Make This Document Your Own Brand the Document with Your Logo Step 1: Replace Our Placeholder Logo on the Upper Right Hand Corner of Each Slide with Your Own Logo • Select View > Master > Slide Master • Right click on the placeholder logo in the upper right hand corner of the very first slide, select “Change Picture”, thennavigate to the image you want to include and insert it. Step 2: Replace Our Placeholder Logo on the Title Slide with Your Own Logo • Select View > Master > Slide Master • Right click on the placeholder logo on the title slide (2nd slide), select “Change Picture”, then navigate to the image you want to include and insert it.
Make This Document Your Own Brand the Document with Your Product Names Step 3: Update our Products to Match Yours on Slide 24 If you refer to our products by their original names, you can skip this step If you have white-labeled our SwIPe and/or iProcess applications, make sure to change out our product logos to match yours and update the text on this slide, as well as slide 23, to match your products.
Make This Document Your Own Remove Unwanted Slides & Save Your Document Step 3: Remove Any Unwanted Slides • Along the left hand side you will see thumbnails of each slide; the one that is selected is highlighted in orange around it. • If you decide to delete any slides, simply click on that slide’s thumbnail and either hit the delete key on your keyboard or right click and select “Delete slide” • Don’t forget to delete the “Make This Document Your Own” slides! Step 4: Save your Document • Once you have branded your document, deleted unwanted slides and made any additional changes, you can save the document. • We recommend saving the document as a PDF file so your merchants can reference the document without having to view it as a PowerPoint presentation. • To save, select File > Save As > name your file > select PDF > Save
EMV Overview Get Familiar with EMV & Our Plans to Support it
EMV 101 Understanding the Basics of EMV Technology Get to Know the Chip
What is EMV? EMV, which stands for Europay, MasterCard and Visa, is the technology behind that tiny microchip that’s showing up on new credit and debit cards everywhere in the U.S. This tiny little chip has huge benefits when it comes to protecting against fraud for card-present transactions. It offers better data security than magnetic stripe transactions and makes counterfeiting a card next to impossible. Understanding EMV & the Technology that Powers EMV Cards Embedded Microchip This microprocessor chip is what turns the card into a smart card and enables it to communicate secure EMV transaction data to an EMV terminal. Embedded Antenna This antenna connects to the embedded microchip and communicates the secure EMV transaction data to a point of sale terminal via NFC technology.
Ways to Accept EMV Understanding the 3 Ways EMV Payments Can Be Accepted Mobile EMV Contact EMV Contactless EMV Mobile EMV payments allow customers to upload their EMV card credentials onto their mobile phone. Then, when it’s time for payment, a customer can tap their phone against the terminal, which then communicates with the phone’s antenna via NFC technology, while still using the EMV security standards. Contact EMV payments require a customer to put their EMV card into the slot of an EMV terminal. While the card remains in the terminal, the embedded chip and the terminal communicate to verify the card is real and to validate the cardholder’s identity. Contactless EMV payments allow customers to tap their card against the EMV terminal, enabling the terminal to communicate with the card’s embedded antenna via NFC technology while still using the EMV security standards.
EMV Chip & PIN Understanding How EMV Authenticates the Cardholder The EMV card and EMV terminal communicate and work to negotiate the highest level of security available to determine if a PIN or signature will be required for the Contact EMV payment. Chip & PIN Chip & Signature The EMV terminal requires the customer to enter their PIN to verify their identity. The EMV terminal prompts and requires the customer to sign for the transaction. + +
What Happens When an EMV Transaction is Processed? Understanding the Steps and Key Players Involved in Processing an EMV Credit Card Transaction EMV Cardholder EMV Terminal EMV-Ready Merchant EMV Certified Payment Gateway EMV-Ready Issuing Bank
