It's Not Too Late for EMV – What You Need to Do Now!

It’s Not Too Late for EMV – What You Need To Do Now!

September, 2015 Lindsay Breathitt, Product Marketing Steve Cole, Product Management Ray Moorman, Product Management • What is EMV? • Fiction vs. Fact

• Why EMV, Why Now • U.S. Market EMV timeline Agenda • Features & Benefits of EMV Acceptance

• What you need to do today– Terminal merchants • What you need to do today – POS merchants • Questions

• EMV is a set of international standards that defines interoperability of secure transactions across the international payments landscape.

• EMV helps prevent fraud. Chip produces a one time code with every transaction, making it nearly impossible to counterfeit.

• EMV is a merchant mandate • There is no mandate

• If you don’t implement EMV you will be open to a • EMV is part of the security and fraud puzzle and does not breach solve the problem alone

• Processing will be shut off if you don’t switch to • Your processing will not be shut off EMV by October 2015

• Totally False. Cards will have both chip and magnetic • Magnetic stripes will go away stripes

• You will be charged extra if you don’t use a chip • Interchange rates for EMV and card swipes are not changing as part of liability shift

• Your old hardware will stop working • Existing hardware will continue to work for magnetic stripes • Solution provider: “We have a product solution today for EMV” • Most solutions in the market are only partially ready

• Solution provider: “Our solution is EMV-ready” • “EMV-ready” is misleading term, and doesn’t mean it’s “EMV-enabled

© 2015 Vantiv, LLC. All rights reserved. Vantiv Companies Why EMV, Why Now? • U.S. card present fraud is above the world average and is increasing* • Interoperability with global payments infrastructure • Supports enhanced verification methods • Offline PIN, Online PIN, Signature, No CVM • 575 Million U.S. issued cards will have chips by end of 2015**

*Source: Nilson Report, August 2013. **Payments Security Task Force (PST), MasterCard release 8/2014

October 1, 2015 Key dates Liability will shift to merchants for counterfeit fraud card-present POS transactions if the merchant does not have an EMV-enabled POS device

April 1, 2013 October 1, 2017 Acquirer processors were Liability shift takes effect for required to support merchant transactions generated from acceptance of chip automated fuel dispensers transactions.

“More than $11 billion was reported stolen due to credit and debit card fraud in 2013, up from $8 billion 2012…” -Javelin Strategy and Research 2014 Identity Fraud Report

• Reduce risk of counterfeit, lost or stolen card fraud • Reduce card skimming at the point of sale • Accept foreign cards that are already EMV enabled • Help keep your customer protected • Improve Customer Experience at the payment device • Future-proof your device by supporting emerging payment technologies

merchants and less than a third of What do you merchants are need to do to currently equipped get upgraded? to process EMV transactions.

• EMV Reader • Mag Stripe Reader • Black/White Screen • Contactless reader in PIN Pad Ingenico iCT250 with iPP320

• EMV Reader • Contactless Reader • Mag Stripe Reader • Color Screen • Contactless reader in PIN Pad

VeriFone Vx520DC – Contactless with Vx820

• EMV Reader in Vx520 CTLS & Vx820 • Mag Stripe reader in Vx520 CTLS & Vx820 • Contactless reader in Vx520 CTLS & Vx820 • Touch/Color screen on Vx820

VeriFone Vx520DC - Contactless with Vx805

• EMV Reader in Vx520 CTLS & Vx820 • Mag Stripe reader in Vx520 CTLS & Vx820 • Contactless reader in Vx520 CTLS & Vx820 • White Backlit screen on Vx805

Merchants can get started with chip cards and contactless capable payment devices by working with their resellers and POS software providers to implement the best upgrade solutions for their business.

EMV Acceptance

Standalone Vantiv/Mercury

Semi-Integrated Vantiv/Mercury

Fully Integrated Vantiv/Mercury

Implementing EMV may require many changes: • Hardware • Application software • Business and operational processes • Merchant associate and customer checkout experience

A successful implementation requires: • Partnership with your vendors • EMV subject matter expertise • Associate and cardholder education

Visit www.vantiv.com/emv or www.mercurypay.com/article/emv-for- merchants to learn more about EMV, chip cards, and how to better protect your business.