EMV CAPABLE CREDIT CARD TERMINALS THE VERIFONE VX SERIES TOPS OUR CURRENT RECOMMENDED EMV CAPABLE – PCI 3.0 COMPLIANT CREDIT CARD TERMINALS MICHAEL CARTER In addition to the upcoming EMV Liability shift in October 2015, ALL Credit Card Terminals will need to be PCI 3.0 Compliant. Simplêfy has selected two terminals from our equipment list that meet those requirements that we recommend to our Merchants. VX520 Counter-top. The most advanced counter-top payment device, the VX 520 offers enhanced connectivity, unrivaled memory and unprecedented processing speed. Built with long-lasting components, flexible connectivity options and a brilliant back-lit screen – all grounded by the time-tested stability of the VX platform. The VX 520 works harder, faster, longer. It’s all here. VX680 Wireless. VeriFone’s VX 680 – a full-function, portable, payment device packed with performance, including optional integrated contactless and a large, color, touch screen. And all on the proven VX platform – making it the perfect choice for businesses on the go. EMV (EUROPAY, MASTERCARD, VISA AKA “CHIP AND PIN” PROCESSING) IS COMING! MICHAEL CARTER If your business accepts credit cards in person (card-present transactions) it is very important that you be aware of the following important changes that will be going into effect in October 1, 2015: How credit cards must be processed Whether your POS (point of sale system) or credit card terminal is capable of processing chip and pin transactions; and The liability shift that will occur, if merchants do not process or are not capable of processing with EMV required standards. Although these changes are a few months away, Simplêfy is providing this information now to assist you in planning and being prepared so that you avoid credit card fraud liability from customers using bogus or stolen credit cards at your place of business. As of October 1, 2015, VISA, MasterCard, Discover and American Express will initiate a Fraud Liability Shift for all Point of Sale Systems/Terminals not EMV capable! EMV has been in use in Europe and other countries to reduce credit card fraud for several years. The standard requires: Issuing banks to issue consumers a credit card with an embedded chip that can be read by EMV capable credit card equipment; Processors to be able to process EMV transactions on their platforms; and Merchants to have EMV capable equipment that can accept embedded chip cards. After October 1, 2015, liability (related to fraud if a card is processed that is bogus or stolen) shifts to whoever does not meet the EMV required standards. Examples Merchant Liable Customer uses a bogus or stolen credit card but the merchant does not use equipment that is capable of processing credit cards that are EMV capable (can accept chip cards). Processor Liable Customer uses a bogus or stolen credit card, Merchant is using EMV capable equipment and Issuing Bank has issued a credit card with embedded chip but Processor is unable to process EMV transaction. Issuing Bank Liable Customer uses a bogus or stolen credit card, Merchant is using EMV capable equipment and Processor is able to process EMV transactions but Bank does not issue an EMV credit card (with embedded chip). *Note, if all parties are able to process according to EMV standards, liability (for losses and all fees and charges related to fraud) will continue to be borne by the issuing bank. WHAT YOU SHOULD DO NEXT You should contact Simplêfy with a list of your current Credit Card Processing Equipment including the make and model number of the Credit Card Terminal(s) or readers at your location(s). Simplêfy will assess whether your equipment is EMV-Capable2, if your equipment is EMV capable, all that should be required is a software download. If your equipment is not EMV capable, it will either need to be replaced or updated. In certain cases, peripherals are being created that can be attached to your existing equipment which enables processing chip cards. Ask us for more information about this. Q&A Q. The EMV Liability Shift is not until October of this year, can I put off upgrading until then? A. We would not advise it. As the October date approaches, there will be a mass rush of Merchants trying to buy EMV-Capable equipment at the last minute. This may impact availability and hamper your ability to be compliant by the due date; and may reduce your equipment options and increase your cost. Acting sooner will ensure meeting the deadline and maximize your options and reduce your cost. Q. Does EMV affect e-Commerce and Mail/Telephone (MOTO) merchants? A. Not at this time. EMV only affects card-present Merchants who accept credit cards from customer’s in-person. Q. I use a mobile or POS application with a card swipe reader. Will I be required to upgrade my credit card reader? A. Yes. All card readers will need to be EMV-Capable in order for you to avoid being liable for credit card fraud via bogus or stolen credit cards. Q. Will an EMV-Capable Terminal support Apple Pay, Google Pay or NFC Capable Cards? A. Yes, some but not all. Only contactless terminals with NFC (near field communication) are able to process Apple or Google Pay. Some of these terminals are more expensive than others. You should contact us to determine what would be best for your needs. For any questions concerning EMV, please contact Simplêfy at (888) 341-2999 or send an email to EMV@simplefy.com. 1 Cards with mag-strips will continue to be used until replaced with EMV-Capable Cards by a consumer’s financial institution. For that reason, cards issued by U.S. based banks can still be swiped by standard credit card terminals or readers or EMV-Capable equipment until all credit cards and equipment have been upgraded or replaced. 2 Approximately one third of merchants already have a terminal that is or can be EMV- Capable (chip-ready). If the POS terminal is currently in use, it will need to be re-downloaded with the EMV baseline load followed by the standard processing download. All of the major card issuers have expedited issuance of EMV-Capable (chip cards) and getting them to their customers as quickly as possible. Call us to find out whether your terminal is or could be EMV-Capable.

