An estimated 44% of U.S. card-accepting merchants have EMV terminals. Less than a month away from the anniversary of the EMV liability shift, 29% of U.S. merchants are actually able to accept chip-based transactions.
The Strawhecker Group (TSG) survey of payment processors and other payment providers also found
approximately one-third of merchants have activated EMV systems (ability to accept chip on chip transactions) despite the larger base of U.S. merchants with EMV terminals in place.
By December 2016, it is estimated that consumers will be able to use their chip-based credit and debit cards at 51% of U.S. merchant locations.
The survey also indicated that over 60% of respondents have experienced an increase in the number of chargebacks due to a lack of EMV compliance.
EMV is a globally accepted card standard that uses an embedded microchip to provide unique data protection when the card is inserted into a chip-card reader. EMV is an acronym for Europay, MasterCard, and Visa. After the October 2015 liability shift, U.S. card-accepting merchants without the ability to accept EMV cards may be liable for fraudulent transactions.
TSG’s sample included 79% service providers that service more than 3.4 million merchants, or nearly half of the U.S. card-accepting market.
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