EMV Liability Shift

Darren Wright

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Just curious how many of you that do shows or have small businesses that are accepting credit cards? Do you have equipment that reads the new chips on credit cards?

I used to have the swipe readers for doing credit cards on my phone, but looks like the fraud liability for not using a chip reader has shifted to the merchant if fraud happens and the card has a chip.

https://www.visa.com/chip/merchants...nologies/credit-card-chip/liability-shift.jsp

Of course last week my daughter had her wallet taken, and didn't seem to matter with the bank/credit companies, they credited her back her money and such with no questions asked.
 
Just curious how many of you that do shows or have small businesses that are accepting credit cards? Do you have equipment that reads the new chips on credit cards?

I used to have the swipe readers for doing credit cards on my phone, but looks like the fraud liability for not using a chip reader has shifted to the merchant if fraud happens and the card has a chip.

Although I think they are charging for the hardware, Square has new readers that are chip-compatible, and so I assume other similar services do/will too.

--dave


Sent from my iPad using Tapatalk
 
Yeah, Square is doing it now. They sent me an email telling me about the upgrade. I'm not sure what they are charging for it, but I will get it fairly soon. The only time I need it is for the one fair I go to every fall. But, yeah. Something about the liabilities and all that stuff. Guess I need to look up the cost of the new reader just so I will know.
 
Thanks guys. Well I don't do enough shows/sales to really justify the $49 for one, may have to shop around for other cc services that my provide one. It was nice to be able to take a CC once in a while, but may just not do cards anymore. :)
 
A quick look at just being PCI compliant can be a reality check. This is a major issue for us on the University campus since the folks that sell stuff all want to do it as cheaply and easily as possible. The problem for the University is we are liable for any traffic that we transport. for example if a student uses the campus network to illegally download a movie, we get the DMCA notification and we pay the fine. It is then up to us to police the student. If sellers on campus want to go wireless we make them use their own cellular (as opposed to campus wireless services) as this removes us from the responsibility chain.
 
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A quick look at just being PCI compliant can be a reality check. This is a major issue for us on the University campus since the folks that sell stuff all want to do it as cheaply and easily as possible. The problem for the University is we are liable for any traffic that we transport. for example if a student uses the campus network to illegally download a movie, we get the DMCA notification and we pay the fine. It is then up to us to police the student. If sellers on campus want to go wireless we make them use their own cellular (as opposed to campus wireless services) as this removes us from the responsibility chain.

Interesting, so those "I agree to be good when using the network" confirmations don't cover you at all huh?
 
I do enough CC sales at the one fair I attend to well over justify the expense of one. Though I will still, like you Darren, look around and see if anyone else offers it with their services or whatever. The only thing that might happen is if they give you the reader for free, they might jack up the service charges. So, free might not really be so free. Have to do some research on that.
 
I only use my square at a few shows I do a year...it's the original that only swipes. Still can swipe most chip cards and at the shows I do I don't have a worry at all that someone is going to use a fake/stolen card. I'll eventually get the new $49 one that allows NFS payment, but not this year I don't think as I'm not sure I will be doing any shows. They also do offer one that does all but the NFS payments for only $29.00
 
Thanks guys. Well I don't do enough shows/sales to really justify the $49 for one, may have to shop around for other cc services that my provide one. It was nice to be able to take a CC once in a while, but may just not do cards anymore. :)

Unless there have been big changes in the credit card merchant service biz in the past 4 or 5 years, I doubt you'll find anyone who can compete with Square cost-wise. ;)
 
I have gone to the ETSY card reader... since most of my inventory is on ETSY and this helps with inventory control... I questioned them about the EMV chip readers and was told that ETSY acted as the merchant and assumed the liability for fraud on cards.... I have a Square reader, but prefer the ETSY reader.

ETSY's reply to my query....
quote
Hi Chuck,

Thanks for reaching out to Etsy Support with this question, and I'm glad to explain.

The liability shift associated with EMV compliance will apply only to fraudulent transactions during which an EMV card is processed using a card reader not equipped with EMV technology.

Etsy is the merchant on record for all Direct Checkout sales processed through the Sell on Etsy app with Etsy card reader. Etsy will be liable for credit card losses, including chargebacks, when we find that they have resulted from third-party fraud. In cases of fraud, we may need to work directly with you to resolve the matter.

We do not have any immediate plans to release an EMV card reader. Please note that you’re not legally required to upgrade to an EMV reader, and EMV cards that have magnetic stripes can still be processed through the Etsy card reader.

If you'd like more information about EMV, please check out this blog article: https://www.etsy.com/seller-handbook/article/what-etsy-sellers-should-know-about-emv/30922515241

If there is anything else I can assist you with, be sure to let me know!

Warm regards,
Rebekkah
Senior Payments Support Specialist
unquote
 
Etsy are fine folks. Been with them for a while now. I have their reader but never ended up using it. When I go to the one fall fair, that inventory is for the fair only. It's not online. Which is why I use Square. The first year I went to this fair I missed over $500 in sales by not taking CC's. I remedied that the next year and it has been well worth it, by a long shot. And, I have to say that Square gives you your funds relatively fast. No complaints on my part. I looked around some last night and I am going to stay with Square. Also, due to TV advertisements, a lot of folks know the name and will likely trust it more than some others.
 
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