Key Players in Processing an EMV Transaction EMV Cardholder EMV Terminal EMV-Ready Merchant An EMV cardholder is someone who has obtained an EMV credit or debit card from a card issuing bank and is ready to start using it to make purchases. An EMV terminal is the POS hardware that communicates with the cardholder’s EMV card, specifically the embedded chip or antenna on the card. An EMV-ready merchant has a compatible EMV-enabled terminal in their store and can start accepting EMV payments from their customers (cardholders) for the goods or services they sell. This is Joe This is Suzi EMV-Ready Payment Gateway EMV-Ready Issuing Bank (Cardholder Bank) The EMV-ready payment gateway securely transmits the EMV transaction data and one-time cryptogram to issuing bank. The EMV-ready issuing bank issues EMV credit cards to consumers like Suzi. They are responsible for decrypting the EMV transaction data and one-time cryptogram, authorizing the transaction and sending back their response via a new one-time cryptogram with the transaction authorization. Joe’s EMV Certified Payment Gateway Account Suzi’s EMV-Ready Issuing Bank
Contact EMV Transaction Flow 1. Suzi the EMV Cardholder Purchases a Red Widget 2. The EMV Terminal Verifies the Card’s Authenticity There are a few different ways this can happen, depending on whether it’s a contact EMV, contactless EMV or mobile EMV transaction. While Suzi is shopping in her town, she spots the perfect red widget while passing by Joe’s Widget Shop and decides to stop in and buy it. Suzi is able to make an EMV payment for the widget, since Joe’s shop is EMV ready. Suzi makes a contact EMV payment and initiates the transaction by placing her card in the terminal’s slot. For Contact EMV (and in Suzi’s Case) For Contactless EMV & Mobile EMV The card is placed into the slot on the terminal and remains there while the terminal verifies the card is real and validates the cardholder identity. The terminal will ask for the cardholder’s PIN or signature depending on the issuer’s verification method. The user taps the card or mobile phone, and using NFC technology it communicates with the terminal. The same EMV security standards used for contact EMV purchases are employed to verify the card is real and to validate the cardholder identity. We Accept ✔ ✔
3. EMV Transaction Data is Prepared & One-Time Cryptogram is Created Once Suzi’s card has been verified and her identity has been validated, the terminal and the card work to prepare the EMV transaction data and create a one-time cryptogram that is only valid for this specific transaction. 4. EMV Transaction Data & One-Time Cryptogram are Sent to the Payment Gateway ✔ ✔ + = The gateway receives the EMV transaction data and one-time cryptogram and securely transmits them to Suzi’s issuing bank. Joe’s EMV Certified Payment Gateway Account Suzi’s EMV-Ready Issuing Bank
5. The Issuing Bank Decrypts the EMV Transaction Data & One-Time Cryptogram After Suzi’s issuing bank receives the transaction data, it works to decrypt the EMV transaction data and one-time cryptogram. Now the bank has all the information it needs and can authorize the transaction. ✔ + = 6. The Issuing Bank Creates a New One-Time Cryptogram to Send Its Response Transaction authorized Suzi’s EMV-Ready Issuing Bank Suzi’s issuing bank now needs to communicate the transaction authorization back to the EMV terminal and creates a new one-time cryptogram to do this. ✔ Transaction authorized
7. The Issuing Bank Sends the New One-Time Cryptogram to the Payment Gateway Suzi’s issuing bank sends the new one-time cryptogram with the transaction authorization back to the payment gateway. 8. The New One-Time Cryptogram with the Issuer’s Response is Passed Along to the EMV Terminal Suzi’s EMV-Ready Issuing Bank Joe’s EMV Certified Payment Gateway Account Once the payment gateway receives the new one-time cryptogram, it passes it along to the EMV terminal. From there the EMV terminal decrypts and displays the issuer’s response, which in this case is an approval. ✔ Joe’s EMV Certified Payment Gateway Account
What Do Merchants Need To Know About the EMV Liability Shift? Understanding the Liability Shift and the Steps to Take to Avoid Liability October 1st Deadline EMV Liability Shift Rules EMV Adoption Tips to Avoid Liability
October 1st 2015 Deadline Understanding How this Deadline Affects the Liability Shift Liability Shift After October 1, 2015, if a fraudulent transaction occurs, the liability belongs to whichever party has not yet adopted EMV chip technology. This means that the issuing bank or merchant could end up being financially responsible for the fraudulent transaction if they aren’t EMV ready. Card Present Transactions Only The transition toward EMV technology and the liability shift only affects merchants who process card present transactions. Online transactions, on the other hand, are not directly affected by EMV technology or the liability shift.
