As U.S. card issuers start migrating to the new EMV technology, it is important for merchants and consumers alike to know what the technology is, how it works, and how it will affect them. To help break this down, we have compiled a list of important points to help you navigate the world of EMV.
EMV stands for Europay, Mastercard, and Visa.
EMV cards are also known as “chip and pin” or “chip and signature” cards.
The payment action is different with EMV cards. Instead of “swiping” your card you “dip” or “insert” your card, chip first.
86% of cards worldwide are EMV enabled. The U.S. remains the last major market to migrate to this technology.
EMV’s superior security lies in the computer chip that is found on all EMV equipped cards. Studies have shown the number of fraudulent transactions goes down by almost 75% with the new EMV technology.
EMV, at its core, is technology meant to offer greater protection against fraud. This is thanks to the chip as well as, in most cases, the need for a PIN code.
EMV cards have the new chip but also still have the traditional magnetic stripe. This ensures that consumers can still use their cards even if a merchant has not upgraded their terminals to accept the EMV chip.
Not only do cards need to be EMV compliant, merchant payment terminals do as well.
Terminals like the Poynt Smart Terminal will help merchants be fully compliant with the new mandate.
In the U.S, the EMV ecosystem for merchants and consumers will soon become the norm. This means that obtaining an EMV enabled device should be near the top of your list. The sooner you set yourself up, the better protected you will be!