As you have probably heard by now, the deadline for upgrading for EMV Compliance has been extended until 17 April 2021. This has led to some fuel retailers putting off their upgrades, and some are even considering not doing the update at all until their equipment needs replaced. Neither of these approaches is something that we would recommend, and today we want to talk about why EMV compliance is so important.
Card skimming stories are always hitting the headlines, but the actual cost of credit card fraud from a retailer’s point of view comes from chargebacks. These typically fall into two distinct categories.
So what has this got to do with EMV compliance? In the case of counterfeit fraud, once the fake credit cards have been produced, the criminals will target gas stations that do not use EMV protection. They will then purchase large amounts of fuel to resell elsewhere using the fake cards. Currently, when these fraudulent transactions occur, the credit card company will take responsibility for reimbursing the fraudulent charges and associated fees to the cardholder. However, as of 17 April 2021, that will no longer be the case. If a fraudulent charge is made at a location with no EMV compliance, the retailer will shoulder the burden of repaying the charges. This will often be between 2 and 3 times the original cost of the goods once fees are taken into account.
Here is one example:
Total Cost to Retailer = $185
That’s just one fraudulent transaction. Once it becomes known that your location does not have EMV compliance, it will likely become a target for criminal activity, and the losses will quickly mount up.
However, if you upgrade your dispensers in line with EMV compliance, it becomes much more challenging to use a fraudulent card. IF any fraudulent transactions do make it through, the responsibility will not lie with the retail as long as the equipment meets EMV compliance standards. Can you really afford not to upgrade?
It is recommended that you upgrade your dispensers to accept EMV as soon as possible. The closer we get to the EMV Compliance deadline, the higher the demand for new equipment and qualified technicians is going to be. This could make it difficult to book your upgrade. That is why we recommend arranging your upgrade now, rather than waiting until we get closer to the April 2021 deadline.
We Keep You Pumping!
PumpTex, Inc. was founded in 1997 in the back of a garage with the dream of bringing a new level of customer service to the retail petroleum service industry. Over the years, we have grown to become a valuable resource to our customers. Many consider us to be the first responders of the retail petroleum service industry!888-906-PUMP (7867)
It's time to bring a new level of customer service to the retail petroleum service industry.
We search for the “WOW” moment in each and every customer interaction. Our team is known in the industry to have the best customer service and follow-up in our industry.
As a team, we also work intelligently to provide a valuable and tailored experience to each of our customers. We derive a great sense of pride from engaging our customers in a professional relationship.
Any client, vendor or media provider interacting with PumpTex discerns that our unique culture and operating practices separate us from our competitors and are drawn to our way of doing business.
We offer real-time solutions to the problems our clients experience. Being a resource to our customers and becoming their eyes and ears in the field enables them to maximize uptime and profits.