6 months past deadline, no EMV update for 42% of retailers: CardHub
WASHINGTON (3/29/16)--Just over 40% of retailers have not updated point-of-sale (POS) terminals in any of their stores--nearly six months after the Oct. 1 deadline for merchants to adopt the EMV chip standard.
Credit card comparison website CardHub released its 2016 EMV Adoption Survey, which tracked responses from merchants and consumers regarding the shift to chip-enabled cards.
After October, fraud liability costs shifted to the party with the lesser technology--in this case, merchants who still use magnetic-stripe readers at their checkouts.
CardHub’s survey of 55 major retailers and 1,000 individuals also found:
- 43% of retailers that experienced data breaches in the past five years have not updated their POS terminals;
- 56% of consumers don’t care if a retailer’s payment terminal is chip-enabled;
- 40% of people reported that they never completed purchases using a chip card on an enabled POS terminal; and
- 62% don’t understand the security differences between chip-enabled cards versus magnetic-stripe cards.
Of the 55 retailers surveyed, only 16 are 100% compliant: Wal-Mart, Target, The Home Depot, Walgreens, CVS Caremark, Best Buy, Macy's, Rite Aid, H-E-B, Kohl's, Dollar General, Gap, Nordstrom, Menards, Trader Joe's and Michael's.