With the introduction of chip and PIN technology, merchants can improve the retail experience for customers. We’ve already looked at how chip and PIN technology affects your business. Let’s take a closer look at how customers can benefit from this new technology.

Consumers respond positively to using a chip-enabled credit card terminal. This is due to faster transactions, enhanced security and increased control.

Faster transactions

Speed and convenience play a prominent role in creating a great customer experience. When customers use a chip and PIN credit card to complete a transaction, they’re no longer required to sign a receipt. Instead, customers enter a unique PIN at the credit card terminal. This speeds up transactions by two to four seconds.

Enhanced security

With an embedded chip that is virtually impossible to copy and a PIN that is used for cardholder verification, chip and PIN technology provides you and your customers with enhanced protection against fraud. Research shows that since chip and PIN adoption in 2004, fraud related to lost and stolen payment cards decreased by over 50% in the U.K. Your customers will feel better knowing their purchases are conducted using the most secure transaction methods possible.

Increased control

With increasing security being valued by most consumers, you can now provide them with the added piece of mind that their credit card never has to leave their hands during a transaction. Customers can personally insert their card into the credit card terminal and enter their PIN, allowing the card to … Read more

Chip and PIN technology is one of the most significant industry changes your business will face this year. Recently released in the Canadian market, this technology has been adopted by many merchants across the country.

What is chip and PIN technology?

Chip and PIN technology is a way of authenticating a cardholder’s identity. An embedded microchip contains the customer’s information, and a four-digit PIN is used to verify the customer’s identity. In order for the transaction to be approved, the PIN must match the information stored on the card.

Chip and PIN card systems are based on the EMV standard, developed by EMVCo LLC, whose founding members included Europay, MasterCard and Visa. These standards enforce the use of certified EMV compliant POS terminals. EMVCo LLC defines chip card and chip-reading terminal requirements by auditing and certifying merchants for EMV compliance.

How does chip and PIN technology affect your business?

Chip and PIN technology will affect your business in several major ways. It will:

• Require EMV compliant software and hardware.
• Increase transaction speeds.
• Increase customer confidence.
• Decrease fraudulent chargebacks.

Software and hardware

Some merchants are frustrated to discover that recently purchased POS terminals are not EMV compliant. Check your existing contract to see if you are EMV compliant. If you are not, determine whether you can upgrade to EMV compliant POS terminals without breaking your contract.

Speed

Chip and PIN technology speeds up transactions because customers don’t need to sign a receipt. Faster transactions mean … Read more