Reducing fraud and meeting liability shift deadlines from themajor card networks in 2015 are the big reasons for planning themove to EMV-enabled cards, according to credit unions surveyed byThe Members Group.

The Des Moines, Iowa, card processor, an affiliate of the IowaCredit Union League, said 59 of its 90 targeted clients, or 66%,responded to a recent survey and that 62% of them cited fraud andmajor card network requirements for the need to develop an EMV strategy.

“Nearly 14% of TMG's clients cite travelers as the primaryreason their financial institution is looking to issue EMV cards,”TMG added in a release this week about the survey.

The survey found that 59% of TMG clients are going to use chip-and-PIN cards, while 39% said they hadnot yet decided between chip-and-PIN or chip-and-signature cards.Forty-five percent said their smart cards would also support both contact and contactlesspayments.

The $8.3 billion Alliant – United Airlines Employees' CreditUnion until 2003 – is now fully implementing EMV technology withTMG, the company and credit union said.

“While we are, of course, interested in the additional fraudprotection promised by EMV, the primary driver for us is our memberexperience overseas,” Hatten-Kissick said. “More kiosks andunmanned terminals in international locations are EMV-enabled,creating a significant challenge for mag-stripe cardholders.”

Visa and MasterCard have set October 2015 as the date at which they willshift fraud liability to the least secure entity, and the TMGsurvey found that only 37% of its respondents plan to have adoptedEMV by then.

Another 52% were undecided and TMG said it anticipates the greatmajority of the undecided FIs will make the shift to EMV prior toOctober 2015 and that most will firm up their implementationstrategies within the next 12 months.