brand the document with your logo · ways to accept emv contact emv contact emv payments require a...
TRANSCRIPT
Make This Document Your Own
Step 2: Replace Our Placeholder Logo on the Title Slide with Your Own Logo
•Select View > Master > Slide Master
•Right click on the placeholder logo on the title slide (2nd slide), select “Change Picture”, then navigate to the image you want to include and insert it.
Step 1: Replace Our Placeholder Logo on the Upper Right Hand Corner of Each Slide with Your Own Logo
• Select View > Master > Slide Master
• Right click on the placeholder logo in the upper right hand corner of the very first slide, select “Change Picture”, then navigate to the image you want to include and insert it.
Brand the Document with Your Logo
Make This Document Your Own
Step 3: Replace our placeholder logo on the “EMV Ready” slide with your own logo (Slide 22)
•Select View > Master > Slide Master
•Right click on the placeholder logo on slide 22, select “Change Picture”, then navigate to the image you want to include and insert it.
Step 4: Update our Products to Match Yours on Slide 23
• If you refer to our products by their original names, you can skip this step
• If you have white-labeled our SwIPe and/or iProcess applications, make sure to change out our product logos to match yours and update the text on this slide, as well as slide 23, to match your products.
Brand the Document with Your Logo & Products
Make This Document Your Own Remove Unwanted Slides & Save Your Document
Step 3: Remove Any Unwanted Slides
•Along the left hand side you will see thumbnails of each slide; the one that is selected is highlighted in orange around it.
•If you decide to delete any slides, simply click on that slide’s thumbnail and either hit the delete key on your keyboard or right click and select “Delete slide”
•Don’t forget to delete the “Make This Document Your Own” slides!
Step 4: Save your Document
• Once you have branded your document, deleted unwanted slides and made any additional changes, you can save the document.
• We recommend saving the document as a PDF file so your merchants can reference the document without having to view it as a PowerPoint presentation.
• To save, select File > Save As > name your file > select PDF > Save
EMV Overview
Get Familiar with EMV & Our Plans to Support it
EMV 101Understanding the Basics of EMV Technology
Get to Know the Chip
What is EMV?
EMV, which stands for Europay, MasterCard and Visa, is the technology behind that tiny microchip that’s showing up on new credit and debit cards everywhere in the U.S. This tiny little chip has huge benefits when it comes to protecting against fraud for card-present transactions. It
offers better data security than magnetic stripe transactions and makes counterfeiting a card next to impossible.
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Understanding EMV & the Technology that Powers EMV Cards
Embedded Microchip
Embedded AntennaThis microprocessor chip is what turns the card into a smart card and enables it to communicate secure EMV transaction data to an EMV terminal.
This antenna connects to the embedded microchip and communicates the secure
EMV transaction data to a point of sale terminal via NFC
technology.
Ways to Accept EMV
Contact EMV
Contact EMV payments require a customer to put their EMV card into the slot of an
EMV terminal. While the card remains in the terminal, the embedded chip and the
terminal communicate to verify the card is real and to validate the cardholder’s
identity.
Understanding the 3 Ways EMV Payments Can Be Accepted
Contactless EMV
Contactless EMV payments allow customers to tap their card against the EMV terminal, enabling the terminal to communicate with
the card’s embedded antenna via NFC technology while still using the EMV security
standards.
Mobile EMV
Mobile EMV payments allow customers to upload their EMV card credentials onto their mobile phone. Then, when it’s time for payment, a
customer can tap their phone against the terminal, which then communicates with the phone’s
antenna via NFC technology, while still using the EMV security standards.
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EMV Chip & PIN
Chip & PIN
The EMV terminal requires the customer to enter their PIN to verify their identity.
Understanding How EMV Authenticates the Cardholder
Chip & Signature
The EMV terminal prompts and requires the customer to sign for the transaction.
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The EMV card and EMV terminal communicate and work to negotiate the highest level of security available to determine if a PIN or signature will be required for the Contact EMV payment.
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What Happens When an EMV Transaction is Processed?Understanding the Steps and Key Players Involved in Processing an EMV Credit Transaction
EMV Cardholder EMV-Ready Merchant EMV-Ready Issuing BankEMV Certified Payment Gateway
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EMV Terminal
Key Players in Processing an EMV Transaction
EMV Certified Payment Gateway
EMV Cardholder
An EMV cardholder is someone who has obtained an EMV credit or debit card from a card issuing bank and is ready to start using it to make purchases.
The EMV certified payment gateway securely transmits the EMV transaction data and one-time cryptogram to issuing bank.
This is Suzi
Joe’s EMV Certified Payment Gateway
Account
EMV Terminal
An EMV terminal is the POS hardware that communicates with the cardholder’s EMV card, specifically the embedded chip or antenna on the card.
