It’s EMV Armageddon: What Tomorrow Means for Your Business
THE EMV LIABILITY SHIFT IS HERE. WHAT DOES THIS MEAN FOR YOUR BUSINESS?
US Merchants are making the same mistakes and oversights that their fellow British and Canadian counterparts made in preparing for EMV.
The Story So Far…
- 59 percent of consumers with one or more credit or debit cards report that they have not received a chip-enabled card
- 67 percent consumers with multiple credit and debit cards have yet to receive any information from their bank about the use and purpose of the new card
- SMBs are lagging way behind in adopting the chip-based technology, with just 22 percent reporting to be EMV ready for the deadline
How It Went Down Elsewhere…
- In Canada, fraudulent POS transactions saw a decline of 54% after EMV migration. Over the same time period, CNP fraud increased 133%.
- The UK saw an increase of CNP fraud of 79% after EMV migration.
- The US is projected to see CNP fraud nearly double
Like with any change of such great magnitude, merchants have been focused on EMV-related projects, dedicating the prioritization of budgets, resources, time and man power to the EMV cause. As a result, many merchants are making the same mistake and oversight that their fellow British, Canadian, Australian and Singaporean counterparts made in neglecting to address the single biggest risk that will challenge their businesses post-EMV; online fraud.
A new wave of online fraud is coming. The fraud mitigation answer for merchants will be to find new and efficient ways to position their businesses in a proactive state of change. The adoption of new multi-channel services and stronger and more manageable business rules does not have to translate into years of heavy development, implementation and prioritization.
A multi-layered approach to fraud prevention is becoming more and more of a necessity. Protect your business and your profits from fraud.