Fiserv to Use MasterCard EMV Solution
March 17, 2014
Last week, Fiserv’s Accel debit network agreed to implement a MasterCard EMV solution that solves a thorny problem for merchants. For nearly three years, the card networks and regional debit networks have been wrangling to find a solution to the “common AID” problem created by conflicting network-routing provisions of the Durbin Amendment and EMV specifications. The Durbin Amendment calls for debit cards to offer merchants a choice of at least two networks through which to route transactions. The technology specifications of existing EMV cards did not allow for that like mag stripe cards did.
The debit networks—working under the auspices of the Debit Network Alliance —along with MasterCard and Visa had each proposed solutions that would create a common application identifier, but competitive concerns had prevented agreement between the parties over what system would be used. With the urgency to expedite EMV implementation after high-profile security breaches, Fiserv said it was imperative to solve the network-routing problem quickly.
“As a leader in card processing, we are committed to providing our clients with a simple, streamlined path to implement EMV,” said Kevin Gregoire, group president of Fiserv’s Financial Institutions Group. “We are pleased to partner with MasterCard as part of a comprehensive, Regulation II-compliant solution.”
Accel is the first debit network to choose MasterCard’s solution. In February, First Data’s Star Network made a similar announcement when it chose to use Visa’s common AID solution.