Chip Credit Cards are the way forward. We are living in the 21st century where everything is growing faster and business strategies are not an exception. If you are into business, you have probably understood the importance of taking the business online. Moreover, if we consider the present situation where maintaining a social distance has become very important. People are giving more preference to contactless transactions such as EMV payment.
Well, online credit card payment is not a new thing. But, we used to have magstripe credit cards initially. As a matter of fact, magstripe credit cards are not well-secured. Therefore, top credit card brands such as Visa, MasterCard and Europay have developed EMV technology. That will provide enhanced security while making credit and debit card transactions. The security standard used in EMV payments is completely different from that of the magstripe cards. EMV payment has the capability to protect all the entities that are involved in a credit card transaction. Such as merchants, cardholders, merchant processor solutions and credit card issuers.
EMV standard refers to the chip credit cards and the payment terminals and hardware that have the capability to read it. Well, people have been using EMV enabled credit cards for several years. Still, there are many misconceptions floating around. If you are into online business and accepting EMV payments. You have probably experienced problems that occurred due to these misconceptions. We at International Payment Solutions understand this concern. And therefore, we have come up with this article where we are going to disclose the misconceptions about accepting chip credit cards. So, have a look at the following points:
Merchants Cannot Accept Tips Through EMV Payments
If you are into the restaurant business and this misconception keeps titillating your mind, you are actually in the wrong way. This is completely wrong. Rather, EMV payment or paying with chip credit cards makes the entire bill payments more flexible and convenient. If your business has wireless payment terminals, you just need to carry the credit card machine to the customer’s table and enter the billing amount. Your job is done here and now, you need to pass the terminal to the customer.
Customers will swipe the cards and along with the bill, they will have the option to pay the predetermined tipping amount. Moreover, they can even pay whatever amount they want with chip credit cards. Finally, customers have to enter the PIN to complete the credit card transactions. If you don’t have wireless payment terminals, you can even ask the customers to pay the tip at the checkout counter. EMV payment is less time-consuming. So, if you pair your business with the EMV payment system, it will be easier for you to gain positive feedbacks from your customers.
EMV Payments Are Very Expensive To Accept
This is another misconception that is inextricably related to accepting chip credit cards. Many merchants believe that the credit card processing fees are on the higher side when it comes to chip credit cards. But, it is completely wrong. It does not matter whether you are using a magstripe credit card or a chip credit card, there will be no change in the card processing fee. The credit card processing fee depends upon the types of credit cards.
Here, the word, ‘types’ refer to travel card, high-value rewards credit card and basic credit card. Moreover, if you go with the EMV payment system, you might make more profits in your business. This is because EMV payment offers 100% protection against fraudulent transactions. As long as you as a merchant is accepting EMV enabled credit cards, the credit card issuing bank will be the one that is responsible for any fraudulent charge.
EMV Chips Are Easy To Hack
This is another misconception related to EMV enabled credit card payment. Many merchants think that EMV chips are easy to hack. But, the truth is that EMV chips are introduced to make the card present transactions more secure. The EMV chips consist of an advanced layer of security that magstripe cards do not have. Moreover, if we talk about EMV transactions, there is actually two-factor authentication. The cardholders must have something that nobody can know and this is the PIN. Along with it, EMV chip cards generally create a unique transaction ID that is impossible to replicate. According to a survey, the rate of credit card fraud has been significantly reduced since the introduction of EMV chip-enabled credit card transactions.
Small Business Does Not Need To Upgrade For Accepting EMV Transaction
Well, this is not true. The EMV payment system is an advanced mode of transaction. Therefore, if you are accepting credit cards and want to accept EMV chip enable credit cards, you have to upgrade your business infrastructure. You need EMV supported payment terminals and hardware.
Not An IPS Merchant?
So, we have covered all the common misconceptions regarding EMV payment. Now, if you want to pair your business with EMV enabled payment system, you need to become a merchant of International Payment Solutions. International Payment Solutions is one of the best payment processors and with its advanced payment solutions, you can elevate your business to the next level.