EMV Chip Cards: 3 Reasons To Upgrade Your Terminals Today
Chip Cards Are Here! Why You Should Upgrade Your Reader
EMV chip cards (standing for Europay, MasterCard, and Visa) are a new global security standard designed in response to recent large-scale data breaches. Many businesses are hesitant to update readers due to the associated costs, but here’s why you should make the investment.
Cards containing a magnetic strip house unchanging data. If that data is accessed, it can give the holder of that data the information necessary to make purchases using that card. The computer chip in the new EMV card creates a unique encryption each time the card is used, preventing the data from being accessed more than once. The new technology has already drastically reduced counterfeit fraud in the countries that have it implemented.
Reduce Cost of Fraud
Not only is EMV technology reducing the amount of fraud altogether, it’s also changing the way that fraud is handled. With the magnetic cards, the issuing bank or payment processor was responsible for any fraud that occurred. With the new chip cards, the responsibility falls on whichever party is least compliant with the new standards. This means that if you haven’t updated to a chip reader and a fraudulent transaction occurs, you could be held liable for it. Upgrading your card reader can protect your business as well as your customers.
Ease of Use
With traditional, magnetic cards, there is a certain degree of skill required when swiping the card. The user has to master the quick, fluid motion needed for the card to be read properly. The slightest scratch or speck of dirt on the card can interfere with this process making the use of the card rather time-consuming. With a chip card, the card simply has to be inserted into the designated slot and then left there until the machine tells you to remove it.
The chip technology also allows for the use of near-field communication (NFC). This lets the user merely tap the card against the reader in order to pay. While NFC technology is not currently widespread in the USA, CreditCards.com predicts that it will be in the near future.
For more information on upgrading to an EMV chip card reader, contact Premier Business Advantage.