October 2015 is right around the corner. Is your business EMV ready? We sure hope so!
What exactly are Chip Cards and how will they benefit my business?
EMV stands for Europay, MasterCard and Visa, the three card companies that helped create this technology, which holds customer information in a chip card versus the magnetic stripe on the back of a current credit card. The magnetic stripes that are currently on credit and debit cards contains data that does not change, making it very easy for one to gain access to the cardholder information necessary to make a purchase. In the near future, credit cards will be inserted into a terminal rather then being swiped. This chip card is unique in that it creates new information, which is embedded on the front of the card, each and every time the chip is read, making it more secure and significantly reduces the chance of fraud in a card-present environment. This allows merchants to enable safer and smarter transaction solutions.
Some of the benefits of accepting EMV chip cards include:
- Increase in revenue through acceptance of international visitors’ cards
- Increased security
- Larger capacity of information: a greater amount of information is able to store on the chip than the current magnetic stripe
- Reduce counterfeit card fraud
- Point-to-point encryption which provides improved levels of protection then current swipers
- Merchants can actually save money through the liability shift taking place October 2015
What is the liability shift and how will it affect me as a business owner?
The deadline for all U.S. merchants to start accepting EMV payments is October 2015. If merchants fail to make the switch to EMV compatible terminals, merchants may be held liable for any counterfeit fraud losses. Previously, credit card processors and issuers were the ones taking the fall in the case that fraud was present, but now the loss will fall into the hands of the merchants themselves. Switching your business to EMV compatible terminals will greatly benefit your business and is a conscious choice.
Why you should migrate your terminal TODAY!
Card issuers throughout the world are including chips in bank cards and merchants have been making the switch to EMV certified and compatible terminals in order to reduce the chance of fraud and help increase security. The U.S. is the last to make the switch, but ever since the UK has adapted to EMV technology, credit card fraud has declined significantly. TouchSuite offers an EMV capable and certified terminal to small business owners. Having the most up-to-date equipment ensures that these merchants can accept chip credit and debit cards through the point of sale system today. To read more about TouchSuite and EMV technology, please click here.