EMV Liability Shift Rules & Scenarios After October 1, 2015, Who’s Liable?1 Scenario 1 A traditional magnetic stripe card is swiped by the customer at a magnetic stripe terminal. Scenario 2 A chip card is used at a traditional magnetic stripe only terminal. Scenario 3 A chip card is used at a chip-enabled terminal. In this case, neither the issuing bank nor the merchant is EMV-ready. If the purchase is a fraudulent transaction, the merchant is generally not liable, just like today. In this case, the issuing bank is EMV-ready but the merchant is not. If the purchase is a fraudulent transaction, the merchant is generally liable, since the issuer has made the investment to upgrade to chip technology and the merchant has not. In this case, the issuing bank and the merchant are both EMV-ready. If the purchase is a fraudulent transaction, the issuer will continue to bear the responsibility of the fraudulent activity, as they do currently. Issuing Bank Joe the Merchant Joe the Merchant EMV Capable Issuing Bank Joe the Merchant is EMV-Ready EMV-Ready Issuing Bank 1. ”Understanding the 2015 U.S. Fraud Liability Shifts,”emv-connection.com, May 2015, http://www.emv-connection.com/downloads/2015/05/EMF-Liability-Shift-Document-FINAL5-052715.pdf
EMV Liability Shift Rules & Scenarios After October 1, 2015, Who’s Liable?1 ”The EMV Liability Shift—and What It Means for Your Business," discovernetwork.com, accessed September 28, 2015, https://www.discovernetwork.com/chip-card/images/EMV%20Fraud%20Liability%20Shift%20Overview.pdf
EMV Liability Shift Rules & Scenarios—The Exceptions Are There Any Types of Transactions Not Included in the October 2015 Liability Shift? 1 Fuel & ATM Transactions Card-Not-Present Transactions Liability for automated fuel dispensers and ATM transactions doesn’t shift until October 2017. The liability shift doesn’t apply to card-not-present transactions. In these cases, the liability remains subject to existing liability and chargeback rules. 1. ”Understanding the 2015 U.S. Fraud Liability Shifts,”emv-connection.com, May 2015, http://www.emv-connection.com/downloads/2015/05/EMF-Liability-Shift-Document-FINAL5-052715.pdf
EMV Adoption What is the Expected Adoption Rate of EMV?1 Merchants By the end of 2015, it’s expected that only about half of all US merchants will have upgraded their terminals and will be EMV-ready, leaving a high likelihood that a high percentage of merchants will be financially liable for fraudulent transactions. Issuing Banks By the end of 2015, it’s expected that the card issuing banks will be taking the lead when it comes to EMV adoption. 1. Shamas, Megan. “With EMV Chip Migration on Track, U.S. Payments Industry Looks Ahead to Mobile, eCommerce and Tokenization at Smart Card Alliance 2015 Payments Summit,”smartcardalliance.org, http://www.smartcardalliance.org/with-emv-chip-migration-on-track-u-s-payments-industry-looks-ahead-to-mobile-ecommmerce-and-tokenization-at-smart-card-alliance-2015-payments-summit/.
Steps Merchants Can Take to Avoid Liability Stay on Track to Avoid Liability Stay One Step Ahead of Card Issuers Upgrade & Process Transactions Using an EMV Compatible Device Card issuers already plan to have chip cards in consumers’ hands by the end of 2015 and once consumers start using those cards, merchants with non-EMV-ready terminals will start taking on the liability. Having an EMV compatible terminal is just the foundation for EMV; merchants will actually need to process transactions using EMV whenever possible to truly avoid liability.
What is Our Plan to Support EMV? Understanding Our Roadmap for EMV Which Devices Will Be Supported? What Applications Will Be Supported? Which Processors Will Be Supported?
EMV-Compatible Devices Supported Devices Roadmap EMV Value Device We are in the process of evaluating and testing several lower-cost EMV devices, like the MagtekeDynamo. EMV-Ready Encrypted USB Smart Terminal Our EMV-Ready Encrypted USB Smart Terminal is the Ingenico iPP320, which is ideal for retail environments and will work seamlessly with our SwIPe application. It’s a full-featured device that can process EMV chip and PIN, magstripe and contactless NFC.
EMV Supported Applications Supported Applications Roadmap iProcess Enhancements will be made to the iProcess application to support EMV transactions. SwIPe Version 4.1 This update will be pushed to the SwIPe application, which will enable merchants to remotely activate their terminalsso they can start accepting EMV transactions with any EMV certified processor(s). SwIPe Version 4.0 This upgrade to SwIPelays the groundwork for the new EMV-Ready Encrypted USB Smart Terminal. Until EMV is fully supported, SwIPe 4.0 will provide swipe functionality on the new device.
EMV Certified Processors Roadmap Processor Certification Roadmap Vantiv & Paymentech Tampa Q2 2016 will bring added support for other popular processors including Vantiv and Paymentech Tampa. Global Payments East & First Data Omaha (In Progress) Certifications with Global Payments East and First Data Omaha are in progress and are expected to be completed in Q1 2016. Vital/TSYS (In Progress) This certification is in progress and will be the first EMV-certified processor on our platform.
EMV Road Map Summary Timeline for EMV-Ready Software Applications, Devices & Processors Software Application Upgrades SwIPe Version 4.0 EMV-Ready Devices EMV-Ready Encrypted USB Smart Terminal EMV-Ready Software Applications SwIPe Version 4.1 EMV Certified Processor(s) Vital/TSYS EMV-Ready Software Applications iProcess EMV- Ready Devices EMV Value Device EMV Certified Processor(s) Global East, First Data Omaha EMV Certified Processor(s) Added support for popular processors including Vantiv and Paymentech Tampa