EMV Chip Card Information
Sturgis Bank is excited to announce the arrival of EMV Chip capability with our Visa Debit Cards. Below you'll find answers to many of of the common questions about EMV and chip technology. Additionally, you can download our helpful Users Guide as an additional resource.
What are chip cards?
A chip card - also called a smart card or an EMV card - is a debit or credit card that contains a microprocessor that enhances the security of cards during point-of-sale transactions.
These cards, already in use in much of the world, use a security standard originally developed by Europay, MasterCard and Visa (EMV) as a way to fight card fraud resulting from theft, skimming and counterfeiting. The EMV technology has been adopted by the other major card brands and issuers.
Is a chip card more secure than magnetic stripe cards?
Yes. Chip cards add an additional layer of security to the safeguards that already protect cards. Each time a cardholder uses their chip card it generates a code that is unique to that transaction. This makes it harder to counterfeit a card or to use it fraudulently for in-store purchases.
What information is on the chip?
The chip contains information about a cardholder’s account and the card expiration date. It also generates a unique code for every transaction when used with a chip-enabled terminal at the point of sale.
Can a chip card be used anywhere?
Yes. Chip cards can be used virtually anywhere this brand of card is accepted in the U.S. and around the world. If a merchant has a chip-enabled card terminal, cardholders will insert their card during the transaction. In the U.S., cardholders will still be able to ‘swipe’ their card to make a payment if a merchant has a regular terminal. They will need a PIN to be able to make a transaction at an ATM.
**Some merchants who accept chip enabled cards may only accept transactions using a PIN.
How do cardholders use a chip card?
Start the payment process by swiping your card. If the merchant’s terminal is chip-enabled, you will be prompted to insert your card.
- Insert the card, face up and chip end into the chip-enabled terminal.
- Leave the card in the terminal during the entire transaction.
- Follow the instructions on the screen and either sign their name or enter their PIN as needed. They need to be sure to remove their card and take their receipt when the
transaction is complete.
If the terminal is not chip-enabled, the transaction will process as it normally does from the initial swipe.
What if a merchant doesn’t have a chip-enabled terminal?
For merchants without chip-enabled terminals, cardholders will ‘swipe’ their card through the terminal, just as is done today.
Can cardholders still use their current card?
They can use their current card until they get a chip card. At that time, they should activate the new chip card and start using it. They should destroy their old card by cutting it up or shredding it.
Do they need to sign the back of the card?
Yes. They still need to sign the back of their card.
Can a chip card be used to make purchases online or by phone?
Yes. There is no change to that process. Chip cards can be used to make these purchases the same way as is done today.
Can chip cards be used at an ATM?
Yes. For ATM transactions, cardholders will insert their card into the terminal and follow the instructions on the screen. Depending on the type of ATM, they might be prompted to re-insert their card. They will leave the card in the ATM until the transaction is complete and the card is released. Then they will remove their card and any money they might have withdrawn.
What is the difference between chip and signature and chip and PIN?
Cardholders might be asked to provide their signature or enter their PIN to complete a transaction when they use their card. They will need to use their PIN at ATMs and it might be required at some unattended card terminals such as fuel pumps and payment kiosks.
**Some merchants may require the use of a PIN to complete a transaction when used as chip. If a consumer needs a replacement PIN, they may visit their nearest Sturgis Bank & Trust Company Banking Center to order.
What happens if a chip card is lost or stolen?
- Consumers need to report a lost or stolen card promptly by calling the number listed on the back of their card 269-651-9345.
- Replaced cards will be issued with new account numbers.
- Remind cardholders that they will need to update any automatic payments with their new
Is there a replacement charge?
Sturgis Bank & Trust Company currently does not charge a replacement charge for VISA Check Cards.
How are they protected?
All cards that we issue come with 'zero liability protection,’ so cardholders are not held liable for unauthorized transactions if a card is stolen, lost or fraudulently used at a merchant or online. It is important that they promptly report a lost or stolen card or any suspicious transactions. Remind them to check the applicable agreement for their account on liability and reporting requirements for unauthorized transactions.
Will chip cards prevent data breaches?
While chip cards won’t prevent the types of large-scale data breaches that have hit some merchants, they do make it extremely difficult to produce counterfeit cards from that stolen data.
Can cardholders be tracked with their EMV cards?
No. Chip cards contain no tracking information.
Can cardholders request a chip card before the scheduled rollout date?
No. As of April 26, 2016 all cardholders who were not previously issued a chip card were included in a mass production to reissue their existing cards to chip enabled. New chip cards will be mailed directly to each cardholder. Cardholders should begin to receive their new chip cards approximately two (2) weeks from the production date.
Will all of our cards be chip cards?
Yes. All Sturgis Bank & Trust Company issued cards will be chip enabled. This will include all Personal, Business & Health Savings Account VISA Check Cards.