SolutionsGal
New member
Only about 60% of you know what is happening on Oct. 1, 2015 with the EMV Liability Shift and the Chip Cards. I have to say this is turning out to be one of the most botched roll outs of technology shift ever. In a nutshell here it is: Today, if there is a breach, fraud, you name it, the Processor bears the burden of the cost’s associated to mitigate the fraud. On Oct. 1, that burden shifts to the merchant/restaurant owner if they don’t have the technology to correctly process a chip card. The new technology isn’t a mandate, so don’t let anyone tell you it is. You can continue to do business just as you are today, knowing that if you swipe a Chip Card and fraud occurs from your business for that card, you are responsible for all the costs for that breach. Here is the greater HEARTBURN, in my opinion. This new technology doesn’t allow for the processing of tips after the fact, essentially you have to ask for the tip before the card is ran. Here is how the chip card technology works: The chip card is “dipped” into the slot of the device which can be a stand alone terminal or a pin pad attached to the POS System (more on that later). The card stays in the slot the entire time the transaction is processing. The chip is read by the device and the card information is given a unique one time identification for transmitting. Each time a chip card is used, it is given another unique identity, never using the same one, this is the theory of how we stop fraud and theft from credit cards. This technology is great as long as you have a business that is Quick Serve, where the customer is right at the counter to do all of the work and authorize the tip before the transaction is sent. This technology fails to account for Table Service environments, where the card is taken from the table.
Back to the POS Software issue, most…and I do mean most, will not be ready for the Oct. 1 deadline. It has become a lesson in frustration. So here is what I have been recommending to my restaurant owners. First figure out if you are willing to take the risk, if so, you do nothing. Keep processing cards as you do today. If you aren’t willing to take the risk, get one table service device that you only use for the Chip Cards, this will allow the consumer at the table to be able to add the tip before it is sent, without having to ask for the tip verbally (awkward). There are options out there if you want to be able to accept Chip Cards without the liability, please feel free to call me at (520) 490-3829.
Back to the POS Software issue, most…and I do mean most, will not be ready for the Oct. 1 deadline. It has become a lesson in frustration. So here is what I have been recommending to my restaurant owners. First figure out if you are willing to take the risk, if so, you do nothing. Keep processing cards as you do today. If you aren’t willing to take the risk, get one table service device that you only use for the Chip Cards, this will allow the consumer at the table to be able to add the tip before it is sent, without having to ask for the tip verbally (awkward). There are options out there if you want to be able to accept Chip Cards without the liability, please feel free to call me at (520) 490-3829.
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