MasterCard: EMV Preparedness Increasing
April 11, 2016
While the card-not-present ecosystem has been bracing for a possible spike in fraud that would follow the implementation of EMV in the U.S., the implementation itself has been delayed despite the liability shift that occurred in October 2015. From the standpoint of both cards issued and merchant locations able to accept EMV-compliant chip cards, EMV preparedness can best be characterized as spotty. MasterCard recently offered some insight on progress made since October when the liability for fraudulent purchases in stores shifted from issuing banks to merchants if they were not prepared to accept chip cards.
MasterCard said 67 percent of its U.S.-issued cards now carry EMV-compliant chips that all but eliminate counterfeit card fraud in stores. That’s a more than 50 percent increase since last October. The Purchase, N.Y.-based card network also reported consumers are now able to use those cards at 1.2 million merchant locations—an increase of 121 percent since the liability shift.
While the increase in merchant locations that can accept chip cards is significant, it still is a low percentage of the overall number. A February survey by the Strawhecker Group pegged the share of total U.S. merchant locations that are prepared for EMV at 37 percent.