On October 1, 2015 if a customer comes into a store and uses either a counterfeit credit card or a stolen card that could have been read by an EMV enabled terminal, but the merchant chose not to have an EMV terminal in his place of business, then that fraudulent transaction and the accompanying liability will now be the financial responsibility of the merchant.
So what are the concerns merchants have about not making the decision to move to EMV equipment?
Large big box retailers have already moved to EMV enabled terminals because of the constant increases of credit card breaches that we hear of every week. A small brick and mortar store however, is concerned about the cost of new hardware, software, and the training required to implement EMV. Processors offer many ways of obtaining this equipment – they may sell it outright; offer leasing programs; or place it free of charge. Regardless, the cost of a data breach compiled with fines and a loss of brand reputation can put a small retailer out of business with a single incident.
2. Implementation Time
Unless you are a business with multiple locations, your current sales representative should be able to install and train your staff in less than thirty (30) minutes. POS integration will take longer, but again, this is something a qualified merchant services professional can help you with.
EMV chip cards will decrease fraud in card present transactions because EMV requires two methods of authentication. Merchants who are e-commerce or phone order based, will have to adapt extra security measures to protect themselves from an expected increase in attacks from hackers. A qualified merchant sales person can help you with this.
4. Speed of the Transaction
The new EMV cards require that the card stay in the device during the entire transaction. It will take longer to process. Merchants can also adopt tap-and-go and NFC technology and set thresholds on when to require a signature to speed up check out times. Train your employees to assist customers in completing the transaction.
5. Chip and Pin and Chip and Signature
Merchants will be faced with thinking about customers who use an EMV card that is not a debit card, so there is no PIN attached to the credit card. It might be best to have a system that accepts all card types and authentic methods.
Tannen and Associates offers a wide range of EMV compliant solutions FREE of charge with the opening of a new merchant account. Please call 408.888.9663.