22 January 2017
visit http://www.wolterskluwerfs.com

US migration to EMV gathers momentum

13 August 2014  |  10718 views  |  1 credit card chip

More than 575 million US payments cards will feature EMV chip security by the end of next year, according to a trade body set up to push the migration from magstripe plastic.

Visa and MasterCard set out a roadmap for the introduction of chip cards back in 2011, with liability for fraud-related loses switching to retailers that have not upgraded their hardware in October 2015.

Despite this, many financial institutions were initially hesitant to commit to EMV because of uncertainty around retailer adoption of chip card point-of-sale terminals, questions about the viability of the business case for migration, and unresolved issues related to regulation and support for merchant routing choice.

Attitudes changed in the wake of the Target breach of late last year, which saw hackers infect POS devices and steal the details of around 40 million customer cards. Recent research from Pulse found that 86% of US financial institutions plan to begin issuing EMV-based chip cards within the next two years.

Now some of the biggest card issuers in the country have provided an update on their progress to the Payments Security Task Force (PST), a cross-industry group set up by Visa and MasterCard.

Between them, a group of nine PST members - Bank of America, Capital One, Chase, Citi, Discover, Independent Community Bankers of America, Navy Federal Credit Union, US Bank and Wells Fargo - forecast that half of their cards - 575 million - will be chip-enabled by the end of 2015.

Chris McWilton, president, North American markets, MasterCard, says: "The move toward enhanced security for cardholders and merchants is real and tangible. We're gaining alignment around the most significant challenges where the industry needs to have a common foundation."

Comments: (1)

A Finextra member
A Finextra member | 15 August, 2014, 14:53

RE: "...Attitudes changed in the wake of the Target breach of late last year, which saw hackers infect POS devices and steal the details of around 40 million customer cards..." 

EMV chip and pin is a great idea and a long time coming, but would have done nothing to thwart the attack.  

Be the first to give this comment the thumbs up 0 thumb ups! (Log in to thumb up)
Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Square gears up for US EMV switch with chip card reader

Square gears up for US EMV switch with chip card reader

30 July 2014  |  8290 views  |  0 comments | 10 tweets | 11 linkedin
US banks going full-tilt for EMV in wake of Target breach

US banks going full-tilt for EMV in wake of Target breach

26 June 2014  |  10289 views  |  2 comments | 27 tweets | 11 linkedin
Visa and MasterCard launch cross-industry effort to push US adoption of EMV

Visa and MasterCard launch cross-industry effort to push US adoption of EMV

07 March 2014  |  10913 views  |  4 comments | 20 tweets | 19 linkedin
US banks have re-issued 17.2 million cards following Target data breach

US banks have re-issued 17.2 million cards following Target data breach

07 February 2014  |  13672 views  |  8 comments | 25 tweets | 10 linkedin
EMVCo to hammer out specifications for tokens at the digital checkout

EMVCo to hammer out specifications for tokens at the digital checkout

17 January 2014  |  10753 views  |  1 comments | 27 tweets | 10 linkedin
Target raises numbers hit by data breach from 40 million to 70 million

Target raises numbers hit by data breach from 40 million to 70 million

10 January 2014  |  5600 views  |  1 comments | 11 tweets | 6 linkedin
Visa and MasterCard agree US chip tech licensing deal to ease EMV migration

Visa and MasterCard agree US chip tech licensing deal to ease EMV migration

30 July 2013  |  10848 views  |  0 comments | 12 tweets | 5 linkedin
US chip card debate heats up

US chip card debate heats up

26 April 2013  |  10990 views  |  0 comments | 13 tweets | 7 linkedin
Business case for US migration to EMV called into question

Business case for US migration to EMV called into question

15 February 2013  |  15826 views  |  19 comments | 30 tweets | 14 linkedin
MasterCard joins push for US EMV switch

MasterCard joins push for US EMV switch

31 January 2012  |  11317 views  |  4 comments
Visa: US EMV move doesn't mean chip and PIN

Visa: US EMV move doesn't mean chip and PIN

17 January 2012  |  16306 views  |  7 comments | 1 tweets
Visa cites m-payments as it pushes US to EMV

Visa cites m-payments as it pushes US to EMV

09 August 2011  |  16051 views  |  1 comments

Related company news

 

Related company information

JPMorgan Chase

Related blogs

Create a blog about this story (membership required)
14 August 2014
http://www.financialcrimerisk.fiserv.com/aml?r=finextra

Who is commenting?

Top topics

Most viewed Most shared
Banks face big profit loss to digitisation - McKinseyBanks face big profit loss to digitisation...
16998 views comments | 95 tweets | 113 linkedin
Seven banks plan blockchain platform for SMEsSeven banks plan blockchain platform for S...
13088 views comments | 48 tweets | 45 linkedin
Accenture beats Brexit blues with largest-ever London startup programmeAccenture beats Brexit blues with largest-...
11246 views comments | 31 tweets | 20 linkedin
US fintech firms join forces to push data sharing via APIsUS fintech firms join forces to push data...
8724 views comments | 48 tweets | 45 linkedin
HSBC forms tech advisory boardHSBC forms tech advisory board
6727 views comments | 22 tweets | 23 linkedin

Featured job

to Six-Figure Base, Bonus, Benefits
London, UK

Find your next job