01 Apr Fuel Retailers Must Meet EMV Requirements at The Pump or Assume Fraud Liability
EMV chip technology has proven itself a stalwart defender against counterfeit fraud. Visa found that merchants saw a 76% decline in card-present counterfeit fraud when merchants adopted the technology. The effectiveness of preventing fraud has led to VISA and other card brands requiring EMV chip technology at retail locations. While many businesses are already required to have the technology, fuel retailers’ deadline to accept EMV chip cards at the pump is just now upon us. Here is what you need to know about EMV at automated fuel dispensers.
Potential consequences of not implementing EMV
Though EMV technology won’t technically be mandatory, if not compliant by April 15th, 2021, gas station owners will assume liabilities for payment card fraud at their stations. Before this change, some larger fuel companies offered some level of fraud support. But with the new EMV requirements, this fraud liability will shift to the retail sites.
In addition to assuming fraud liabilities, if gas stations don’t upgrade and meet the new EMV at the pump standard, their stations will continue to see an increased level of skimming, hacking, and other fraudulent activity associated with non-EMV transactions.
Some might think they can assume the new liabilities, but upgrading your equipment will likely be cheaper than paying just one year of chargebacks on fraudulent charges. Conexxus estimates that fraudulent charges cost more than $200,000 per store on average. It may be beneficial to invest in new equipment now, so you don’t have to continue paying for fraudulent charges year after year. But the upfront cost to upgrade your equipment is also a significant concern that you need to consider. Each gas station owner needs to evaluate all the options and know how they will affect their business.
How to meet EMV requirements at the pump
Accepting EMV chip cards might sound as easy as upgrading your current equipment, but it might not be that simple, depending on what you currently have. If you have older equipment, an upgrade might not be possible; and you may need to replace your existing equipment.
You will also need to keep in mind other aspects of the payment system like your credit card processor, POS system, and the fuel brands you do business with. Having a trustworthy credit card processor with transparent pricing and no hidden fees will help your business succeed with the new EMV standards.
The bottom line is that each gas station owner needs to be aware of the new EMV standards and determine what is best for their business.
If your processing partner does not communicate information like the above, or offer the support and equipment you need to be successful, it’s time to look somewhere else. BASYS Processing will work one-on-one with you to find the perfect solution to manage your business, so you can start planning for future success! To learn more about our solutions, click here, or contact us for a free savings analysis.
About BASYS Processing
BASYS Processing provides credit card and debit card processing services, and solutions that include terminals, virtual terminals, e-commerce, mobile, and point-of-sale, customized to fit any need. Banks, associations, and software partners depend on us to strengthen their reputations and relationships with their customers by providing remarkable service paired with ultimate flexibility and pricing. Merchants depend on us to make accepting credit cards and debit cards convenient, safe & affordable. BASYS was founded in 2002 on one philosophy: to take care of our merchants, partners, and employees so they never want to leave. We are dedicated to working one-on-one with our customers to design the perfect solution. BASYS is Personalized Payment Processing.
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