In-Vehicle Payments Group

In-Vehicle Payments Group

General Information

Welcome to the COVESA In-Vehicle Payments for Modern Vehicles Group Meeting

Weekly Meeting: Bi-Weekly on Monday starting 1/12/2026 (1700 CET, 11:00am ET, 8:00am PT) (zoom link)

Slack: https://covesacommunity.slack.com/archives/C062FSND1GU

Google Group: in-vehicle-payments@covesa.global

Chairs:

  • Mark Gerban , PAIRPOINT

  • John Moon , Mochanix

Draft Architecture

White Paper

Call to Action

Meeting Notes

Agenda 2025-12-01

Participants:

Topics:

Benefits of MCC Optimization for In‑Vehicle Payments

  1. Lower Transaction Costs

  • Current MCC classifications often place EV charging and fleet fueling in higher‑risk categories, driving up interchange fees.

  • By establishing dedicated MCCs for EV charging, fleet fueling, and car‑present transactions, we can better reflect the true risk profile and reduce costs.

  • Payment networks typically require several years of transaction history (around four years) before adjusting pricing. A coordinated industry effort can accelerate this process by pooling data across OEMs and merchants.

  1. New Merchant Category Codes (MCCs) for the Automotive Industry 

  • Car‑Present Transactions: Allows the transactions to be authenticated via the proposed COVESA IVP framework for e-commerce transactions, allowing for reduced risk in the transaction

  • Fleet‑Present Transactions: EV fleets and trucks represent predictable, recurring usage patterns that should be classified as lower risk.  They may have higher authentication mechanisms (e.g. fleet driver IDs, authentication apps with the vehicle for higher security for fueling, etc.)

  • Charging MCC: EV charging should be treated more like a utility transaction, which historically carries lower risk.  As a cable is involved, continuous authentication occurs over a more extended period during charging, reducing the risk in non-prepaid cases.

  • Proximity MCC: Geo-location verification (vehicle is at Costco, charging station, or merchant site) provides strong fraud mitigation and supports lower interchange fees.

Next Steps

  • Note MCC proposals for new or reclassified categories that include payment networks (Visa, Mastercard, Amex) in follow-up standards paper.

  • Aggregate historical transaction data across OEMs and merchants to support reclassification (this may need to be card scheme driven).

  • Update the draft architecture framework with description of each section in paragraph form to explain the technical aspects, in preparation for the follow-up of the COVESA standards paper.

  • Bring in new merchants and OEMs into the COVESA IVP standards discussion

  • Ask the COVESA team to formalize agreement with FIDO Alliance, so we can bring Andrew Shikiar (FIDO CEO) into the discussions

Past In-Vehicle Payment (IVP) Workshop Recordings 

In-Vehicle Payment SIG Workshop

 

 

Introduction and Overview

Speaker: John Moon- COO at ConnectedTravel and GENIVI IVP/EV SIG Lead

Abstract: Welcome everyone, Update on the IVP SIG, Report on related upcoming events

Recorded Session

GENIVI AMM IVP SIG Slides

EV and Fuel Transactions 

Speaker: Will Judge, VP at Mastercard

Abstract: Mastercard has been a leader in connected car commerce and has been engaged with the merchant and automotive companies including GM, HERE, Honda, Soundhound, Sonic, and White Castle. Hear about Mastercard’s latest work in connected car and fuel transactions and learn about how they are thinking about EV payments.

Recorded Session

Mastercard Ryd Pay.pdf

Challenges and Opportunities in EV Charging Payments 

Speakers: Niclas Gyllenram, Director of Software Development at Volvo, and Will Judge VP at Mastercard

EV growth will introduce new first-time drivers to electric cars and along with it the task of educating customers on what it means to own an electric car. Paying to charge the car when away from home is becoming a growing complexity for new EV owners compared to the convenience of fueling at a gas station. Join us for a fireside chat with Volvo and Mastercard as they discuss their views on the challenges and opportunities OEMs face with customers paying for EV charging.

Recorded Session

No slides for this session

Vehicle location-based services (VLBS) at Scale

Speaker: Evgeny Klochikhin, CEO at http://Sheeva.AI  

Abstract: Enabling Location-Based Services for Cars to monetize in-vehicle connectivity – http://Sheeva.AI will present a case study on the first autonomous, cloud-based VLBS solution enabling automatic, contactless payments and last-mile services for EV charging, fueling, road-usage charging, parking, and other critical applications without new physical infrastructure or hardware installed inside connected vehicles.

Recorded Session

VLBSatScale.pptx

Challenges for Compliant In-Car Payments in Europe

Speaker: Jakob Gajdzik, Product Owner eCommerce Digital Transactions at BMW

Abstract: As an OEM, there are a series of questions to consider even before in-car payment can be designed technically. Regulations such as PSD2, authentication methods, available standards, and payment process constraints need to be considered. Join us on our road towards compliant in-car payments.

Video not available

Challenges for Compliant In-CarPayments.pptx

Automating Fleet Payments

Speaker: Khalid Elawady, Chief Product Officer at CarIQ

Abstract: Fleet administrators know that monitoring, verifying, and reconciling payments related to operating a vehicle is a time-consuming necessity. Machine banking allows cars to connect directly with merchants to transact for any type of service and addresses these needs and more.

Recorded Session

Automating Fleet Payments Khalid el-Awady

The EV Charging Ecosystem: Building Out EV Infrastructure 

  • Moderator - John Moon (Connected Travel)

  • Honda - Boris Polania (Lead Architect)

  • Tritium - Julian Lile (Manager of Automotive OEM & Fleet)

  • Arrive - Ed Lewis (Senior Vice President

  • Sygic - Giles Shrimpton, (Managing Director Automotive and eMobility)

Abstract: OEM's, municipalities, and governments globally are committing to the growth of EVs, leading to the need to rapidly develop and deploy supporting infrastructure to meet the demands of consumers. This new demand presents an opportunity, but also requires, OEMs, suppliers, service providers, and municipalities to collaborate to deploy services to new customers. Our panelist will share their perspective on how they see the ecosystem working together and the challenges they face in this developing market.

Recorded Video

No slides for this session