Customer Transactions

We hear there may be new choices for debit. How does my customer indicate his choice and also, does he have to indicate credit or debit, or does the terminal know based on the card?

Under chip based transactions, the terminal and card will automatically offer up to the cardholder/merchant a selection of available applications to choose from. In many cases it will be one only – a default credit or default debit application.

The concept of account selection, which takes the above a further step is not being introduced in Canada at this time it is understood. It is also believed that certain international debit applications (Maestro/Cirrus/Plus etc) would not be displayed as available domestic debit transaction choices at the POS device – it is recommended that you confirm the above with your terminal provider.

How will we process returns when the payment was from a chip card?

It is very likely that this will remain the same as with magnetic stripe. That is you will credit the funds back to the card originally used for the transaction.

How do consumers select or change their pins and what happens if they can’t remember this at the POS? Can they use the same PIN they use on their debit card to help them remember?

How consumers will select and change their PIN will vary by issuer. Some will use the same PIN already issued on the credit or debit card, others will be issued a new PIN. Consumers can change their PIN through various means including ABM and branch. In some cases they will change it online or through the IVR and a script will be sent to the card when it is next used at a POS. If this happens it will only take a few seconds. Consumers will be encouraged to select a unique PIN for each card to protect its security, however, some consumers will choose the same PIN.
Source: Deloitte

Will the icons on chip readers make it easier for customers to decide how to swipe their cards, because they certainly can’t figure out the direction for the magnetic stripe!

It is certainly a sound idea to make the chip reader visible to the Customer or merchant depending on who controls the card transaction. The problem is each chip reader can be quite different, so Customer confusion will need to be effectively managed.

Can my customers sign their receipts if they can’t remember their PIN?

This is usually allowed for a short transition period during the migration to Chip. The risk at the time should be monitored when allowing fallback of this type.