Recently the Debit Working Committee of the EMV Migration Forum (EMF) has suggested developing a new US Debit ICC (Integrated Chip Card) Application for chip cards issued in the US. The goals of the new application are to allow the US debit networks and merchants to comply with regulatory requirements, support multiple routing options for all debit transactions, and ensure successful delivery of transactions containing EMV data.
This paper by Paragon Applications presents three ICC Application strategies that would use BIN/card prefixes, interchange agreements or fees, or other methods to determine the routing path for all online debit transaction requests (including EMV), as is the case in other countries in which EMV is currently supported. These alternatives may defer, or even eliminate, the need for a new Debit ICC Application, saving US EMV stakeholders time and money as we work together to achieve the business objectives outlined by the Debit Working Committee of the EMF.
This paper also describes challenges related to transaction routing and EMV data validation that must be addressed, regardless of the ICC Application strategy that is selected.