The EMV October Deadline: Are You Ready?
As we’ve all seen lately, security breaches in customer data can wreak havoc on a retail business. Consumers are concerned for their privacy and want to be sure that when they’re spending money with a retailer, their personal information is safe. That is why, coming October 1st, new EMV rules will be in place. The process varies depending on your business’ size and type, and how your business is set up, so it’s imperative that you start putting a plan in place now. The first step is to understand what EMV and the deadline are all about so you know what you’re dealing with, and then you can decide what to do next.
What is EMV
First off, it’s important to understand what EMV is and why this is taking place. EMV stands for Europe, MasterCard, and Visa. It is a global standard that was developed for card readers and ATMs that helps authenticate credit and debit card purchases. As many retailers and consumers have experienced an uptick in the number of counterfeit activities taking place on cards, retailers have been switching to the more secure EMV technology to protect consumers and reduce the risk of threat.
Since this is a step to protect consumers, anyone who deals with transactions (banks included) will need to adopt the technology by October 1 to be compliant. This will help ensure that all consumers can have safe transactions.
What happens after the deadline?
So what will happen to your business if you’re not in compliance by the deadline? Before October 1st if a stolen card is used in your store, the card-issuing bank or card processor is liable for the purchase. After October 1st, whoever is least EMV complaint (including the retailer) is liable for the fraud amount.
Benefits of being compliant
There’s the obvious: You can protect yourself and possibly save money by becoming EMV compliant. But the real benefit comes from giving your customers peace of mind. At the end of the day, your customers are what keep your business running, so their needs should come first, especially when it comes to security.
Moreover, this technology will soon be required and swipe cards will no longer exist. By making the switch by the deadline, you get the added security of preventing fraudulent activity and know that in the future you won’t have to make more changes.
What’s involved…and the cost
Becoming EMV-compliant is a process, involving many players, including the processor, your software providers, and others. It will also cost money, in the form of new hardware and most likely, software or software upgrades. Therefore, you need to understand what your business needs, what risks you take by not becoming EMV compliant by the deadline if budget or other constraints don’t permit, and how you can work the transition into your overall plans. That’s where a partner like ArcherPoint can help.
How can you survive the switch to EMV? By downloading our free eBook, The Retailer’s Guide to Surviving the Switch to EMV. In this informative eBook, we cover everything you need to know about making the switch. Download it, read it, print it, share it, and make sure your business is ready for the deadline!
Get your copy of our new eBook, The Retailer’s Guide to Surviving the Switch to EMV, here.