Exposing Yourself To Credit Card Fraud Because EMV Is Unnecessary?

emv unnecessary

The 2015 EMV liability shift took many merchants by surprise. And still… Most businesses are not compliant.

No matter what Visa, MasterCard or the banks say.

No matter how many companies get hacked.

Merchants are still not upgrading to EMV!

According to sources like TechRepublic, the reasons for slow EMV adoption range from software issues to concerns with the customer experience. The “insert your chip / swipe” dilemma is a step that adds the need for explanation and effort at the checkout level, and enforcing compliance through lower-level staff can prove to be a headache. Customers don’t like to be kept waiting, and “chip and dip” cards provide a slower experience that both sides of the counter would prefer to skip.

A majority of recently-polled businesses feel EMV adoption isn’t important enough to prioritize.

An article on NASDAQ.com highlighted the gap between consumer-versus-retailer adoption of EMV cards, and found that while 70% of consumers are carrying EMV cards, only 40% of businesses are equipped to use the fraud-fighting technology at checkout. Compounding the problem are recent findings that discovered, despite this evidence, a startling 23% of merchantsstill think that EMV is an unnecessary requirement in their business.

So the real question at hand is, “How can EMV be neglected with all the information available about EMV and warnings?”

Chances are, it all goes back to a lack of comprehensive EMV education and misunderstanding the scope of risks posed by counterfeit credit cards. Merchants are used to simply reporting fraudulent claims and having a good chance at recovering either funds or fraudulently-purchased property. This was the case for so long that it’s become a “holdover belief” that persists, downplaying the importance of EMV protection on the retailer side.

Without EMV compliance, you are completely liable for chargebacks without recourse.

Get our EMV integration solution, MiPOINT today!

If fraud happens at one of your terminals – and, according to Intuit, if you have less than 100 employees, fraud will happen sooner rather than later – you are completely exposed without EMV compliance. You are responsible for all of the costs associated with that fraud, including the loss of your goods or services. There are no alternate paths or restitution measures to shield your bottom line – it’s an unrecoverable loss that could have been very easily prevented.

Since the EMV deadline passed a little over a year ago, liability for credit card fraud charges has shifted to the merchant unless they are EMV compliant. That means that if you have EMV compliant POS terminals, the liability for credit card fraud chargebacks shifts back to the bank.

The longer you wait to make the EMV upgrade, the higher your risks of fraud, financial loss, and hit to the trustworthy reputation of your business. Protect your brand and your customers.

Find out how to integrate EMV technology today.