Periodically we hear about some large company like Home Depot or Target being hacked by vandals and credit card data being compromised. The credit card industry has put a lot of effort into reducing this fraud and one method most talked about is the EMV initiative. This initiative will become effective in October of 2015. EMV covers a number of areas but to keep things simple there are two points to remember.
1. EMV makes it very difficult to duplicate a card for fraudulent purposes. The old magnetic stripe cards are easy for criminals to duplicate. Countries that have adopted EMV technologies have seen a dramatic reduction in the fraudulent use of credit cards.
2. If a company isn’t compliant with the EMV initiative, then when the deadline arrives that company will become liable for the fraudulent charges.
For example, someone comes in and buys a welding machine with a credit card, the company isn’t EMV compliant and therefore doesn’t realize that it’s a fraudulent card. When the fraud is detected, the credit card company isn’t held liable, because the company wasn’t EMV compliant.
The main point here is that, to protect your bottom line, make sure that the company is EMV compliant. If you’re going to buy new terminals for the counter, this might be a good time to explore DataWeld’s Online Payment Processing software. If you’re interested, then please feel welcome to contact us and we can explain some of the ways that the team here at Dataweld can help you to reduce the chances of being victimized by credit card fraud.