Make the Switch to New Payments Technology
Fraud is a big problem in the United States. New payment technology starts October 1.
Source: SBA, Article written by Maria Contreras-Sweet and Jack Dorsey, Published September 15, 2015
This October, America will take a major step to mitigate fraud and improve our financial security by migrating away from outdated credit and debit cards that transmit sensitive customer data using magnetic stripes. In 2015, it should not surprise us that a system using essentially the same technology as cassette tapes is especially vulnerable. That is why major credit card companies, lenders, and businesses are now embracing new, more secure, authenticated payment technologies.
Many consumers already have credit cards embedded with microchips in their wallets, and many more will be receiving these cards in the coming months. This technology – also known as EMV (Europay, Mastercard, Visa) – is a safer form of payment for buyers and sellers alike, as the cards are nearly impossible to counterfeit.
EMV is not the only payment shift on the horizon. Because reading chip cards takes more time than reading magstripe cards, we expect increased adoption of faster, contactless options, such as Apple Pay and Android Pay. This technology allows a consumer to pay with a smartphone by using a phone linked to their credit card. It is fast, safe, and convenient. MORE….
Read the full story at https://www.sba.gov/blogs/make-switch-new-payments-technology
Credit card processors have already been reaching out to their clients about this new technology. Make sure your business is prepared. Contact your nearest PTAC with your questions about EMV and how your business will be effected.
For help with Government Contracting: contact your nearest Procurement Technical Assistance Center (PTAC). Funded through Cooperative Agreements between the U.S. Department of Defense and state and local governments/institutions, PTACs provide free and low-cost assistance in virtually all areas of government contracting.