What Every Business Should Know About EMV In Business Solutions
Tabitha Dodson, Branch Manager, Regions BankPublished: Sept. 21, 2015, 1:36 p.m.
Updated: Sept. 21, 2015, 1:38 p.m.
What Every Business Should Know about EMV
By: Tabitha Dodson, Branch Manager, Regions Bank, 09/21/2015
Europay, MasterCard, and Visa technology better known as EMV, is quickly transitioning to the US. You may see that some of the top retailers are already implementing these changes to their point of sale machines when you are in the checkout line. EMV enabled debit and credit cards are a more secure way of making purchases. EMV enabled cards or “smart cards” contain a microchip on the front of the card that provides a more sophisticated security feature than the traditional magnetic strip cards. With this technology, smart cards are nearly impossible to duplicate thus drastically reducing the risk of fraud to your business and your customers.
While smart cards will reduce the amount of fraud, there is something else that is of importance to the business owner and consumer alike. Starting October 1st, 2015* there will be a liability shift on card purchases. What does this mean for the business owner? This means that after October 1st *, if your business accepts and processes a counterfeit transaction on a non-EMV enabled terminal, the liability for that transaction is the business owner’s, not the card issuer. The card issuer will no longer carry the burden of those counterfeit charges.
As consumers begin to have their magnetic strip cards replaced with chip enabled smart cards, they will have fewer reasons to worry about the security of their payment information because the unique identifier on the card is specific to that customer. Accepting EMV cards will allow for shared benefit on both sides. The customer’s information is more protected, and the business will be able to benefit from a reduction in losses related to card fraud.
What can you do to help protect your business from the liability of fraudulent transactions? Talk to your merchant services provider about the EMV solutions available to you.
*Businesses with Pay at the Pump acceptance methods have until October 2017 to comply with this new standard.