July 2016

Tips for EMV Security

Charter Capital (1)

What are EMV Chips?

EMV chips, also known as Europay, Mastercard and Visa chips, make it more challenging for fraudsters to create counterfeit credit cards. The cards enhanced with EMV feature an embedded small, metallic square. That tiny square is actually a computer chip.

Credit cards equipped with EMV computer chips protect data by creating a unique transaction code with each purchase, unlike the magnetic strips of yesteryear. In the past, if a criminal gained access to a magnetic card strip, he gained access to all of the information necessary to make future purchases with that credit card. Modern chip-enhanced credit cards eliminate the ability of hackers to recreate the chip information from one point of sale.

The new generation credit cards aren’t swiped; they are inserted into a card reader that collects data from the chip. The machine reads the data, and then the card’s financial institution creates a one-time transaction code for the purchase. These transactions typically take a little longer than the magnetic stripe swipe, but those extra seconds make for a safer purchase.

How long it takes between the credit card dip and a completed transaction largely depends on the equipment being used at the point of sale. Most U.S. retailers aren’t yet using EMV technology in their businesses. One survey theorized that only about half of U.S. businesses will have migrated to EMV card readers by the end of 2016. Because not all merchants have adopted the latest technology, most credit cards still have the magnetic stripe on the back, so users can make purchases using their credit cards just about anywhere!

Vision Payment Solutions know that accepting credit cards can be one of the easiest ways to increase profits. However, the fees required to do so may seem daunting or confusing. Add to that the merchant responsibility for protecting buyers’ personal credit card information, and accepting credit cards can seem like a costly risk. VPS helps its merchant partners find payment processes that work best for their businesses. Whether its email receipts, upgrading payment systems to add EMV options, or providing wireless payment options via smartphone, VPS offers low cost credit card processing and the latest technology to help protect consumers. Contact Vision Payment Services today to set up your payment processing at a guaranteed low rate!

Why Consumers Prefer Credit Cards

Thanks to the convenience and popularity of e-commerce, credit card usage is on the rise. Data released by the Federal Reserve in 2014 found that 72% of all American consumers have at least one credit card. That means approximately 167 million Americans own a credit card. These statistics show that if merchants want to compete in today’s tough economy, they need to make credit card processing an integral part of their business. Read on to learn some of the top reasons why consumers prefer using credit cards over cash.

Convenience

The most common reason that consumers prefer credit cards over any other payment option is convenience. Whipping out a credit card is easier than paying with a check, safer than using a debit card, and much more convenient than running to the ATM because you are out of cash. Many consumers also use monthly credit card statements to track their spending and budget future expenses.

Rewards

Who doesn’t love getting free stuff? With so many credit cards to choose from, many credit cards offer rewards and incentives to choose their card over competitors. Rewards including low interest, balance transfers, airline miles, hotel stays, points towards merchandise, and cash back are some of the most powerful incentives for consumers to use their credit cards. Although some rewards cards charge an annual fee, most credit card holders love the idea of getting paid to shop.

Protective Services

Credit cards offer consumers various forms of protection that aren’t available when paying with cash or any other payment option. The following are just some of the protective services that credit cards offer to consumers:

• Price protection: This service allows cardholders to recoup savings from the credit card company if a lower advertised price is found within 60 days of purchase.
• Extended return policies: This service can turn a 30-day return policy into a 90-day policy if the store won’t accept the return.
• Damage and theft protection: This service insures items against accidental damage or theft within the first 90 days after purchase.
• Extended warranties: This service can double the manufacturer’s warranty protection.
• Identity theft protection: This service alerts cardholders of suspicious purchase activity and can cover the cost of identity recovery services in the event of identity theft.

Merchant Benefits

With all their incentives and protections, it’s no wonder that credit cards are so popular with consumers. Likewise, accepting plastic can only help merchants widen their revenue stream, make more sales, and reach a healthier bottom line. Learn more about opening a merchant account with Vision Payments today!