THE SHOP

Restyling & Truck Accessories - May '15

Issue link: https://nbm.uberflip.com/i/505914

Contents of this Issue

Navigation

Page 26 of 64

24 Restyling & tRuck AccessoRies | May 2015 restylingmag.com stripe technology, and don't bring in new chip card terminals as of the October deadline. That means if a fraudster comes into your non-chip card ready shop after Oct. 1 and charges an accessory upgrade install on a credit card, your business eats the loss. All of it. Problem is, hundreds of thousands of U.S. businesses—including restyling busi- nesses—have no idea they're on a collision course with that fraud liability this fall. And the credit card companies are starting to get worried. "While the credit card industry needs to churn out a lot more chip cards, retailers seem to be in worse shape," says Matt Schulz, a senior industry analyst at CreditCards.com. "Very few are ready to accept chip cards." Indeed, according to a February 2015 poll by Newtek Business Services, 71 per- cent of business owners are unaware that they'll be on the hook for magnetic stripe fraud after October. "Business owners still do not have a full understanding of the importance of chip card processing," says Barry Sloane, CEO of Newtek. "It is extremely important for individuals taking credit card payments to be aware." Still, other businesses that already Restyling shops may be liable for lost funds due to credit card fraud if terminals are not updated to accommodate the new credit card chip design by Oct. 1. By Joe Dysart Credit Cards for the RetaileR aleRt: R estyling businesses will be on the hook for credit card fraud if they don't migrate to new chip card ter- minals by Oct. 1, according to the major credit card companies. Essentially, MasterCard, Visa, American Express and the like have had it with old technology magnetic stripe cards, which are easy plunder for fraudsters. So they've decided to shift the liability for fraud to dealerships and other retail businesses that insist on clinging to mag- restylingMag.coM

Articles in this issue

Links on this page

view archives of THE SHOP - Restyling & Truck Accessories - May '15