Category Archives: CenPOS

EMV TERMINAL SELECTION IMPACTS PROFITS FOR BUSINESS TO BUSINESS

Posted on by
Reply

What’s the most important EMV implementation criteria for business to business retail? Supporting level III data, which increases profit margins by qualifying credit card transactions for the lowest interchange rates possible. With proper terminal selection, businesses can quickly offset the cost of compliance for chip card acceptance, and protect long-term profit margins.

“The most recommended terminals in the US, including all the First Data FD series, Verifone VX series, and Ingenico iCT series terminals, do not meet critical business to business needs to protect profit margins, ” said Christine Speedy, a global CenPOS Authorized Reseller.

Interchange is the primary component of credit card processing fees, typically accounting for over 95% of fees. For business to business (B2B), including building supply and HVAC, many customers use corporate, business and purchasing cards. By qualifying these cards for level III interchange rates, B2B merchants can boost margins significantly. For example, the MasterCard interchange rate can drop from 2.65% to 1.80%, for transactions under $7500, and even more for larger transactions.

What’s needed to qualify for level III rates? The US EMV ecosystem at a minimum requires a web-based payment gateway that has certified an EMV terminal with level III processing to a specific acquirer. That’s because the extra data needed for the transaction is too cumbersome for a countertop terminal, but can be easily managed with a cloud solution. For example, CenPOS has certified the Verifone MX915 to First Data, Chase Paymentech and Tsys, the latter which enables use with most processors. Merchants can use CenPOS via a web browser virtually instantly or an integrated application.

While there is no mandate for chip card acceptance, effective October 1, the party that does not support EMV (short for Europay, MasterCard, Visa) chip card acceptance is liable for counterfeit card, and sometimes lost or stolen card transactions. Additionally, non-EMV compliance fees have already been announced by at least one provider starting January 1, 2016.

About CenPOS
CenPOS is a merchant-centric, end-to-end payments engine that drives enterprise-class solutions for businesses, saving them time and money, while improving their customer engagement. CenPOS’ secure, cloud-based solution optimizes acceptance for all payment types across multiple channels without disrupting the merchant’s banking relationships.

For global sales and integrations, contact authorized reseller Christine Speedy 954-942-0483.

 

CenPOS Certifies EMV with Chase Paymentech

Posted on by
Reply

CenPOS certifies to process chip-card transactions with Chase Paymentech, including Level 3 Data for corporate and purchasing cards.

MIAMI, FL (PRWEB) OCTOBER 26, 2015
CenPOS, a payment technology provider, announced today that it has certified EMV, including the processing of level 3 data, to all the card brands with Chase Paymentech. CenPOS continues to certify its payment-processing platform with world-class providers like Chase Paymentech at lightning speed. CenPOS has dedicated extensive resources to ensuring that it was EMV ready in the US and making sure it certified with as many networks as possible; therefore, giving its customers with many choices to choose from. Level III processing helps businesses reduce their cost of card acceptance on all commercial/purchasing cards accepted at their place of business. CenPOS provides level III processing capabilities to Card-present as well as card not present merchants.
“It has been our sheer determination and commitment to be the first provider to be EMV ready in the US. More importantly, we are equally passionate in making sure we bring differentiated value to our valued software partners and customers”, commented German Gonzalez Co-founder and Chief Technology Officer. “We understand the importance for our software integrators to bring an EMV certified solution to their customers and avoid the reputational and legal risk associated with a non-compliant payment solution. While others are still struggling with EMV, we are ready with various acquirers in the US like Chase Paymentech, TSYS and First Data”, added Gonzalez.
About CenPOS
CenPOS is a merchant-centric, end-to-end payments engine that drives enterprise-class solutions for businesses, saving them time and money, while improving their customer engagement. CenPOS’ secure, cloud-based solution optimizes acceptance for all payment types across multiple channels without disrupting the merchant’s banking relationships. For additional information please call 877.630.7960.

### CenPOS global sales and integrations, Christine Speedy 954-942-0483.

B2B Credit Card Payments And EMV Technology

Posted on by
Reply

What’s the best EMV payment technology for business to business (B2B) merchants? Once the requirements are defined for non-EDI payments, the options are limited. Whether card not present only, or a mix of retail, phone, and ecommerce, B2B payments are different.

B2B Credit Card Payment Minimum Requirements.

  • Tokenization to store credit card, and possibly check and wire data
  • Level 3 processing (significantly reduces merchant fees through lower qualified interchange rates)
  • Payment optimization to qualify transactions properly. For example, if merchant does a pre-authorization, and captures at a later date, certain rules need to be met to avoid higher non-qualified interchange rates.
  • 24/7 payment options for customers to serve multi-time zone and increase security

EMV Terminals for B2B.

