone compromises your credit card is significantly limited. By contrast, if you use direct debit from your bank account or a debit card, your personal liability frequently is the full balance of your bank account. In addition, a credit card with a small credit limit is preferable for use on the Internet because it limits the amount of money that a thief can steal in case the card is compromised. Better yet, several major credit card issuers are now offering customers the option of shopping online with virtual, single-use credit card numbers, which expire within one or two months. For more details, ask your bank about perishable virtual credit card numbers.