EMV

EMV: How to Protect Your Business

In payments, the spotlight is back on EMV with the U.S.’s recent liability shift having gone into effect Oct 1st, 2015. So we thought we would clear the air around EMV mechanics, liability issues, and what you can do to protect yourself.

THE BASICS

When you swipe a debit or credit card, the card data that is recorded is static, meaning that it doesn’t change. This data includes sensitive card and cardholder information and because it doesn’t change, it is easier to steal and duplicate.

This has been a problem for decades and, until recently, the majority of the liability went to the card issuer. In 2014, credit card and debit card fraud resulted in losses amounting to $16.31 billion, card issuers incurred 62% of those losses.

In 1993 and 1994, Europay, MasterCard, and Visa (EMV) got together to figure out a solution and the EMV standards were born. These EMV standards have gone on to help shape the payment card industry over the following decades.

NOW, WHAT MAKES EMV MORE SECURE?

The whole concept of the EMV card is to prevent fraud. The big card issuing companies were losing billions paying back customers for fraudulent transactions every year. So they created a card technology that makes it a lot harder to steal information from.

The EMV chip in your card has a sophisticated encryption that speaks directly to the payment processor. The information the chip supplies isn’t static, but flows as a complex, constantly changing data set.

This “dynamic aspect” to the EMV chip makes it virtually impossible to replicate, even if fraudsters retrieve the cardholder and card data.This helps to eliminate fraud for merchants and card issuers. In fact, in 2009 debit loss was at an all-time high in Canada topping out at $142 million. As EMV was introduced, card losses fell to $38.5 million by 2012. That is a 73% drop!

COVER YOUR BASES

If you are a merchant, and someone uses stolen card information to make a payment at your store you could be liable. The liability rests with the party that used the weakest technology in the payment lifecycle. If your payment terminal cannot process EMV cards, or if you choose to bypass the EMV PIN process, then you are the weakest link.

To protect yourself and your business, you need a point of sale (POS) or mobile point of sale (mPOS) payment solution that can process EMV cards.

INTRODUCING SPROUTPOS

sproutPOS is a mobile point of sales system. Not only can you set the up in a coffee shop, you can take it on the go to a weekend farmer’s market.

sproutPOS is a free mobile POS app for small business, fully integrated with industry-leading Ingenico EMV payment terminal technology, that you runs on your iPhone, iPad or Android. It is one of the first in Canada allowing you to take Interac debit, Visa, and MasterCard fully integrated with mobile point of sale applications.

Your customers can swipe, insert, or tap to pay. sproutPOS also accepts Apple Pay so your customers can pay by tapping their iPhones to the payment terminal.

We created sproutPOS to give local businesses cutting edge mobile payment technology, to protect against card fraud liability, and to enable payment types that matter to Canadian consumers and merchants.

CHERRY ON TOP

We are teaming up with developers to create apps and solutions that integrate directly to sproutPOS. sproutPOS merchants will soon be able to access our App Marketplace to extend the point of sale with mobile loyalty, digital gift cards, and more!

We also have software development kits (SDKs) so that third party software providers can integrate EMV payments directly into their solutions. By building sproutPOS payment technology directly into the app or solution, users can eliminate re-keying errors and save time from not having to reconcile two systems at the end of their day.


EMV is here to stay. Protect yourself and invest in a technology that will protect you. We are your partners in payments, and we are here to help your business grow.

Check out the new sproutPOS website!
Nicole Stright

Nicole Stright

Nicole is our coffee dependent content specialist. With a quick-witted way with words, she could make you enjoy reading an instruction manual. She was born American, raised Canadian and has lived briefly in Poland. A quintessential west coastian she can be found running the seawall, practicing savasana in yoga or enjoying an over-hopped I.P.A. Nicole is responsible for all of the bean puns as well as creating compelling copy driven by analytics that converts. She strives to simplify the complicated and wants readers to easily understand the often convoluted industry of payments.
Nicole Stright

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