If you haven’t noticed by now, EMV (stands for Europay, MasterCard® and Visa) chip technology has been rolling out to consumers and merchants in the United States. More and more financial institutions, including Tinker Federal Credit Union, have been issuing new EMV chip cards to their members. Also, merchants have installed new terminals, and cashiers have been given new instructions for processing them. But do you, as a consumer, know how this rollout will affect your in-store shopping experience? Here are five things you will need to know about the new EMV chip cards.
EMV is designed to reduce fraud
The chip in the EMV card does not send your account information through the system like a magnetic stripe card does. Instead, it encrypts the card information. Only the encrypted information is sent to the card providers, and the information changes with every transaction.
Not all merchants will use the chip right away
Some merchants will ask you to “dip the chip,” industry lingo for using the chip, while others will still have you swipe, using the magnetic stripe. It just depends on if the merchant has installed the new terminals. Always use the chip when possible.
When you dip the chip, the transaction may take longer
After the cashier has rung up the transaction, insert the card into the reader and leave it in until the transaction is complete. This takes a few seconds longer than the usual swipe, but it’s worth it for the additional security.
Signing or entering a PIN for the transaction depends on your financial institution
Most institutions have opted to have consumers sign for the transaction; however, a small number of them require a PIN to verify the transaction. With TFCU, you verify the purchase by using your signature.
Don’t forget your card
Consumers are used to swiping their card and immediately putting it back into their wallet. With the new EMV chip, you are required to leave the card in the terminal longer, which could lead people to forget about them after the transaction is complete. Make a habit of checking to be sure you don’t leave your card behind.