Chip PinA recent report from the Congressional Research Service (CRS) highlighted a number of factors that are delaying the transition to chip-and-PIN (EMV) cards before the credit card network imposed deadline of Oct. 1, 2015.  The CRS predicted four factors would slow chip-and-PIN adoption in the U.S. – the high cost to implement compatible point-of-sale readers and the high costs to issue new cards, the relatively low adoption level to date, the decision by some credit card issuers to deploy chip-and-signature cards and not use an integrated PIN, and regulatory uncertainty. The report also highlighted that it is yet to be seen whether signature verification will be as effective at reducing card present fraud as PIN verification. A copy of the full report is available here.

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Christopher Avery is a privacy and data security attorney in Davis Wright’s New York City office.  He advises clients on U.S. and international privacy laws and regulations pertaining to consumer privacy, employee privacy, data security, and cybersecurity. Christopher regularly counsels companies on Payment Card Industry Data Security Standard (PCI DSS) compliance.