Why You Should Accept Mobile Payments

Why You Should Accept Mobile Payments

On our blog, we’ve talked a lot about emerging technologies, their pros and cons, how to ease into them, and also how to future proof your business to accept these technologies. Recently Bank of America published their annual Trends in Consumer Mobility Report. In it, they surveyed consumers on a range of topics relating on how we interact with our mobile phones. In their report they show the sharp rise of awareness and adoption of mobile payments.

While the adoption has been slower than predicted, mobile wallets are starting to gain traction as a payment option. According to the Report, in 2016 40 percent of respondents would use or already use their phone to make purchases at checkout. this is up from 34 percent in 2015. As awareness increases, mobile payments will become more pervasive.

In the past couple years there has been a significant push by companies like Apple and Samsung to promote mobile wallet technologies. These work by allowing the consumer to link their credit/debit card to a secure application on their phone, and just wave your phone at checkout instead of using a physical credit card. Currently this is one of the more secure methods of payment. It uses some of the most advanced security and encryption features available.

Unlike a traditional credit card, the information stored is encrypted and when you run a transaction, the information is tokenized. This means a one time use code is generated and in the event the information is intercepted, it is useless to a potential fraudster. These apps also require the use of a fingerprint or password to access the application and authorize a payment, adding an extra layer of security.

To make sure that your business is able to accommodate these types of payment technologies, we recommend that your customer facing devices (terminals and pin pads) are NFC capable. Some other ways to increase awareness are to instruct staff on how to train customers and make sure you have signage letting your customers know you can accept things like Apple Pay and Samsung Pay. If you’re interested in learning more, or want to take NFC payments, shoot us an email at info@agapay.gives or call us at 800-644-3909 Option 1.

Quick Chip for EMV – What’s coming

Quick Chip for EMV – What’s coming

As a way to combat the longer transaction time associate with EMV (chip) transactions, Visa has been leading the charge to release a new technology called Quick Chip. While a standard chip transaction is done entirely on the chip, with quick chip, an authorization is sent with a preset amount instead of the actual total for an authorization. Then the customer can remove their card while waiting for the approval to come through, and the rest of the transaction is completed by the terminal (this is similar to how most mag strip transactions currently work). Since the transaction is still has all the encryption features of an EMV (chip card) transaction, they are just as secure but significantly reduce the amount of time the card is in the machine and is expected to reduce the amount of errors caused by cards being pulled out too soon. 

 

At this stage, the technology is relatively new, and as with all new technology will take some time to implement. As more processors and card readers are certified and upgraded quick chip transactions this will reduce some of the hassle that people associate with Chip Cards (For some quick tips on dealing with EMV cards, check out our last blog post).  This upgraded EMV experience is expected to remove some of the barriers that have caused slow adoption of chip capable terminals among merchants, and bring more businesses up to the EMV standard.
For questions and comments, contact us at 800-644-3909 or email us at info@agapay.gives

Remove the Stress from Chip Cards

Remove the Stress from Chip Cards

Chip cards seem to be a common point of frustration for businesses and cardholders. From the longer transaction time which lead to staring awkwardly at the customer, to the frustration of pulling the card out too soon, it’s no wonder that people aren’t taking too kindly to it. In the video below that was posted on YouTube by Above Average they take a comedic approach to venting these frustrations that we all can relate to. If you read below the video, we’ll talk about some of the ways as a business that you can help to reduce frustration.

Here are a few simple tips to make chip transaction easier:
  1. Use an internet connection
    Chip transactions are encrypted at every point, meaning that the processing time is longer, and more data is being transmitted. To speed things up, connect your terminals via internet which is much faster than dial up or transactions over a phone line.
  2. Let customers know to keep their card in the reader
    One of the biggest frustrations is when the card is pulled out too soon as it will void the sale and you will have to start over. In the event of a Pin Debit transaction, if the card is pulled after the pin is entered, but before the approval is received, the cardholder may be charged twice. (If this happens to you, call your customer service rep for your merchant account to get it resolved)
  3. Educate whenever possible
    It may not always be possible to avoid every situation, but you can make it easier the next time around for your customer. The chip is a microprocessor (a small computer) that is powered by the credit card terminal. The encrypted authorization from the cardholder’s bank has to be decrypted by the chip on the card for the terminal to understand the response. Thus, if the card is pulled out too soon, the process is interrupted and the transaction can’t be completed. The terminal will let you know when it is finished and safe to remove the card.
  4. Use the right hardware and software
    There are terminals on the market that have EMV (chip card) capabilities, but may not be supported by your credit card processor. To avoid the hassle of upgrading your equipment just to not be able to accept chip cards, contact your merchant services company and ask which terminals are EMV ready and supported.

To see if your business qualifies for a free upgraded terminal contact us at info@agapay.gives or call us at 800-644-3909 Option 1.

Should I Accept Debit?

Should I Accept Debit?

Debit card usage has been on the rise over cash payments in the past several years with adoption rates increasing significantly. According to a report by Euromonitor International, for the first time, globally in 2016 consumers spent more on debit and credit cards than with cash. In the “Payments Study 2016” conducted by the Federal Reserve, debit transactions outpaced credit transactions two to one (69.5 billion versus 33.8 billion respectively). With these numbers it’s easy to see that there is a trend toward electronic payments, and specifically debit card transactions.

As a business, being able to accept payments is critical and with less people carrying cash, you want to make sure you can accept all forms of payment. For merchants with a large volume of small tickets the ability to accept pin debit cards can be a huge money saver, as the cost of processing pin debit can be significantly lower than credit cards, or debit cards run without a pin.

At Agapay, we are able to work with you to assess your needs and see which products, services and equipment you need. To see if pin debit is something that may benefit your company, contact us today!

 

EMV creates a drop in Card Present Fraud

EMV creates a drop in Card Present Fraud

New data from the Auriemma Consulting Group (ACG) shows that card present credit card fraud losses have decreased by 18%, the lowest levels since 2013. With major adoption of chip technology by card issuers and merchants, card present fraud has become more difficult and has resulted in a sharp decline in related losses. However, even with accepting chip cards, there is still a risk. We recommend continuing with best practices to secure your customers credit card data.

If you know of any businesses that still aren’t able to accept chip cards, we would be happy to help them upgrade.

Best,

The Agapay Team

The full article can be found at: http://www.econotimes.com/

Visa Eases EMV Chargeback Policy

Visa Eases EMV Chargeback Policy

The transition to EMV has been messy for many merchants. Visa, being a leader in the migration to EMV technology in the US has decided to ease the burden placed on small businesses. According to a press release to their investors dated June 16th, they’ve released the following statement:

“Visa is modifying its policies to limit the number of fraudulent transactions that issuers can charge back to merchants (and their acquirers). Effective July 22, 2016, Visa will block all U.S. counterfeit fraud chargebacks under $25… These blocks will stay in effect until April 2018.”

For many small businesses, this is great news. Currently, if the merchant doesn’t accept EMV chip cards, banks have the authority to chargeback any disputed transaction often without allowing the merchant to respond. This update will limit the banks authority to transactions above $25 starting July 22, 2016.

Please feel free to contact us if you have any questions.

Best Regards,

Daniel Han, ETA CPP

President, Agapay

P.S. For a link to the press release it can be found here:
http://investor.visa.com/news/news-details/2016/Visa-to-Help-Accelerate-EMV-Chip-Migration-and-Support-Merchants/default.aspx

Pin It on Pinterest