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EMV in the Industry - Part 2

Wednesday, 28 May 2014 20:47
Posted in Blog
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Since EMV is such a complex topic, we have decided to provide you with small pieces of information that you can digest slowly. This week, we will review EMV deadlines, the consequences of non-compliance and the merchants impacted.

What happens if merchants do not comply?

A U.S. liability shift for domestic and cross-border counterfeit card-present point-of-sale (POS) transactions will be in effect. Currently, POS counterfeit fraud is largely absorbed by card issuers. With the liability shift, if a contact chip card is presented to a merchant that has not adopted, at minimum, contact chip terminals, liability for counterfeit fraud may shift to the merchant.

When does the liability shift take place?

October 1, 2015 and October 1, 2017 for Fuel

Which merchants are impacted October 1, 2015?

Merchants who process face to face POS transactions.

To put the liability shift in perspective, the US currently experiences $8.6 billion in card fraud losses. These losses are split between card issuers, merchants, and acquirers, with the majority of card fraud impacting card issuers. After October 1, 2015, much of the burden will shift to merchants. As merchant advocates, it is important that we communicate the liability shift and timelines to our prospects.

Last week's article EMV in the Industry - Part 1

By Melanie Gonzalez
  Director of Product Development

Melanie has spent her entire professional career in the payments industry, working for Top 10 processors such as First Data, WorldPay and Vantiv.  She has a proven track record helping companies develop go to market strategies, build multi-million dollar sales channels and engineer highly technical product solutions that drive revenue and strengthen client relationships.  Melanie recently joined EPSG as Director of Product Development and will lead EPSG’s initiative to build an innovative and robust product suite.

Last modified on Monday, 02 June 2014 21:48