What is EMV / NFC?

    On October 1, 2015 “EMV” or “chip” cards became the new standard for security throughout the United States. Using smart technology providing enhanced security, these cards are replacing everyone’s magnetic-stripe cards. The letters “EMV” refer to the technology’s originating team: Europay, MasterCard and Visa. Having a “chip” means that a customer’s payment method includes a tiny but powerful microprocessor, working around the clock to store and secure consumer data. The chip can’t be duplicated by criminals like a magnetic stripe card can, and it creates a unique code sequence for each individual transaction.

    Upgrading to chip-card acceptance is about much more than just avoiding liability – it’s an opportunity to accept new, cutting-edge payment options that your customers want. Not just contact EMV cards, but contactless cards – and even mobile wallets using NFC, or “Near Field Communication” technology. NFC is a form of wireless communication that allows the consumers to pay with their smart phones.

    EMV and NFC terminals change the feel of how your customers pay. When using EMV, they’ll insert – or “dip” –  their own chip-card in your point-of-sale system for a few seconds for authentication confirmation. Since most chip cards also have embedded NFC transmitters, users can tap their card to pay if your POS is NFC ready.

    • 45%

      of the world’s 1.5 billion
      payment cards are EMV

    • 76%

      of the world’s 21.9 million
      payment terminals are EMV

    The 2015 Merchant Liability Shift Date

    In order to promote this vital consumer protection, in 2011 the credit-card networks set a “liability shift-date” for U.S. financial card issuers to replace magnetic stripe cards with EMV cards and for merchants to begin accepting them. From October 1, 2015 forward, card issuers or merchants that do not support EMV assume liability for fraud that results from compromised mag-stripe card transactions.

    If you have not yet upgraded to the new EMV standard, talk to your payments processor, the company who manages your electronic payments. They’ll walk you through steps specific to your business on becoming EMV ready – compliance could be as simple as a card-terminal upgrade.

    EMV cards are already present in the U.S. market, and will eventually replace magnetic stripe cards. At the moment, most new EMV point-of-sale terminals can still read traditional magnetic stripe.

    The payments industry is mobilized, working around the clock with merchants to facilitate the EMV shift and deploy newer and more secure technologies that customers are demanding. Now is the time to make the change to better protect your customers and yourself! Throughout the EMV migration, consumers will continue to be protected, carrying zero liability for fraud.

    EMV Compliance Resources

    Please click on the link below for EMV education and resources.

  • ETA: EMV 101 for the Small Merchant