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Restyling & Truck Accessories - May '15

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26 Restyling & tRuck AccessoRies | May 2015 restylingmag.com executive for Bank of America. Bank of America has been upgrading customers since 2012, he says. "The number of issued chip cards (in the U.S.) is expected to reach 600 million by the end of 2015," says Vanderhoof of EMV Migration Forum. Of course, the rub for restylers and other retailers is that getting from here- to-there will cost coin. Expect to pay $300 to $1,300 for each new chip card terminal you bring in, depending on the features you're looking for, says Phil Wimberly, vice president, integrated solutions sales for OpenEdge, a payments software provider. Plus, staff will need to be trained to deal with the new technology. One of retailers' best resources for the new terminals will probably be the busi- ness that's already handling the processing mag-stripe cards, Wimberly says. One silver lining: Customers will most likely find making the switch fairly intui- tive. There will be a few differences. Chip cards need to be inserted into a terminal, rather than swiped. And a chip card needs to stay inserted in the terminal until a transaction is completed. For verification, chip cards will require either a customer signature or a customer PIN. And some will be "contactless," requiring only a simple "wave" over a ter- minal to initiate a transaction. During the first few years of the transi- tion, chip cards also will come with a con- ventional magnetic stripe, which will enable consumers to make purchases at businesses still mired in mag-stripe technology. But the primary point to remember is that as long as a retail establishment has chip card terminals, they won't be on the hook for fraud created by any mag-stripe card you accept as payment, according to Shamas of EMV-Connection. Essentially, as long as a business has made the effort to accept chip cards, the credit card companies and banks aren't looking to penalize you for accepting a mag-strip card, she says. As the October deadline looms, all the major credit card companies are ramping up massive business educational cam- paigns, hoping to help businesses dodge the fraud liability ax. "Unfortunately, many small merchants do not know about EMV or what they need to do to take advantage of it," says Anré Williams, president of Global Merchant Services for American Express. "We cre- ated the Small Merchant EMV Assistance Program to help them." But even with the massive PR push, industry watchers fret that this fall there will still be hundreds of thousands of uni- formed businesses seeing red over new fraud liability. "The Achilles heel for EMV merchant adoption will be small and micro mer- chants that are not only unprepared for EMV, but even unaware of the fraud-lia- bility shift in the U.S. this year," says Nick Holland, head of payments for Javelin Strategy & Research. Experts advise: Don't be one of those businesses. For deep background on migration to chip card processing, check out the MasterCard has been pushing its 'chip-and-pin' cards in markets outside the U.S. for some time, as the graphic demonstrataes. restylingMag.coM 26 Restyling & tRuck AccessoRies | May 2015 RetaileR aleRt:

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