Report: 58% of IT Professionals Say EMV Liability Shift Will Have ‘Limited or No Impact’ on Bottom Line
Aug. 3, 2015
Forty-two percent of U.S.-based IT decision makers in a new report were either not taking active steps to prepare for EMV implementation or were unaware of their company’s progress. Liability for fraudulent purchases on POS systems that cannot accept chip cards will shift from issuing banks to merchants on October 1. Nearly 60 percent, however, seem to be nonplussed by the deadline, stating the liability shift will have “limited or no impact” on their company’s bottom line, according to the report from technology consulting and recruitment firm Randstad Technologies. More than half (55 percent) feel the deadline should be pushed back. With no outcry from consumers on the issue, it’s not difficult to understand why merchants aren’t especially motivated to upgrade their systems, said Dick Mitchell, solutions director for Randstad Technologies.
“Because fraud liability has traditionally fallen to credit card companies and banks, consumers have never borne the brunt, and thus aren’t demanding more secure payment technology,” Mitchell said. “While businesses understand the importance of more secure payment technology, without this push from consumers, many merchants aren’t feeling the pressure to get all their affairs in order to meet the October deadline.”
The survey also found 66 percent believe Chip and PIN should be required.