What is EMV?
EMV is an acronym for Europay, Mastercard, and Visa, the three companies that are responsible for creating this payment standard. EMV certification refers to the technical specifications that allow chip cards and terminals to communicate with one another. EMV cards are more secure, help businesses avoid fraud liability, and increase consumer trust.
What are EMV cards?
EMV cards are smart cards also known as chip cards thanks to the chips embedded in the card. When paying with an EMV card, each transaction receives a unique transaction ID thanks to the dynamic chip. To pay with an EMV card, consumers insert their card, chip side first, into a card reader to initiate a contact payment. EMV cards also support two different kinds of contactless payments either via NFC (near-field communication) in which the user simply taps their card on a payment device, or via mobile payments using a mobile wallet.
Since Q2 2021, EMV contactless usage has gone up by 10%. In total, roughly 90% of transactions processed by Nayax readers are EMV, 60% of which are contact (otherwise known as insert) and 29% of which are contactless (17% NFC/mobile payments and 12% tapping). Based on this data, operators without EMV-certified devices risk losing roughly 3 out of 10 transactions. For those with Nayax devices, you have nothing to worry about! Our devices have been EMV-certified since 2017.
What are the benefits of an EMV card reader?
EMV transactions are much more secure than magstripe transactions. A non-certified magstripe card stores all of the users’ sensitive information on the magnetic stripe, meaning that it is easy to duplicate such a card. During EMV transactions, the dynamic chip embedded in the card creates a unique transaction ID for each and every transaction, ensuring the transaction is secure. Not only does this make it safer for your consumers to use Nayax card readers, but it will also increase their trust in you and your business.
Avoid fraud liability
Another reason to adopt an EMV card reader is to avoid liability for chargebacks. If a stolen or forged chip card is used in a non-certified payment device, the liability due to any fraud, including microtransactions, is passed on to the Merchant of Record. This makes you, the operator, financially responsible for paying chargeback fees. With an EMV-certified device such as the VPOS Touch, the liability for any fraud falls on the card issuer.
Increase trust by machine venues
When you implement an EMV card reader onto your machine, you will automatically be compliant with the latest laws and regulations. Consumers and other businesses will feel more secure working with you knowing that there is no risk of fraud.
Making the switch
Now that you know a bit more about the importance of having an EMV-certified and enabled card reader, it’s time to make sure that your devices are up-to-date with the EMV mandate. In case you haven’t made the switch yet, it’s important to note that there’s no price difference between an EMV-certified and non-certified terminal.
To make the switch, contact us today and make sure your business doesn’t miss out on any transactions!