What is EMV and why your restaurant needs it

Help protect your business against “Friendly Fraud.”

By now you probably have at least one credit card in your wallet that has the new chip in it. You’ve also probably seen a number of these chip cards being presented by your customers for payment. The National Restaurant Association was initially advising members not to worry about meeting the EMV deadline (October 1, 2015), because they felt fraudsters would not bother to commit credit card fraud for a dinner! Now the NRA is eating their own words.

A customer disputes a charge that he made at your restaurant, even though security cameras captured him signing the credit card receipt. If your restaurant is not EMV compliant, the restaurant will have no recourse and is responsible for paying back the chargeback fee’s. Don’t think this could happen at your restaurant? Don’t be so sure.

Liability Shift
In an effort to reduce credit and debit card fraud, card brands such as Visa and MasterCard have mandated the EMV standard in the United States and have changed the rules regarding liability for counterfeit credit and debit card fraud. As of October 1, 2015, the card brands now hold restaurants (and all other merchants) liable for in-store counterfeit card fraud transactions unless their POS systems and payment terminals support EMV.

Will EMV Make You PCI Compliant?
Simply put: No! In reality, you don’t need to implement EMV in order to be PCI compliant. What’s the between difference EMV and PCI-DSS? EMV uses technology that authenticates that a card is valid and belongs to the person using it, but PCI -DSS involves a broader set of data security controls that protect cardholder data through the payment transaction process. In fact, EMV and PCI Compliance are managed by two separate entities with completely different set of governing rules. This article published by the PCI -SSC helps explain the difference between the two organizations. https://www.pcisecuritystandards.org/pdfs/PCI-EMV-Final1.pdf So do you need EMV? EMV should be considered one component to building an overarching, cohesive data security strategy that helps you reduce your liability risk. Will you still need to follow PCI-DSS best practices? Yes, you will.

Restaurant Manager POS Software provides integrated EMV payment processing preventing this from happening.

To find out more on implementing an EMV solution at your restaurant and to answer any questions you may have regarding EMV and credit card processing, contact us at 808.572.5159.