It’s been two years since EMV liability shifted in the U.S., and we’ve come a long way in the payments industry. Both card issuers and merchants continue to work hard to help with the EMV migration.
It’s been two years since EMV liability shifted in the U.S., and we’ve come a long way in the payments industry. Both card issuers and merchants continue to work hard to help with the EMV migration.
Since the liability shift in 2015, a lot of merchants have been trying their best to migrate to EMV. One of the major roadblocks in this process has been the certification of their system. In 2016, many merchants had new payment acceptance devices installed in their businesses, but they were not yet able to accept chip cards. This is because they were still waiting on EMV certifications.
We’re now in the post-EMV liability shift era, and this is the “real” start of EMV implementations in the U.S. Considering the size and complexity of payment systems right now, I think the U.S. is doing pretty well. Small and medium-sized merchants are still taking longer to migrate but are on the right track. However, the restaurant industry seems to be rampant with misinformation and myths regarding the future of payments. One such topic is tipping in full-service restaurants. Let’s take a look:
As October 1st marks the one-year anniversary of the EMV liability shift in the U.S., EMV migration continues to pick up steam, and more merchants and cardholders are getting used to chip cards. However, it has been a significant change in behavior for both of them.
After U.S. payment networks implemented a liability shift in October 2015, merchants that did not support EMV became liable for chargebacks from credit card fraud. Many merchants have evaluated their risk based on chargeback history, and some were surprised by their post-shift fraud volume. This gave rise in the industry to various rumors, misinformation and theories about the cause of this change in fraud volume.
