Hardware Related

What type of terminals can I choose from?

Posted On: March 21st 2011

There are a lot of terminal available in the market today. Collis can help you with selecting the right terminal for you. Many 'new' terminals in the US today have already been equipped to accept EMV, however this functionality has been switched off. This is because many large terminal manufacturers do not invest in the development of new magstripe only readers. So, it is getting even more and more difficult to find a magstripe only terminal. EMV makes this choice easier.

There are many types of terminals available from the complex integrated point-of-sale systems, to the mobile wireless pin pads, and the simple hard wired terminals. Which type you need will depend on your business needs. Contact your acquiring bank or point-of-sale provider for more information on what is available to you.

What do we need to know about contactless before we make decisions about terminals?

Posted On: March 21st 2011

Is it useful/viable for your business to accept contactless. Does your processor support contactless transactions. If you have a central system, is it possibly to upgrade this to accept contactless. Does your terminal already have contactless or is an easy upgrade possible? If not then you needs to acquire new terminals.

Yes definitely, some terminals have built-in contactless readers while some have open slots to plug in a reader as a peripheral while others don't support contactless at all.

How reliable is this new technology? Do we need to worry about cards or terminals failing?

Posted On: March 21st 2011

Very! Contactless is usually used in low value (> $25) payments that require speed and less security. Yes you always need to worry about cards and terminals failing, but no more than with contact or magstripe.

Chip cards are very reliable, however, like any new technology there will be kinks. There are so many variables involved in the payment industry that it's almost impossible to foresee all potential issues and bugs prior to the migration of this technology to today's payment market. It is imperative to have and support a solid issue management process to report any and all issues to your providers, banks and payments schemes so that they have enough data to find the root cause of the issues and work towards making this product as reliable as possible.

Our POS system is integrated into our cash registers. How will chip cards impact our system?

EMV will have an impact on your system. This is because the customer will need to enter his/her PIN in your system. Many integrated cash registers have a port to connect the PIN pad to. If so, then you will need an upgrade of your system and purchase a PIN pad (plus change your contract with your processor, but this is needed for everyone who migrates). If this is not possible, than you will need to acquire a new cash Register.

Depending on the age and design of your pos system and register, the impact could be significant or minor. It is important to speak to your system provider as early as possible to identify the level of work required to upgrade your system and establish timelines.

I hear about testing and certification, but as a retailer do I have to do anything about this?

Posted On: March 21st 2011

If you purchase your terminal from you processor than testing and certification of the terminal is his responsibility. If you have you own central system and purchase your own terminal directly from the vendor than you do need to get them brand certified. This can be done easily with the use of Collis Brand Certification tools. You can contact Collis, the payment brand or you processor to help you with brand certification of your terminals.

If you have a provider for your point-of-sale systems, they should be able to get your devices certified for you or at least help you to get that accomplished. If you are a major retailer and have a internally customized system, then your technical team might need to get the device certified themselves.

As a retailer, ensure adequate time is assigned for the implementation work, plan carefully with your Acquirer Account Manager, test efficiently and effectively, Test & certification tools are invaluable and will help to ensure a smooth and confident migration to chip, invest in cashier training.

Is it true that there are no terminals available in the U.S. that meet both the PCI PED and EMV requirements?

Posted On: March 21st 2011

No this is not true. Most terminals are EMVco and PCI PED certified. Please keep in mind that these are 2 different certifications!

There are so many banks, merchants and acquirers in the U.S that this question is almost impossible to answer without speaking to all the major payment schemes like Visa, MCI and AMEX.

Will EMV level 2 be stable and for what projected time frame? What are the likely implications of moving to a new version (timing, costs, technology etc)?

Posted On: March 21st 2011

Updates of the standard will not influence the terminals already deployed in the field. Regulations only state that new terminals will need to comply with the latest specs. Terminals in the field do not need to be updated, tested and certified once deployed. All versions of the standard are backwards compatible.

EMV level 1 is a collection of baseline requirements that include physical characteristics, communication protocols, and interface characteristics.
EMV level 2 defines the specifications to successfully execute a credit or debit transaction.
They are not necessarily different 'versions' of the technology.

Full EMV Option is available now and merchant benefits could include reducing requests for copy and representments, obtaining higher transaction quality through skimming protection and data integrity, lower interchange rates or liability protection, avoiding penalties for noncompliance; minimizing the need for future changes, as completing the changes for chip data support may be done most efficiently in one project.