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Think about who is paying for that fraud. Prior to EMV liability shift, Banks paid for the fraud. After Liability Shift, merchants are paying for fraud using
by Johnie 5y ago
Think about who is paying for that fraud. Prior to EMV liability shift, Banks paid for the fraud. After Liability Shift, merchants are paying for fraud using magstripe.
Merchants don't want to be responsible for the fraud, so they are incentivized to get rid of the mag stripe.
- xattt 5y agoI really doubt that banks will pass on the savings onto the consumer of fraud mitigation once EMV is fully implemented.
- SilverRed 5y agoWho cares? Just taking the profits away from criminals would be good enough.
- hocuspocus 5y agoForce them. The EU has successfully capped interchange fees in 4-party schemes.
- syshum 5y agoDepends on the transaction, but merchants can absolutely be liable for fraud before the EMV shift... Also the rate of mag fraud is still pretty low, more Online Fraud which was ALWAYS liable to the merchant and did not see to do much ti incentivize any changes there. Causing 90% of your customers pain to save less than 1% on fraud is likely going to cost merchants more than just paying for the fraud, which is also the math online merchants used. Online merchants that have huge fraud prevention lost more customers than the fraud.... Hell I remember one time a online merchant wanted me to submit more info after the sale for anti-fraud... I cancelled the order and bought from someone else
- djrogers 5y agoIn both of those cases, consumers are paying for fraud.