1. Problems – Technical Requirements
Presented by
David Cole

2. Infrastructure
This is what the whole EMV project is about at this time.
To get interoperability around the country and world we have to upgrade all:
Terminals
ATMs
Card Schemes
Front end systems
Back end systems
Any other affected system
Contracts
Training

3. Terminals and ATMs Affected by Card Scheme Mandates
The card schemes have all published level one and level two standards which every terminal must comply.
Level One is at the electro mechanical level
Level Two is at the EMV Application level.
For Integrated Point of Sale Systems EMV software kernels are being certified.
The basic standards and infrastructure are there to do it now.

4. Front End Systems Affected by Card Scheme Mandates
These are systems that:
Route transactions
Run POS terminals
Run ATMs
Interface to the Card Schemes for Authorisation
They are or are being upgraded at this time
However there is a migration for the Acquirer or ATM Acquirer
However the change required is understood and known

5. Back End Systems
Not Affected by Card Scheme Mandates beyond clearing interfaces.
But because of the EMV link between the Card and the Account these will become key to the use of EMV in the future.
Much has been updated but it is where most of the developments will be and where the profitability of EMV will lie in the future.

6. Card and Merchant Management
These are the systems that run the accounts for card and merchant accounts
EMV covers some of the areas that will be affected but not all:
Scripts
Disputes
Additional Data for Authorisations

7. Retail Banking Systems
In many countries these are the systems that run the debit cards.
Some have been upgraded, some haven't.
Upgrading these systems to accept larger transactions and to store more data is a large project

8. Other Systems Affected
These will be systems within other companies or other parts of the bank that will take space on the chip for their applications.
This will slow down the launch of new products and upgrades to existing products
It will add complexity and cost to the business
However it will also add extra profitability

9. Card Production and Personalisation
This needs the addition of extra modules to:
Personalise the chip
Hold the card profile (the program on the chip)
Produce the DES and PKI keys needed on the card
The way the card is sent out may change from inserting the card in a carrier to gluing it to a letter.
Q&A Tools are needed to check that the chip and the magnetic stripe are both correct
July 18
Caribbean Electronic Payments LLC

10. Multi – Applications Adding more than one application to a card needs:
The ability at card production to add the new application
Co-ordination and synchronising PINs, Expiry dates, etc.
Ensuring the ATM, POS and ePOS devices can support more than one application on a card
Allowing the cardholders to choose which application they want to use
Providing menus on the screen to allow choice.
July 18
Caribbean Electronic Payments LLC

11. Security, PKI, DES and the Internet
The card application needs enhanced HSM models to run DES and PKI key schemes.
Internet security is poor, some form of two factor authentication may be required for internet and mobile banking and purchases.
July 18
Caribbean Electronic Payments LLC

12. Fraud Monitoring
Fraud Monitoring of all payment channels, POS, ATM, Accounts, Clearing etc. will be needed.
Fraudsters like markets new to EMV etc.
Fraud will probably increase
Monitoring every transaction makes sense and will save money
July 18
Caribbean Electronic Payments LLC