POS Supply Solutions Blog
Blog - Have you Made the EMV Liability Switch?
According to the United States Federal Trade Commission, Consumer Sentinel Network, U.S. Department of Justice’s report from July 2014, worldwide credit card fraud is estimated at $5.55 billion. Because of this, Europay, MasterCard and Visa (EMV) developed better standards for processing transactions at the Point of Sale using chip technology..
What is EMV Technology?
EMV technology enhances credit card security by embedding a chip in one’s credit card, rather than a magnetic strip which is more easily counterfeited.
What Is The Liability Switch
In the past, most debit card or credit card payment networks held the card issuer liable for fraudulent transactions. This meant that if you had a fraudulent order on your card, you called up whomever issued your card and they would be held responsible for resolving it. The liability shift means that if an ATM machine or POS terminal does not support EMV, then the business (or ATM) owner will be held responsible for the fraud.
When do I have to be compliant by?
In the United States, major credit card providers American Express, Discover, MasterCard & Visa implemented liability shifts in October of 2015 for POS Terminals and then pay at the pump processers in October of 2017.
What happens if I’m not compliant?
If your company is processing credit cards transactions with a magnetic strip, your business will be held automatically responsible for any fraudulent charges made by someone using a chip card.
How do I become compliant?
The easiest and smartest way to make sure that your Point of Sale Terminal are up to date and support EMV technology is to contact your credit card processer
Visit our blog for more ways to prevent fraud and counterfeiting at your business.
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