By Ray Prothero, VP Products & Programs, Petro –
As we approach the end of 2019, we begin to look at goals and needs for the next year. The Petroleum Industry will have a busy year ahead. Approximately $2 million fueling points are not EMV compliant. The costs of noncompliance at the pump has resulted in more than $50 million in charge-backs in the last several quarters and not to mention brand reputation is ruined due to fraud at the pump.
Not having EMV next year will be the equivalent of using a skeleton key lock on your transactions at the pump . EMV is currently a global standard around the world and brings many benefits including nearly impossible levels of fraud at the card reader, as well as advanced levels of cardholder verification to improve control of offline approvals. Like magstripe, EMV is universally accepted anywhere a chip reader is present. But why , you ask, do I want to make any changes to my business. How about the costs of noncompliance at the pump?
According to the 2019 Conexxus survey, station owners indicate, software, cost and complexity as top obstacles for upgrading to enable EMV. However, a retrofit solution provides the software stations seek at a price that is affordable with simple implementation.
The charge-backs like the $50+ million recorded in the past few quarters will become the responsibility of the merchant for all non-compliant pumps after October 2020. This doesn’t include any fines or fees associated to litigation. Additionally, once your brand is ruined due to fraud at your pumps it equates to lost sales as customers will be afraid to use your station for fear of getting their data stolen.
What is a retrofit solution at the pump?
A retrofit payment solution for the pump is an easier and less expensive option for enabling EMV at the pump. Your customers account data is read via microprocessor, encrypted at the terminal and sent to the processor as encrypted data. This means it’s very difficult for the bad guys to steal the information and your reputation as a business . To add, with encryption over the wire or over the air, thieves cannot easily capture the information and put it to any useful purpose. To a sniffer, it becomes a jumbled set of incoherent bytes and bits and thus worthless without a decryption key. In addition, the Sound Payments Card reader is hardened for breach, meaning if its tampered with in any way, the system will stop working and render itself useless to the attempted theft.
Additionally, industry certifications for EMV still takes 9+ months to complete through the integrated system. If you are looking for an inexpensive alternative for EMV at your C-Store, a retrofit solution is the way to go:
- Easy to install – go from days to minutes in installation
- Cost Savings – cut your costs by over half
- Minimize downtime – upgrade a pump at a time instead of taking down the whole store
- Secure your investment – PTPE from Dip of the card to Processing
- Integration to most major POS providers out there (Verifone, Wayne, Gilbarco)
It’s easy to see how a retrofit solution can solve both the security needs as well as minimize the operational impacts to upgrading. For more information about how Sound Payments can assist, email us at petrosales@soundpayments.com.