October 2015 is the deadline for switching credit cards and readers to EMV/Chip & PIN technology in the US. At this point fraud liability switches to the party with the lesser technology, which will have substantial impact on unprepared merchants. The eCommerce channel must also get ready as stopping fraud at physical retail stores will intensify online fraud attempts.
When Chip & PIN cards and the EMV standard were implemented on a large-scale in Europe and other markets, point-of-sale and counterfeit card fraud declined drastically, and in response fraudsters surged to the online channel. As more secure credit cards gain ground in the US, eCommerce merchants need to prepare and ensure their risk management programs are equipped to handle an increase in fraud attempts.