If you are a business owner, you should have heard by now that the United States is transitioning to full
adoption of EMV chip enabled cards to reduce credit card fraud. The
change is coming October 1, 2015.
How could EMV affect your business?
Today,
if businesses swipe a counterfeit or stolen card, the bank assumes the
loss. To encourage businesses to adopt the more secure technology of
EMV chip cards, a liability shift is going into effect on October 1, 2015,
where card issuers plan on shifting that loss to merchants.
What do I need to do?
Your credit card processing company should have contacted you by now to inform you of the changes and schedule new equipment to be delivered. (If they have not, you may want to call them). Depending on the company you use, that equipment may or may not come with a charge.
Do I need to switch all my equipment to EMV technology?
This scenario is most likely for small business owners who are being forced to pay for new equipment. It's just a matter of risk measurement...Consider the amount of your typical sale - are your customers buying a $10 pizza or a $500 laptop? Do you personally know most of your customers? What percentage of your customers use credit cards?
Will it be illegal to run a credit card without using EMV technology?
No, it will not be illegal to run a credit card using a typical mag card reader; just be aware that in the case of a charge back or fraudulent use, your business will be forced to take the loss not the bank.
If your business is facing challenges with EMV, give IES a call at 781-816-9437. We can answer your questions and help streamline the change, should you choose to upgrade.
Showing posts with label fraud. Show all posts
Showing posts with label fraud. Show all posts
Thursday, September 10, 2015
Tuesday, August 13, 2013
Fraud is on a whole new level with these "geniuses"...
Here's the plan. We'll take some ice cubes. We'll stuff them into parcels. Next, we'll take the parcels to our local post office.
Now here's the clever part. We'll say they're iPads, send them as special delivery and insure them for 2,500 British pounds (almost $4,000). Then we'll say the iPads never got there and claim compensation.
What can possibly go wrong?
You might think I have lost the passcode to my faculties. However, the plan I am describing was precisely that followed by two gentlemen who wanted to make a little money.
Their names are Nathan Meunch and Nigel Bennett. As the Mirror reports, these two cunning Brits executed this plan to near-perfection.
They did, it's fair to say, strike an early obstacle.
Elaine Sloane, the lady at the post office in Telford, U.K., explained: "I just happened to say to the gentleman: 'Is it raining outside?' and he said yes. But it seemed strange to me because I could see from where I was sitting it didn't look like it was raining."
Meunch, you see, had areas of damp adorning his jacket.
Still, Sloane took the parcel. However, a short while later there was dampness among the parcels marked for special delivery.
This was caused by the melting iCubes.
Sloane revealed to the Shropshire Star: "We had a little look and you could see all ice in there. He had sent it as iPads and I couldn't believe it was all this water and the box was disintegrating."
Still, the parcel was secured and actually sent. Sticking to their plan, a claim for compensation was duly filed by Meunch.
Oh, but staff at the post office had already noted the parcel's dubious nature. So when the claim came in, the authorities were ready.
Bennett's lawyer said that his client was short of money. However, in a less than spirited defense, he also described the plan as "rather pathetic."
The two men were found guilty of fraud Monday. Their punishment was to go and work at Foxconn for a year. I am sorry, I don't have that quite right.
In fact, they were given a 12-month community order -- they must spend time working in the community. They must also spend 150 hours working in court.
This whole plan almost makes the people who sold wooden iPads for $180 seem like savvy entrepreneurs.
Source: CNET
Now here's the clever part. We'll say they're iPads, send them as special delivery and insure them for 2,500 British pounds (almost $4,000). Then we'll say the iPads never got there and claim compensation.
What can possibly go wrong?
You might think I have lost the passcode to my faculties. However, the plan I am describing was precisely that followed by two gentlemen who wanted to make a little money.
Their names are Nathan Meunch and Nigel Bennett. As the Mirror reports, these two cunning Brits executed this plan to near-perfection.
They did, it's fair to say, strike an early obstacle.
Elaine Sloane, the lady at the post office in Telford, U.K., explained: "I just happened to say to the gentleman: 'Is it raining outside?' and he said yes. But it seemed strange to me because I could see from where I was sitting it didn't look like it was raining."
Meunch, you see, had areas of damp adorning his jacket.
Still, Sloane took the parcel. However, a short while later there was dampness among the parcels marked for special delivery.
This was caused by the melting iCubes.
Sloane revealed to the Shropshire Star: "We had a little look and you could see all ice in there. He had sent it as iPads and I couldn't believe it was all this water and the box was disintegrating."
Still, the parcel was secured and actually sent. Sticking to their plan, a claim for compensation was duly filed by Meunch.
Oh, but staff at the post office had already noted the parcel's dubious nature. So when the claim came in, the authorities were ready.
Bennett's lawyer said that his client was short of money. However, in a less than spirited defense, he also described the plan as "rather pathetic."
The two men were found guilty of fraud Monday. Their punishment was to go and work at Foxconn for a year. I am sorry, I don't have that quite right.
In fact, they were given a 12-month community order -- they must spend time working in the community. They must also spend 150 hours working in court.
This whole plan almost makes the people who sold wooden iPads for $180 seem like savvy entrepreneurs.
Source: CNET
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