The National ATM Council Inc., a trade association that represents independent ATM providers and suppliers, has sent a letter to MasterCard petitioning the company to delay its pending April 19 liability shift fraudulent transactions carried out at U.S. ATMs using Maestro debit cards. The shift would place the onus for such losses on ATM acquirers.
The letter was co-signed by NAC and 36 member organizations, and requests that the Maestro shift in the U.S. be delayed until certain conditions could be met:
- Formulation of a universally accepted application identifier consistent with financial transaction network routing requirements established under the Durbin Amendment to the Dodd-Frank Wall Street Reform and Consumer Protection Act;
- Adequate time for the ATM industry to test and deploy the AID and related hardware and software upgrades necessary to enable EMV compliance among the U.S. installed base of ATMs.
NAC has also requested clarification from MasterCard as to its current liability shift deadlines. In September of 2011, MasterCard announced the Maestro ATM transaction liability shift. However, in September 2012, the company announced that it would implement its liability shift hierarchy on October 1, 2016. As a result, some in the industry are now wondering if this most recent timeline supersedes the earlier Maestro date.
NAC has requested that MasterCard consider aligning its liability shift plan for Maestro and all other domestic debit cards with VISA's recently announced October 1, 2017, EMV implementation deadline. The organization said that this would present a uniform and more realistic implementation timetable for U.S. ATM compliance with EMV.
"With little more than two months until MasterCard's April 19th liability shift for Maestro cards, there is still no universally applicable AID for EMV in the U.S.," said Bruce Renard, NAC Executive Director.
"And, even if one were available today that would meet federal laws on financial network routing, there is no financially or operationally realistic way the entire U.S. ATM embedded base can be expected to be made EMV compliant in the timeframe involved," said Renard.
Co-signers of the NAC letter include the following:
ATM Bankcard Services Inc.; ATM Connection Inc.; ATM Partner; ATM USA LLC; ATMPartMart.COM; ATMs of the South Inc.; Burroughs Inc.; Cabe & Cato Inc.; Columbus Data Services; Commercial ATM Systems Inc.; COM-TECH Systems; Contour Networks; Creative ATM Solutions LLC; Cypress Advantage; Déjà vu Consulting; DR ATM II Inc.; EFX Financial Services; Genmega; Hartfield Financial Services LLC; Indian River Merchant Services; JC ATM Services; Kahuna ATM Solutions; Madison Communications Inc.; Meiners Companies; Mohawk ATM Services Inc.; Nautilus Hyosung America Inc.; Northeast ATM Inc.; Pay Tel Company; Selman Telecommunications; SJI ATM Inc.; Switch Commerce; TetraLink/ATM Equipment.com; The National ATM Council Inc.; Trinity Holdings Ltd.; Triton Systems of Delaware LLC; Turnkey ATM Solutions Inc.; US Cash ATMs Inc.
Read more about EMV.