A 20-Day Reprieve: MasterCard’s ATM EMV Liability Shift Date is Oct. 21, Not Oct. 1

By Kevin Woodward
@DTPaymentNews

ATM operators wondering if their machines will be compliant with MasterCard Inc.’s EMV protocols by Saturday, Oct. 1, now have a little more breathing room. MasterCard confirmed to Digital Transactions News Friday that the date, widely thought to be Saturday, is actually Oct. 21.

While the Oct. 1 deadline to avoid a liability shift for non-compliant ATMs is referenced in MasterCard’s own materials, a MasterCard spokesperson insists the date has been Oct. 21 since the brand announced the shift in 2012. The network’s original press release said the liability shift would happen “beginning in October 2015,” but gave no specific date. Subsequent merchant materials on the matter have included the Oct. 1 date. The discrepancy in the dates was only noted in the past several weeks.

“There was just some industry confusion as the POS and automatic fuel-dispenser liability shifts are on Oct. 1, 2015 and 2017, respectively,” the spokesperson says in an email to Digital Transactions News.

The precise date is important because it determines when ATM operators will have to assume liability for fraud losses on counterfeit card transactions performed at non-compliant machines. In such circumstances, the EMV liability shift moves this responsibility from issuing banks to the operators. In some cases, the extra 20 days might also give operators that are close to compliance with their ATM fleets the time they need to finish certifications.

Randy Vanderhoof, executive director of the Smart Card Alliance, a trade organization representing the U.S. smart card industry, says he was informed Friday of the Oct. 21 date. He doubts this will create problems for ATM operators. “It should be good news if operators thought [the MasterCard] shift went into effect [Saturday] and they had more time,” Vanderhoof says.

Similarly, says David Tente, executive director of the ATM Industry Association’s Sioux Falls, S.D.-based U.S. organization, the Oct. 21 date will likely be welcomed. “If anything, I think many were happy they have three more weeks,” Tente says.