Retailers Are Playing ‘Political Football’ with EMV
Last week U.S. House Small Business Committee held the second part of a hearing entitled “The EMV Deadline and What it Means for Small Businesses,” which was supposed to address payment security in the United States.
Instead of providing Congress with useful information about how to help small businesses protect consumer data, large national retail associations used the hearing to push for a “security” solution – PIN – that wouldn’t have done anything to stop the breaches at Target, Home Depot or Michaels and won’t have a meaningful impact on overall payments fraud.
Lost in this charade was the fact that the migration to EMV chip cards and the activation of chip readers by merchants is a critical step in further improving consumer protection. We’ve already seen tremendous progress; 60% of cards are expected to be chip-enabled by the end of the year, and half of all chip payment volume is coming from small businesses.