What does PCI PED compliant mean?

PCI PED is an updated requirement for manufacturers that sell PIN pads and terminals with internal PIN pads. It is a standard testing process that combines one set of standards for each of the PCI members (Visa, MasterCard and JCB).

After December 31, 2007, Visa PED approved PIN entry devices for PIN-based transactions MAY NOT BE SOLD.
Beginning January 1, 2008 all PIN entry devices sold must be PCI PED approved.

There is no set date for removal of Visa-PED approved devices from operation, however, in the event of a PIN compromise, noncompliance could result in losses and card reissuing costs could be passed to the retailer. Liability for penalties per association could be applied, and merchant service agreements could be revoked.