MasterCard is reporting progress on the US shift to EMV payment cards.
Six months after a major regulatory change that would expose merchants to new fraud liabilities if they do not accept EMV cards, 67 percent of MasterCard-issued credit cards now feature the technology, contributing to a 51 percent rise in the number of EMV cards in circulation. That offers a contrast against the figures MasterCard issued last October, when only 40 percent of US consumers were using EMV cards. Meanwhile, 1.2 million merchant locations now accept EMV card payments.
The trends are a good sign for the emerging mobile payment platforms like Apple Pay and Android Pay, which require NFC technology to function, as POS terminals compatible with EMV chips generally also offer NFC functionality. It’s also a good sign for security, since EMV chips are generally considered to offer more protection against fraud.
This latter point was emphasized by MasterCard SVP Catherine Murchie in a statement in which she called EMV chip technology “an essential upgrade to better protect consumers and businesses.” As Murchie explained, “countries that have already adopted chips have seen significant reductions in counterfeit card fraud over time – as much as 60, 70 or even 80 percent.” As such, the US market – consumers and merchants alike – stand to benefit from the ongoing adoption of EMV technology.