Young adults (52 percent) and mobile payers (58 percent) are especially likely to avoid the new chip cards.

Some Consumers Bothered, Confused by EMV-Chip Credit Cards, Despite Added Security

Some Consumers Bothered, Confused by EMV-Chip Credit Cards, Despite Added Security

Some old habits, such as swiping your credit card at the checkout counter, are hard to break — even if the new alternative promises improved security.

As more and more retail stores adopt the required readers for new chip-enabled credit cards, a portion of consumers are just simply too annoyed or confused to deal with the change, according to a new survey.

The Mercator Advisory Group, a payment industry research firm, has found that 28 percent of EMV cardholders are “bothered by it, consider it confusing, or try to avoid stores that force them to dip their chip card rather than swipe it.”

Young adults (52 percent) and mobile payers (58 percent) are especially likely to avoid the new chip cards, indicating that some consumers may be likely to use mobile payments whenever they can to circumvent EMV cards, according to Mercator’s research.

To clarify, that 28 percent portion of consumers is not a significant number since about 7 percent of consumers who carry a new EMV card and have tried using it — and that’s a figure that represents roughly just 2 percent of U.S. adults, points out Bob Sullivan, of Credit.com.

Writes Sullivan: “Credit.com has written on consumers’ frustration with stores that have poorly implemented EMV readers and on concerns with checkout delays caused by slow EMV point-of-sale terminals. But most consumers have embraced the technology and their main concern is that retailers haven’t adapted to the system, which is viewed as more secure.”

The Mercator survey also reveals that 29 percent of U.S. consumers own EMV-enabled chip cards, up from 10 percent who did in 2014. Moreover, 1 in 3 EMV card holders have used them in EMV readers at merchant terminals in the United States.

“Consumers are excited by the implied security enhancement of EMV and want to obtain EMV-enabled cards, but they don’t want to be bogged down by early implementation issues at the point of sale,” states Karen Augustine, manager of Primary Data Services at Mercator Advisory Group and author of the report.

 

 

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