Visa and MC have never (to my knowledge) been liable for the fraud. It was always the issuing banks. Now it is still the issuing bank except in the case where the card has a chip and the terminal was not chip enabled (or maybe even those that are chip-enabled but mag stripe was still read; a.k.a. "fallback"). In this case the merchant takes the hit.
> Date: Sun, 22 Nov 2015 17:51:36 -0600 > From: [email protected] > Subject: Re: Were you at SHARE in Seattle? Watch your credit card statements! > To: [email protected] > > On Sun, Nov 22, 2015 at 2:52 PM, Robert A. Rosenberg <[email protected]> > wrote: > > At 08:42 -0600 on 11/22/2015, Joel C. Ewing wrote about Re: Were you at > > SHARE in Seattle? Watch your credit card st: > > > >> The biggest incentive was on merchants to get chip-card-capable readers > >> in place to avoid higher fraud liability, and at least most of the > >> merchants I frequent have complied, With enough compliance by the > >> merchants (which lowers odds of offloading fraud liability to > >> non-complying merchants), there appears to be much less incentive for > >> the credit card issuers to hurry up with the new cards -- only 1 in 5 of > >> the cards I regularly use have been updated to chip technology so far. > > > > > > I may have the wrong impression but unless the card is chipped there is no > > difference in the current fraud liability for a merchant who has a > > chip-capable reader. The merchant has the liability if a chipped card is > > presented and there is no chip reader. Thus it is in the Bank's best > > interest to roll out the chipped cards. > > > The previous rules had Visa / MC / AmEx being liable for fraud. > Now, if the vendor doesn't have a chip card reader, the vendor is liable. > If the vendor does have a chip card reader but the bank has not issued > you one, the bank is liable. > > -- > Mike A Schwab, Springfield IL USA > Where do Forest Rangers go to get away from it all? > > ---------------------------------------------------------------------- > For IBM-MAIN subscribe / signoff / archive access instructions, > send email to [email protected] with the message: INFO IBM-MAIN ---------------------------------------------------------------------- For IBM-MAIN subscribe / signoff / archive access instructions, send email to [email protected] with the message: INFO IBM-MAIN
