MARCH 25, 2014 MT. Prospect, IL —The global standard for interoperation of integrated circuit cards, also known as EMV, was initially created as a joint effort between Europay, MasterCard and Visa, and has become a hot topic in the financial services industry, especially in the wake of recent, large-scale data breaches. Perhaps because of this, many credit unions are expected to adopt EMV's microchip technology for new cards as early as next year.
Cummins Allison, the leading innovator of coin, currency and check processing technology, as well as ATM solutions, explains why credit unions upgrading or refreshing their ATM footprint should take the opportunity to invest in new EMV-capable equipment.
Credit Unions Prepare for October 2015 EMV Compliance
A study conducted by payment processor, The Members Group, found that more than half of the credit unions surveyed said they are positioning themselves to comply with EMV standards by October 2015.1 However, this process will require a major transition, as credit unions will have to issue new cards to members. These establishments may also have to update their ATMs to integrate seamlessly with the new features.
According to the study, the majority of both Visa and MasterCard issuers participating in the survey said they plan to issue EMV cards. EMV cards will be able to encrypt sensitive financial information and store it in a more secure fashion making it less susceptible to cyber threats. EMV-capable ATMs will help credit unions ease the transition to more secure technology.
Early Investments Can Improve Service and Cut Costs
Credit unions can benefit from making an early investment in ATMs that are EMV-capable. These machines are already equipped with the proper hardware features, allowing credit unions to make the transition to EMV software at their own pace. This capability is an advantage in the long run because financial institutions will be able to improve their overall services without incurring unnecessarily large upgrade costs.
To succeed in 2014, credit unions must be careful not to ignore the significant impact an EMV transition will have. Making large-scale changes to enterprise technology can be a headache for organizations that lack the necessary resources. Advanced ATMs will help these institutions offer their members the most secure and reliable financial services with minimal complications.
1 TMG’s Financial Institution Clients Move on EMV Plans; The Members Group, February 2014
About Cummins Allison
Cummins Allison is a global leader in developing solutions that quickly and efficiently count, sort and authenticate currency, checks and coin. We also offer a complete line of full-function automated teller machines (ATMs). Our leadership in technology and product innovation spans more than 125 years. Cummins Allison serves the majority of financial institutions worldwide, as well as leading organizations in retail, gaming, law enforcement and government. Ninety-seven percent of our customers would recommend our products and services. The company holds more than 350 patents and invests double the industry average in R&D. Our world-class sales and service network includes hundreds of local representatives in more than 50 offices in North America, wholly-owned subsidiaries in Canada, the United Kingdom, Germany, France, Ireland and Australia and is represented in more than 70 countries around the world. For more information, visit www.cumminsallison.com.
Carol Moore – Vice President Marketing
Cummins Allison Corp.
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