While they may be making Americans’ financial data more secure, those new chip credit cards are certainly not making our lives more convenient. A report earlier this week found that consumers are spending more than five hours per year waiting for the card readers to process transactions with the new cards, and now it looks like the shift to EMV (Europay, MasterCard and Visa) cards may result in many non-bank businesses ditching their on-premise ATMs.
Just as the card issuers changed the rules last year so that retailers who didn’t update their point-of-sale systems to accept chip cards would be liable for any fraudulent purchases made in their stores, they’re now shifting the liability for ATMs that haven’t been upgraded. If a credit or debit card is compromised because it was used on an old ATM, the owner of the ATM will now be held liable for any resulting fraud.
MasterCard’s new rules will go into effect next month, and Visa’s will in October 2017, according to a MarketWatch report.
Some small business owners, such as restaurant or gas station owners, may decide that it’s easier to get rid of their ATMs entirely than to upgrade their current technology or deal with the increased liability.
While inconvenient, the shift may have a smaller impact on Americans than it might have a few years ago, since consumers are making fewer purchases with cash and likely visiting ATMs less frequently.