American Express Offers $100 Reimbursement for Merchants Upgrading to EMV Terminals
To help merchants make the switch to EMV terminals before the October 2015 deadline, American Express has launched a Small Merchant EMV Assistance Program that offers a $100 reimbursement for retailers that upgrade their payment terminals. The company has put aside $10 million to help retailers and service providers fight credit card fraud by upgrading to these enhanced card terminals.
The shift to EMV cards and terminals could ease the concerns that many small merchants have about card fraud and financial liabilities. EMV technology lowers the risk of fraud stemming from stolen or fake cards by storing the account information on a chip embedded in the cards rather than on a magnetic strip.
According to the American Express EMV Preparedness Survey taken last October, 67% of small merchants said protection against card fraud was important in running their businesses. 52% said they felt more at risk of card fraud than large businesses. This new assistance program may help them get the protection they’re looking for without as much of a financial burden.
American Express will also supply EMV information to small merchants through email, a website and a telephone hotline.
“Unfortunately, many small merchants do not know about EMV or what they need to do to take advantage of it,” said Anré Williams, President of Global Merchant Services at American Express. “By providing financial and educational assistance, we hope small merchants more quickly adopt EMV so they can ensure their customers feel safe when shopping at their stores.”
Merchants can receive their $100 reimbursement on a special page on the American Express website.
American Express is not the first company to offer incentives to merchants that make the switch. Earlier this year, Velcro Pay offered free Apple Pay-enabled terminals to small businesses, along with a tutorial for how the new terminals work.