American retailers will see more of the new EMV chip cards

If you’re a small business owner in the retail sector, you might have seen the new chip-enabled credit cards that are making a big splash into the U.S. market. These new EMV (EuroPay MasterCard and VISA) cards use a computer chip that securely stores the card data currently stored on your card’s magnetic stripe. This makes it nearly impossible for criminals to create a counterfeit EMV chip card.

You should know that more and more U.S. retailers and merchants are transitioning to chip-activated terminals, which have been in use in Europe for decades but are now being introduced in the United States.

The computer chip ensures a more secure processing by producing a one-time use code for each transaction. This technology will also be used in the future to enable a one-time use code for mobile transactions and other security improvements such as tokenization.

How do they work?

The checkout process for EMV cards is only slightly different than usual. If you already have a chip-activated terminal, your customers can simply insert the chip end of their credit card into the terminal face up and follow the prompts on the screen. No PIN is necessary. If you don’t yet have a chip-enabled terminal, your customers can still use the magnetic stripe on their chip-card to complete the transaction.

Travis Credit Union members will be receiving their new replacement chip-embedded card this summer. Give us a call at (800) 877-8328 for details.

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