A single application identifier (AID) for U.S. debit cards is needed to effectively deploy the Europay/MasterCard/Visa (EMV) global technology standard in the United States, the Electronic Transactions Association said in a press release issued in January 2013.
Payment card networks have prescribed a timetable to move U.S. merchants and consumers from using mag stripe cards for payments to using EMV chip-enabled technology in cards and acceptance devices. The card companies are encouraging processors to upgrade to EMV-enabled systems by April 2013.
AIDs are included on EMV chips embedded in payment cards to identify the application provider and enable the application provider to distinguish between different applications it offers. Each card company has its own application, which causes frequent interoperability problems between cards and terminals. This is why the ETA said it will promote the Single U.S. Debit AID for EMV.
"ETA's endorsement of the Single U.S. Debit AID for EMV represents a significant step toward the successful migration to EMV in the United States," Jason Oxman, ETA Chief Executive Officer, said in the announcement. "The merchant acquiring community, payment card issuers and merchants are deploying EMV payment technology under implementation road maps set out by the major card networks. ETA's goal is that implementation solutions for merchant acquirers are simple, cost-effective and fully compliant with federal law."
Oxman pointed out that EMV implementation must comply with federal regulations (required by the Durbin Amendment to the 2010 Dodd-Frank Act) mandating that the card companies allow merchants a choice of multiple debit networks for routing payment transactions. The ETA said it is working with the EMV Migration Forum, the Secure Remote Payment Council and the Merchant Advisory Group to address this problem and other challenges to EMV implementation in the United States.
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