Understanding EMV Integrated POS Terminals: Benefits and How They Work

If you're a business owner, you've likely heard about EMV integrated POS terminals. These terminals have become increasingly popular in recent years, and for good reason. In this article, we'll dive into what EMV is, the benefits of using an EMV integrated POS terminal, and how they work.

What is EMV?

EMV stands for Europay, Mastercard, and Visa - the three companies that originally developed the EMV standard. EMV is a global authentication standard for credit and debit card transactions, designed to provide increased security measures against fraud. EMV cards are equipped with a microchip that generates a unique code for each transaction, making it extremely difficult for fraudsters to duplicate the information.

Benefits of Using an EMV Integrated POS Terminal

While any business can benefit from using a POS terminal, those that process payments online or through mobile devices can especially benefit from EMV integration. Here are some of the benefits of using an EMV integrated POS terminal:

Enhanced Security

As mentioned earlier, the microchip in an EMV card provides increased security against fraudsters. This translates to increased security for your business as well. By using an EMV integrated POS terminal, you're ensuring that your business is protected against fraudulent transactions.

Acceptance of More Payment Options

With the rise of mobile payment options like Apple Pay and Google Pay, businesses need to be able to accept a variety of payment options. By using an EMV integrated POS terminal, you can accept a range of payment options, including EMV chip cards, magstripe cards, and mobile payments.

Reduced Liability

In the past, if a fraudulent transaction occurred, the liability would often fall on the card issuer or the merchant, depending on the circumstances. However, as of October 2015, the liability for fraudulent transactions shifted to whichever party is least EMV-compliant. By using an EMV integrated POS terminal, you're reducing your liability for fraudulent transactions.

How EMV Integrated POS Terminals Work

EMV integrated POS terminals work by reading the unique code generated by the microchip on an EMV card. When a customer inserts their EMV card into the POS terminal, the chip generates a unique code for that transaction. The POS terminal then reads this code and approves or declines the transaction based on the code's validity.

Conclusion

EMV integrated POS terminals provide a range of benefits to businesses, including enhanced security, acceptance of more payment options, and reduced liability. By understanding how they work, you can make an informed decision about whether an EMV integrated POS terminal is right for your business.