SIOUX FALLS, S.D. (4/30/13)--Survey results confirm that ATM owners' concerns about the ATM liability shift that went into effect a week ago are justified, the ATM Industry Association (ATMIA) announced Monday.
"We are off to the worst possible start for EMV [Europay, MasterCard and Visa] migration in the U.S.--there is uncertainty, unpreparedness and an unknown field of possible outcomes thanks to this completely premature deadline forced on the industry," said Mike Lee, ATMIA CEO.
The survey shows that few have access to the solutions necessary to deploy EMV-capable ATMs, and even fewer have been able to meet the liability deadline. Eighty-eight percent of respondents indicated that they would be unable to deploy even one ATM capable of accepting EMV transactions by the April 19 liability shift date. About 9% have access to all of the solutions they need to get that job done, the survey indicated.
EMV is a global standard for inter-operation of integrated circuit cards (IC cards or "chip cards") and IC card capable point-of-sale (POS) terminals and ATMs, for authenticating credit and debit card transactions.
This liability shift for ATM operators only will have unpredictable results and unintended consequences, ATMIA said. MasterCard is forcing one-off solutions upon individual operators that will have to be re-certified once the industry has resolved the challenges associated with interchange requirements and other debit-system prerequisites, ATMIA said. MasterCard has already denied several requests by ATMIA to postpone the shift and align with retail POS or Visa ATM deadlines, ATMIA said.
Survey results indicate 6% of respondents are "very confident" that MasterCard's fraud detection tools will "protect [them] from fraud resulting from counterfeit EMV cards used on non-EMV compliant ATMs." However, 58% are not sure whether they will experience fraud losses.
What remains less clear is how ATM operators will respond, ATMIA said. Of respondents, 12% said they are considering taking some ATMs out of service--either temporarily or permanently. However, another 34% aren't sure.
Complete survey results are posted on the ATMIA website. Use the link.