EMV And E-Commerce. Important For Online Retailers

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According to a 2015 study by Barclays PLC, the US represented 47% of worldwide credit card fraud even though only 24% of the world’s card volume is processed domestically.The cost of the mentioned fraud on the US economic system is huge.

EMV credit cards are called to make retail shopping more secure. These cards feature an embedded chip that assigns a unique transaction ID to every purchase. To successfully authorize transactions, customers must either sign their name or enter a personal identification number or PIN.


However, these additional security features cannot really be applied when shopping online. The majority of electronic purchases made by anonymous customers are processed using 16-digit credit card numbers, 4-digit expiration dates, 3-digit CVV2 or CVC2 codes.

Hence, not all online retailers have hurried up to invest in EMV technology waiting for a truly unified payment system to appear — a system that will leverage EMV security features for mobile, retail, and online transactions.

To get a reliable and secure e-commerce merchant account, consider turning to e Merchant Broker, the #1 high risk payment processor in the US. EMB has an A+ rating with the BBB and is rated A by Card Payment Options.

Even if there is no 100% compatibility between EMV technology and online shopping, all merchants should take measures to stop individual leaks in their payment systems. Though these efforts might be associated with higher initial costs such as new equipment and employee training, but such investments are worth making as they lead to credit card fraud decline.

When it comes to leveraging EMV security for e-commerce shopping, brick-and-mortar retail stores should make investments in EMV terminals and online retailers should look forthe most secure payment options available. These efforts should be taken even if there is nounified EMV payment system.

Although not entirely unified, the online world does useEMV payment options: MasterCard offers a Chip Authenticated Program (CAP), and Visa now offers Dynamic Passcode Authentication (DPA).

Many European e-commerce stores are already applying the above-mentioned 2 EMV security features with their own online customers. These features could soon become mandatory for American e-stores.

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