EMV-Ready Issuing Bank (Cardholder Bank)
The EMV-ready issuing bank issues EMV credit cards to consumers like Suzi. They are responsible for decrypting the EMV transaction data and one-time cryptogram, authorizing the transaction and sending back their response via a new one-time cryptogram with the transaction authorization.Suzi’s EMV-
Ready Issuing Bank
EMV-Ready Merchant
An EMV-ready merchant has a compatible EMV-enabled terminal in their store and can start accepting EMV payments from their customers (cardholders) for the goods or services they sell.
This is Joe
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Contact EMV Transaction Flow
1. Suzi the EMV Cardholder Purchases a Red Widget
While Suzi is shopping in her town, she spots the perfect red widget while passing by Joe’s Widget Shop and decides to stop in and buy it. Suzi is able to make
an EMV payment for the widget, since Joe’s shop is EMV ready. Suzi makes a contact EMV payment and
initiates the transaction by placing her card in the terminal’s slot.
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We Accept
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2. The EMV Terminal Verifies the Card’s Authenticity
There are a few different ways this can happen, depending on whether it’s a contact EMV, contactless EMV or mobile EMV transaction.
For Contact EMV (and in Suzi’s Case)
The card is placed into the slot on the terminal and remains there while the terminal verifies the card is real and
validates the cardholder identity. The terminal will ask for the cardholder’s PIN
or signature depending on the issuer’s verification method.
For Contactless EMV
& Mobile EMV
The user taps the card or mobile phone, and using NFC technology it communicates with the terminal. The same EMV security standards used for contact EMV purchases are employed to verify the card is real and
to validate the cardholder identity.
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✔ ✔
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3. EMV Transaction Data is Prepared
& One-Time Cryptogram is Created
Once Suzi’s card has been verified and her identity has been validated, the terminal and the card work to
prepare the EMV transaction data and create a one-time cryptogram that is only valid for this specific
transaction. 4. EMV Transaction Data & One-Time Cryptogram
are Sent to the Payment Gateway
The gateway receives the EMV transaction data and one-time cryptogram and securely transmits them to Suzi’s issuing bank.
Suzi’s EMV-Ready Issuing Bank
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Joe’s EMV-Ready Payment Gateway
Account
✔ ✔
5. The Issuing Bank Decrypts the EMV Transaction Data & One-Time Cryptogram
After Suzi’s issuing bank receives the transaction data, it works to decrypt the EMV transaction data and one-time cryptogram. Now
the bank has all the information it needs and can authorize the transaction.
Suzi’s EMV Ready Issuing Bank
+ 6. The Issuing Bank Creates a New One-Time Cryptogram to Send Its Response
Suzi’s issuing bank now needs to communicate the transaction authorization back to the EMV terminal and creates a new one-time cryptogram to do this.
✔Transaction authorized
✔Transaction authorized
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8. New One-Time Cryptogram with the Issuer’s Response is Passed Along to the EMV Terminal
Once the payment gateway receives the new one-time cryptogram, it passes it along to the EMV terminal. From there the EMV terminal decrypts and displays the issuer’s response,
which in this case is an approval.
✔
Joe’s EMV Certified Payment Gateway Account
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7. The Issuing Bank Sends the New One-Time Cryptogram to the Payment Gateway
Suzi’s issuing bank sends the new one-time cryptogram with the transaction authorization back to the payment gateway.
Suzi’s EMV Ready Issuing Bank
Joe’s EMV Certified Payment Gateway Account
What Do Merchants Need To Know About the EMV Liability Shift?
Understanding the Liability Shift and the Steps to Take to Avoid Liability
October 1st Deadline EMV Liability Shift Rules Tips to Avoid LiabilityEMV Adoption
October 1st 2015 DeadlineUnderstanding How this Deadline Affects the Liability Shift
Liability Shift
Card Present Transactions Only
After October 1, 2015, if a fraudulent transaction occurs, the liability belongs to whichever party has not yet adopted EMV chip technology. This means that the issuing bank or merchant could end up being financially responsible for the fraudulent transaction if they aren’t EMV-ready.
The transition toward EMV technology and the liability shift
only affects merchants who process card present transactions. Online
transactions, on the other hand, are not directly affected by EMV
technology or the liability shift.
EMV Liability Shift Rules & Scenarios
Scenario 1
A traditional magnetic stripe card is swiped by the customer at a magnetic
stripe terminal.
In this case, neither the issuing bank nor the merchant is EMV-ready. If the purchase is a
fraudulent transaction, the merchant is generally not liable, just like today.
After October 1, 2015, Who’s Liable?1
Issuing BankJoe the Merchant
Scenario 2
A chip card is used at a traditional magnetic stripe only terminal.
Scenario 3
A chip card is used at a chip-enabled terminal.
In this case, the issuing bank is EMV-ready but the merchant is not. If the purchase is a fraudulent
transaction, the merchant is generally liable, since the issuer has made the investment to upgrade to chip
technology and the merchant has not.
