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The EMV deadline has passed.
Oct 1 2015
Take these steps to become EMV compliant now.
EMV has arrived.
...are you prepared?
As of October 1, 2015, if your customers pay with an EMV chip card and you don’t have an
EMV-compliant terminal, you may be liable for any transactions found to be fraudulent.
Why EMV?
EMV is the name for the secure chip embedded in more than 2 billion
payment cards worldwide – the vast majority of them outside the
United States. The reason for their popularity is simple: They
dramatically reduce card fraud. Although the technology is still not
widely known in the United States, the benefits of EMV are too strong
to overlook for long.
25 %
$
TRANSACTIONS
10 B
2X
-27 %
Credit card fraud rates have
doubled in recent years,
representing 10 cents out of
every $100 transacted.
Europe has already greatly
reduced card fraud with
EMV. For instance, fraud in
the United Kingdom dropped
27 percent between 2007
and 2012, the years when
EMV cards became widely
accepted in that country.
LOSSES
Although the United States
accounts for only a quarter of
the world’s payment card
transactions, more than half
of all fraudulent card
transactions happen here.
FRAUD
Losses due to card fraud in
this country are expected to
top over $10 billion in 2015.
FRAUD
EMV in the USA
575 M
1.2 B
NEW EMV CARDS
CARDS WILL TRANSITION
Industry watchers estimate
that there will eventually be
more than 575 million EMV
chip-enabled payment cards
in circulation in the U.S.
The U.S. is set to transition
more than 1.2 billion payment
cards and 8 million
point-of-sale (POS) terminals
to meet EMV requirements.
A great deal of technology will be needed to handle those changes, and
merchants will need assistance to ensure they are EMV-enabled. They will
inevitably turn to their banks for that assistance.
EMV represents a more secure future for card payments, and promises to
reduce card fraud and counterfeiting, potentially transforming the landscape
for payment processes in the United States.
What makes EMV more secure?
The EMV computer chip that replaces the old
magnetic stripe can hold a lot more information
than the stripe. It’s virtually impossible to copy
or make counterfeit cards, and EMV has
encryption capabilities built in to lock down and
protect sensitive payment data.
Unlike mag-stripe cards, an EMV chip card
The EMV technology makes it virtually
always remains in the physical possession of
impossible for thieves to duplicate cards,
the consumer.
thereby reducing card fraud at the point
of sale.
The buyer inserts the card into an EMV
reader or taps it on a contactless sales
Only EMV-enabled terminals can read and
terminal to make a transaction, with no hand
decode the card.
off of a card number to the merchant and
no swipe.
The Impact of EMV on
Small Merchant Businesses
The date of reckoning for EMV cards is here. As of October 1, 2015, if a consumer uses an EMV chip card with a merchant
who doesn’t have an EMV-compliant terminal, and the transaction is found to be fraudulent, the liability for any charges is left
with the merchant.
The main reason cited for not upgrading,
a lack of knowledge about EMV.
1/2
3/4
According to market research by
Javelin, more than half of small
business owners have little or no
knowledge of EMV - or this
upcoming liability shift.
Not surprisingly, nearly
three-fourths of small business
owners have no plans to upgrade
to EMV compliant terminals by
the end of 2015.
By shifting to EMV, your customers can eliminate any exposure or losses to
card fraud for card-present transactions at their business.
EMV offers a choice – merchants can either eliminate risk by upgrading their systems, or do nothing
and simply live with the possibility of taking a major hit due to card fraud sometime down the road.
As they become more aware of EMV’s ability to keep their data safe, consumers will naturally
gravitate towards it. And if a merchant isn’t ready to take an EMV payment, it will translate into lost
business—business that most small merchants can’t afford to lose.
Why EMV is Important Now
Awareness may help protect your clients now.
A primary way cybercriminals use stolen credentials is to create a false card to
impersonate the actual card. As criminals recognize EMV implementation is
underway, they tend to increase fraudulent activity.
Reduce liability costs.
Businesses still using magnetic stripe terminals after October 1, 2015, are on the
hook for the costs if someone uses a lost or stolen credit card.
Start adding value to your clients.
The less merchants have to deal with the EMV changes on their own, the easier
and more secure their transition will be. For your clients the liability shift is
unnerving. This is your opportunity as their banker to help them understand and
prepare, adding significant value to these relationships.
Talk to your clients today about EMV
and how it will affect their business.
Refer your clients to your business consultant to help them understand and prepare for EMV.
© 2015 First Data Corporation.All rights reserved.
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