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NAPLES, Fla. — Despite the EMV (Europay, MasterCard and Visa) liability shift deadline coming in just a matter of days, many consumers have not received chip-enabled debit cards or credit cards, or are simply unaware what EMV means, according to a new survey released by ACI Worldwide Inc.
The EMV liability shift deadline for in-store point-of-sale (POS) transactions will take place on Oct. 1. On that date, convenience store retailers that do not have POS-enabled devices could be held financially responsible for fraudulent transactions that take place.
ACI’s EMV Readiness Survey focused on consumers and involved 1,000 adults who have one or more credit or debit cards. Nearly three in five (59 percent) reported they have not received a new chip-enabled card. Two-thirds of those surveyed stated they received no information from their credit card issuer or bank explaining what EMV means and how it will impact them.
Among those who have already received chip-enabled EMV cards, only one-third are aware that the United States is moving to EMV, and the majority are unaware the real reason they received a new card, the ACI survey revealed.
“The survey data validates the trends we have seen over the past year: with less than a month to go until the EMV liability shift, a staggering number of consumers are neither educated on nor aware of EMV, and they don’t know why they have new chip-enabled cards,” said Mike Braatz, senior vice president, payments risk management, ACI Worldwide. “And if consumers are unaware, the implications for retailers come October and throughout the holiday shopping season could be major, especially as retailers prepare for this new payment experience. Although October is the date for the liability shift, we know issuers, acquirers and retailers are still working on issuing cards and upgrading payment acceptance systems to address EMV.”
Large dichotomies could be found across demographics. According to the survey, 86 percent of those 55-64 have heard or seen information about EMV, compared to 66 percent of those 45-54 years old, and 66 percent who are ages 65 and up.
Millennials and Generation Xers, those in the 18-44 age groups, reported a high level of EMV awareness (78 percent).
Geography also plays a role. Nearly a quarter (23 percent) of respondents from the Western U.S. thought they received new chip-enabled cards because of data breaches, compared to 17 percent of those in the Northeast, 10 percent in the Midwest and 7 percent in the South.
Naples-based ACI Worldwide, the Universal Payments company, powers electronic payments for more than 5,600 financial institutions, retailers, billers and processors around the world.
For more about EMV, check out the October issue of Convenience Store News.