If you’ve received a new credit card over the last 6-12 months, then you’ve noticed that a new chip has been imbedded into the card. The new cards are called EMV cards (EMV stands for Europay, MasterCard, and Visa, the three companies that originally created the standard). These new cards are termed “smart” because they store their data on integrated circuits rather than magnetic stripes. Most EMV cards also have those stripes as well for backward compatibility.
As with other payment technologies, Europe is far ahead of the United States. As of February, nearly 95% of payment terminals in Western Europe accepted EMV cards. In the U.S., however, just 14% of the 11.8 million operating terminals were EMV-compatible, putting the nation in last place for EMV adoption and at the greatest risk for fraud.
While the deadline for the impeding EMV migration looms, only one in 10 Americans reported receiving chip-enabled cards in a recent poll. The survey results show the major shift from mag-stripe to EMV in the U.S. may have an even longer way to go before the Oct. 2015 deadline.
This delay in implementation will have the greatest impact on the credit card companies themselves as the quicker the migration is made, the quicker the level of fraud security can be ramped up.
As with other payment technologies, Europe is far ahead of the United States. As of February, nearly 95% of payment terminals in Western Europe accepted EMV cards. In the U.S., however, just 14% of the 11.8 million operating terminals were EMV-compatible, putting the nation in last place for EMV adoption and at the greatest risk for fraud.
While the deadline for the impeding EMV migration looms, only one in 10 Americans reported receiving chip-enabled cards in a recent poll. The survey results show the major shift from mag-stripe to EMV in the U.S. may have an even longer way to go before the Oct. 2015 deadline.
This delay in implementation will have the greatest impact on the credit card companies themselves as the quicker the migration is made, the quicker the level of fraud security can be ramped up.
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