Fraud Prevention with Innsoft’s EMV Solution

Credit card fraud is a costly problem both in the U.S. and around the globe. In 2013, the card fraud loss ratio in Europe, where EMV implementation was at 81%, was 0.038%(1), while the rate in the U.S. was almost triple that at 0.104%(2).

Help prevent fraudulent transactions by using EMV technology.

To help combat the rising cost of credit card fraud, the credit card industry in the United States has imposed a shift in liability for fraudulent credit card transactions. This shift moves liability from the credit card companies to the merchant. As part of this shift in liability, a requirement was imposed to move from traditional magnetic stripes, which are still found on all credit cards today, to a new microchip technology called EMV (Europay-MasterCard-Visa).

EMV-enabled cards contain a microprocessor chip that stores information securely, and holds credentials that are personalized for each individual cardholder. The encoding of these credentials helps to prevent fraudsters from creating counterfeit cards (“cloning”). Unlike magnetic stripe cards, which are easy to duplicate because they lack security features, EMV cards cannot be duplicated and used to complete fraudulent transactions. Fewer fraudulent transactions means fewer chargebacks to merchants.

To support these changes for our valued clients, Innsoft has teamed with our trusted processing partners, Zeamster and Fortis Payment Systems, for a fully integrated EMV solution.  We are excited to announce that starting in June 2016, Innsoft will be rolling out updates to make both Check-Inn and Direct Inn EMV compatible. Along with these updates, we will also be offering external credit card terminals that are capable of reading EMV chip cards and which fully integrate with our credit card processing software. These terminals are easy to set up and provide a secure way to capture credit card information, which in turn reduces the risk of chargebacks to your property. Because of our long-standing partnership with these companies, we were able to secure low gateway fees for our clients who want to process transactions using a chip reader.

For those that switch over to Zeamster, Check-Inn will no longer store credit card numbers, making PCI compliance easier. In replacement of credit card numbers, a digitized token ID is stored in Check-Inn. Additionally, Check-Inn will be able to authorize up to 3 credit cards and store up to 10 different cards per guest or reservation. For more information on how tokenization works, view the tokenization diagram.

If you would like Fortis Payment Systems to do a rate comparison against your current processor, please contact them at (855) 465-9999 or fill out an online form.

For more information on how Innsoft can help you process credit card transactions more securely please contact our sales team at (800) 950-8995.


(1) Source: European Central Bank

(2) Source: Bank of International Settlement