Wednesday, September 30, 2015

A Swipe Closer to a Secure World

     October 1 marks the date of many regulations, mostly relating to laws, but tomorrow it is necessary that businesses have integrated or be able to read EMV chips within credit card. EMV stands for EuroPay, MasterCard, and Visa. These are the major players when it comes to credit card distribution. The basis behind these chips is simple. For each purchase, the chip creates a one-time-use number combination needed for the purchase to be completed. As per the tomorrow deadline, the merchants are to have the technology readily available for customers but as of today the major merchants that are in active use of the terminals are companies like Target and Neiman Marcus. 
The major draw of the EMV chip is the added security layer for making purchases. It is not uncommon to know that companies have some form of a customer’s credit card listed in a database. This was true with the data breach with Target not too long ago. Since the chip creates a one-time-use number combination with every purchase, it is nearly impossible for someone to replicate the combination for storage or use. The one-time-use combination will cease any form of data collection that companies are attempting to get by examining the purchases made in their stores. With the October 1st deadline, this enforces the companies to have a higher care for the protection of its customers or face consequences. This allows for customers’ ease of mind when making purchases and adding to our capitalistic society. 
The EMV chip has many great draws but a set back, or two, is that with the necessity for terminals on the October 1st deadline, it also creates a need for the credit card providers to match the technology by ensuring that all credit card customers have the proper card with the chip embedded. This will create a lag in the purchasing power, as the customer must waiting until the new card arrives in the mail within a week to two. It is also interesting that this integration has not been added sooner. The breach with Target in 2013 cost the information and money of nearly 40 million customers. That is only one of the times in relation to the whole slew of credit card fraud where a whole plethora of people were affected. The technology of embedding chips in credit cards has been in use in Europe for 10 years now with the complete integration in 2005. If this technology had been in use earlier, many upon many customers would not have had to fall victim to credit card fraud.
The integration date of the EMV chip in the US is debatable but the fact is that this added layer of protection will aid the customers ensuring a safer purchasing experience.


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