There are no desktop or countertop terminals that support level III processing, and that won’t change. These terminals are programmed with the acquirer instructions via download, and less frequently, may be connected to Point of Sale (POS) software.

To meet the minimum B2B requirements, a payment gateway is required. Merchants process transactions by accessing a virtual terminal via a secure web page, or with an integrated software solution. The gateway must certify level III processing for each card brand, and EMV, and the specific terminal, for each acquirer.

For example, CenPOS has certified the Verifone MX915 to TSYS, with P2P encryption, level III processing. Most acquirers and banks support TSYS as a way to connect to their platfor; for example, First Data, Chase Paymentech, and Bank of America Merchant Services. To date, no other gateway has certified level 3 processing for retail and EMV. The difference for distributors is huge; it’s not uncommon to reduce merchant fees an average of 30%.

Pending Certifications

Exercise caution on claims of pending certifications, if the solutions provider:

  • Doesn’t have any certifications to date, after a year or more to prepare.
  • Has never had level III processing for retail certification
  • Does not offer a way to automate interchange management in a mixed retail & card not present environment, or for card not present only

 

 

 

EMV chip and pin liability shift hidden merchant risk

Posted on by
Reply

EMV terminal and EMV technology selection can impact merchant liability depending on chip and pin capabilities and management of them. Use this information to ask key questions before selecting an EMV solution.

Liability shift for stolen cards for MasterCard, American Express, and Discover

  • If the card is chip & sign, and the terminal is EMV only, the card issuer is liable
  • If the card is chip & pin, and the terminal is EMV only, the merchant is liable
  • If the card is chip & pin, and the terminal is EMV with pin, the issuer is liable

What if the terminal supports EMV & pin, but the customer does chip & sign? The merchant is liable.  Acquirers generally support chip and pin bypass to chip and signature. The only way to effectively manage liability is to steer customers to the action protecting the merchant.

emv fraud liabilityTerminals may be able to be programmed to disable pin bypass; First Data ships terminals with PIN bypass disabled.

  • Integrated payment gateways and and standalone virtual terminals can also drive terminals; because the terminals have no programming, the payment technology must have the capability to dynamically determine the best way to process, and prompt the consumer to the actions allowed. This is a tall order for most gateways, as they do not have that type of dynamic capability, and or, the gateway may not have the needed EMV certification. CenPOS disables the consumers ability to select signature over pin at the POS.

The entire EMV transaction process is certified. If an EMV certified terminal, including integrated or non-integrated payment gateway with terminal, doesn’t support the option to require chip and pin when the card issuer supports it, merchants need to weigh the associated financial risks.

 

Credit Card Processing and EMV For Business to Business

Posted on by
Reply

Are business to business merchants being steered to expensive EMV credit card processing solutions? Yes. Too many banks, acquirers and software companies have limited EMV terminal solutions, and none of them are the best solution for business to business (b2b) companies that have a retail component.

Critical Credit Card Processing Needs for Business to Business

  1. Level 3 processing to reduce merchant fees. level 3 interchange rates
  2. Card not present risk mitigation for key entered and online payments, including securing card data collection, and preventing fraud.
  3. Token billing to securely store card data for variable recurring billing.
  4. Flexibility to collect payments from multiple sources and multiple payment types.

Common B2B EMV terminal solutions

There are two types of terminals. The most common type has software loaded on the terminal. For example, the Verifone VX520 with Vx820 EMV & NFC pinpad.

Verifone VX520 VX805 EMV terminal

Verifone VX520 with VX805 EMV terminal

The second type requires an internet connection to a payment gateway. The gateway  manages the terminal, which is essentially a slave to the gateway.

ingenico isc250 signature capture terminal

ingenico isc250 touch signature capture terminal with EMV and NFC.

The first option above doesn’t meet any of the critical B2B needs, yet is the most common solution offered to every company, without regard to business type. The second option is capable of meeting critical B2B needs, but only if the payment gateway supports them.  The only payment gateway with EMV certified terminal and level III processing retail certification is CenPOS. CenPOS is a merchant-centric, end-to-end payments engine that drives enterprise-class solutions for businesses, saving them time and money, while improving their customer engagement. CenPOS’s secure, cloud-based solution optimizes acceptance for all payment types across multiple channels without disrupting the merchant’s banking relationships. 3D Merchant Services is an authorized CenPOS reseller.

Business to business merchants with a retail business element are advised to consult with a payments expert who offers level III processing for retail. The rest doesn’t matter if this need cannot be met, so it’s an easy way to differentiate those who are selling whatever they have to offer and those who are solving problems to make your business more profitable.