In this case, the issuing bank and the merchant are both EMV-ready. If the purchase is a fraudulent transaction, the issuer will continue to bear the
responsibility of the fraudulent activity, as they do currently.
EMV Ready Issuing Bank
Joe the Merchant Joe the Merchant is EMV Ready
EMV Ready Issuing Bank
1. "EMV Liability Shift: Why it pays to adopt new technology," Visa.com, http://usa.visa.com/merchants/grow-your-business/payment-technologies/credit-card-chip/liability-shift.jsp.
Fuel & ATM Transactions
Liability for automated fuel dispensers and ATM transactions doesn’t shift until October 2017.
EMV Liability Shift Rules & Scenarios—The ExceptionsAre There Any Types of Transactions Not Included in the October 2015 Liability Shift? 1
Card-Not-Present Transactions
The liability shift doesn’t apply to card-not-present transactions. In these cases, the liability remains subject to existing liability and chargeback rules.
1. "EMV Liability Shift: Why it pays to adopt new technology," Visa.com, http://usa.visa.com/merchants/grow-your-business/payment-technologies/credit-card-chip/liability-shift.jsp.
EMV AdoptionWhat is the Expected Adoption Rate of EMV?1
Issuing Banks
Merchants
By the end of 2015, it’s expected that the card issuing banks will be taking the lead when it comes to EMV adoption.
By the end of 2015, it’s expected that only about half of all US
merchants will have upgraded their terminals and will be EMV-
ready, leaving a high likelihood that a high percentage of
merchants will be financially liable for fraudulent
transactions.
1. Shamas, Megan. “With EMV Chip Migration on Track, U.S. Payments Industry Looks Ahead to Mobile, eCommerce and Tokenization at Smart Card Alliance 2015 Payments Summit,” smartcardalliance.org, http://www.smartcardalliance.org/with-emv-chip-migration-on-track-u-s-payments-industry-looks-ahead-to-mobile-ecommmerce-and-tokenization-at-smart-card-alliance-2015-payments-summit/.
Steps Merchants Can Take to Avoid LiabilityKeep Your Merchants on Track to Avoid Liability
Stay One Step Ahead of Card Issuers
Card issuers already plan to have chip cards in consumers’ hands by the end of 2015 and
once consumers start using those cards, merchants with non-EMV-ready terminals
will start taking on the liability.
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Upgrade & Process Transactions Using an EMV Compatible Device
Having an EMV compatible terminal is just the foundation for EMV; merchants will
actually need to process transactions using EMV whenever possible to truly avoid
liability.
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What is Our Plan to Support EMV?
Understanding Our Roadmap for EMV
What Applications Will Be Supported?
Which Processors Will Be Supported?
Which Devices Will Be Supported?
When Will We Be EMV-Ready?
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Mark Your CalendarsEMV is Coming to the Gateway in August
We Will Be “EMV-Ready” in August!
EMV Supported ApplicationsSupported Applications Roadmap for 2015
iProcess POS
SwIPe
SwIPe will be the first EMV-capable software application. SwIPe is a lightweight POS software that
runs on Microsoft Windows 32 bit and 64 bit.
iProcess POS is a new product that will include EMV support as well as additional features. This will be a full
stand-alone mobile POS (mPOS) system for small- to medium-sized merchants.
EMV-Compatible DevicesEMV-Compatible Devices Roadmap for 2015
EMV Value Device
Ingenico iCMP
Ingenico iPP320 & iPP350
The Ingenico iPP320 and iPP350 are ideal for retail environments and will work seamlessly with our SwIPe application. They are full-featured devices
that process EMV chip and PIN, magstripe and contactless NFC.
The Ingenico iCMP is a versatile device ideal for mobile environments and will work seamlessly with
our iProcess POS mPOS and with our SwIPeapplication. It has embedded bluetooth technology
and accepts EMV chip and PIN, magstripe and contactless NFC.
We are in the process of evaluating and testing several lower-cost EMV devices,
like the Magtek eDynamo.
EMV Certified Processors RoadmapCertified Processors Roadmap for 2015 & Early 2016
First Data
Global Payments
TSYS/Vital
Certification in progress and expected to be complete in August 2015
Certification with Global Payments will make our platform EMV ready for
US & Canada
Certification for EMV with First Data is projected to be completed in late Q4.
Vantiv & Paymentech
2016 will bring added support for other popular processors including
Vantiv and Paymentech.
EMV Road Map SummaryTimeline for EMV-Ready Software Applications, Devices & Processors
EMV Ready Software Applications
SwIPe
EMV Ready Devices
Ingenico iPP320 & iPP350
EMV Certified Processor(s)
TSYS
EMV Ready Software Applications
iProcess POS
EMV Ready Devices
Ingenico iCMP
EMV Certified Processor(s)
Global
EMV Ready Devices
Value EMV Device
EMV Certified Processor(s)
First Data
EMV Certified Processor(s)
Added support for popular processors including Vantiv
and Paymentech