Wednesday, October 1, 2014

Bank of America Begins Rollout of Chip Debit Cards | Business Wire

CHARLOTTE, N.C.–(BUSINESS WIRE)–Bank of America today announced that beginning this week it will include


chip technology on all new and reissued consumer and small business


debit cards. Bank of America already includes chips on the majority of


its credit card programs and is the first major U.S. bank to add the


chip technology to debit cards.


Cards with chip technology, which are also referred to as EMV (Europay,


MasterCard, Visa) cards, are embedded with a microprocessor chip that


encrypts transaction information. Each time the chip card is used, the


transaction data changes, making it more difficult to copy or


counterfeit the card.


Many countries outside the U.S. have already adopted EMV chip technology


and it is expected to become the security standard for card payments in


the U.S. as merchants begin adding chip-enabled terminals over the next


year.


“Chip technology is an important tool in increasing card security, and


we want our customers to have the best possible experience when using


their payment cards,” said Titi Cole, retail products and underwriting


executive for Bank of America. “The new chip-enabled debit cards will


improve security of customers’ transactions when traveling abroad and at


home as more U.S. merchants adopt chip technology.”


At merchant locations accepting chip transactions, customers will insert


the card into the chip-enabled terminal and enter the PIN or signature.


The cards include the traditional magnetic stripe so customers will be


able to swipe their cards just as they do today if the merchant has not


converted to the new technology. The new cards also work at ATMs just as


they did before.


Beginning in October, debit cards issued to new customers will


automatically include the chip technology. Existing customers will


receive chip cards when their existing debit cards are replaced upon


expiration or for any other reason.


Bank of America has been adding chips to its consumer, commercial and


corporate credit cards in the U.S. since 2012.


“We will continue to be a leader in the protection of our customers’


cards and in the prevention and detection of fraud,” added Cole. “We are


on track to convert our card portfolio to EMV and expect to have the


majority converted by late next year.”


Bank of America

Bank of America is one of the world’s leading


financial institutions, serving individual consumers, small businesses,


middle-market businesses and large corporations with a full range of


banking, investing, asset management and other financial and risk


management products and services. The company provides unmatched


convenience in the United States, serving approximately 49 million


consumer and small business relationships with approximately 5,000


retail banking offices and approximately 16,000 ATMs and award-winning


online banking with 30 million active users and more than 15 million


mobile users. Bank of America is among the world’s leading wealth


management companies and is a global leader in corporate and investment


banking and trading across a broad range of asset classes, serving


corporations, governments, institutions and individuals around the


world. Bank of America offers industry-leading support to approximately


3 million small business owners through a suite of innovative,


easy-to-use online products and services. The company serves clients


through operations in more than 40 countries. Bank of America


Corporation stock (NYSE: BAC) is listed on the New York Stock Exchange.


For more Bank of America news, visit the Bank


of America newsroom.


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