Best for balance transfers: Chase Slate While a balance transfer credit card may not appeal to your for its rewards, or lack thereof, it is one of the easiest ways for you to make the switch from a magnetic stripe card to a chip card, as you can transfer the balance from your old card to the new one.
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For merchants – the collective name for the stores, restaurants and other businesses where you use credit and debit cards every day – the transition to chip cards is moving along as well.
Regionally, consumers in the Western US who received chip-enabled card were most likely to think they did because of a data breach (25%), followed by consumers in the Northeast (17%), Midwest (10%) and South (7%).
While small merchants may be less vulnerable to the kind of fraud EVM technology protects against, stores that aren’t EMV (short for EuroPay, MasterCard, and Visa) compatible will still face new liability issues.
At the same time, retailers have been installing new point-of-sale terminals and the associated technology. But with chip technology, the security code is different for each transaction, and there are 18 quintillion possible code combinations, she said.
Starting October 1, any retailer that does not have EMV-compliant POS terminals and software which experiences fraud related to an EMV-compliant card transaction will be liable for all damages.
Chip credit cards in Philadelphia.
“In the USA, we expect that by the end of 2015, about 65 percent of consumers’ debit and credit cards will already have chips on them, and about half of the merchant terminals in the country will be upgraded”, said Balfany.
You’ll see very slight differences in using these cards. The good news for consumers is that you can to use this secure payment technology wherever you make your everyday purchases (assuming that the merchant accepts chip cards).
After picking out a celebratory bottle of wine for a housewarming recently, the cashier took my debit card and, rather than swiping it, inserted the small chip on the face of the card into the terminal. “Counterfeit fraud is the largest type of fraud impacting USA card payments, so switching to chip cards will certainly help the situation”.
Similar to using magnetic-stripe cards, EMV cards are processed for payment in two steps: card reading and transaction verification.
You won’t see the “dipping” start right away, however.
Those banks or businesses who choose to not make the move by the deadline will be required to take financial responsibility for any fraudulent purchases made with the outdated cards or at their business.
“The big security advantage of chip cards is they make every transaction unique”. Or call the phone number listed on your card, not provided in emails. A year ago, there were approximately 20 million Visa chip cards. Therefore, if the business chooses not to invest in chip technology, it could become legally and financially responsible for counterfeit fraud conducted in their stores.
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It’s the same way you “dip” a card into an ATM machine, by the way. However, consumers will still need to keep their cards safe and confirm the accuracy of all their spending data.