EMV CAPABLE CREDIT CARD TERMINALS THE VERIFONE VX SERIES TOPS OUR CURRENT RECOMMENDED EMV CAPABLE – PCI 3.0 COMPLIANT CREDIT CARD TERMINALS - MICHAEL CARTER In addition to the upcoming EMV Liability shift in October 2015, ALL Credit Card Terminals will need to be PCI 3.0 Compliant. Simplêfy has selected two terminals from our equipment list that meet those requirements that we recommend to our Merchants. VX520 Counter-top. The most advanced counter-top payment device, the VX 520 offers enhanced connectivity, unrivaled memory and unprecedented processing speed. Built with long-lasting components, flexible connectivity options and a brilliant back-lit screen – all grounded by the time-tested stability of the VX platform. The VX 520 works harder, faster, longer. It’s all here. VX680 Wireless. VeriFone’s VX 680 – a full-function, portable, payment device packed with performance, including optional integrated contactless and a large, color, touch screen. And all on the proven VX platform – making it the perfect choice for businesses on the go. EMV (EUROPAY, MASTERCARD, VISA AKA “CHIP AND PIN” PROCESSING) IS COMING! - MICHAEL CARTER If your business accepts credit cards in person (card-present transactions) it is very important that you be aware of the following important changes that will be going into effect in October 1, 2015: How credit cards must be processed Whether your POS (point of sale system) or credit card terminal is capable of processing chip and pin transactions; and The liability shift that will occur, if merchants do not process or are not capable of processing with EMV required standards. Although these changes are a few months away, Simplêfy is providing this information now to assist you in planning and being prepared so that you avoid credit card fraud liability from customers using bogus or stolen credit cards at your place of business. As of October 1, 2015, VISA, MasterCard, Discover and American Express will initiate a Fraud Liability Shift for all Point of Sale Systems/Terminals not EMV capable! EMV has been in use in Europe and other countries to reduce credit card fraud for several years. The standard requires: Issuing banks to issue consumers a credit card with an embedded chip that can be read by EMV capable credit card equipment; Processors to be able to process EMV transactions on their platforms; and Merchants to have EMV capable equipment that can accept embedded chip cards. After October 1, 2015, liability (related to fraud if a card is processed that is bogus or stolen) shifts to whoever does not meet the EMV required standards. Examples Merchant Liable Customer uses a bogus or stolen credit card but the merchant does not use equipment that is capable of processing credit cards that are EMV capable (can accept chip cards). Processor Liable Customer uses a bogus or stolen credit card, Merchant is using EMV capable equipment and Issuing Bank has issued a credit card with embedded chip but Processor is unable to process EMV transaction. Issuing Bank Liable Customer uses a bogus or stolen credit card, Merchant is using EMV capable equipment and Processor is able to process EMV transactions but Bank does not issue an EMV credit card (with embedded chip). *Note, if all parties are able to process according to EMV standards, liability (for losses and all fees and charges related to fraud) will continue to be borne by the issuing bank. WHAT YOU SHOULD DO NEXT You should contact Simplêfy with a list of your current Credit Card Processing Equipment including the make and model number of the Credit Card Terminal(s) or readers at your location(s). Simplêfy will assess whether your equipment is EMV-Capable2, if your equipment is EMV capable, all that should be required is a software download. If your equipment is not EMV capable, it will either need to be replaced or updated. In certain cases, peripherals are being created that can be attached to your existing equipment which enables processing chip cards. Ask us for more information about this. Q&A Q. The EMV Liability Shift is not until October of this year, can I put off upgrading until then? A. We would not advise it. As the October date approaches, there will be a mass rush of Merchants trying to buy EMV-Capable equipment at the last minute. This may impact availability and hamper your ability to be compliant by the due date; and may reduce your equipment options and increase your cost. Acting sooner will ensure meeting the deadline and maximize your options and reduce your cost. Q. Does EMV affect e-Commerce and Mail/Telephone (MOTO) merchants? A. Not at this time. EMV only affects card-present Merchants who accept credit cards from customer’s in-person. Q. I use a mobile or POS application with a card swipe reader. Will I be required to upgrade my credit card reader? A. Yes. All card readers will need to be EMV-Capable in order for you to avoid being liable for credit card fraud via bogus or stolen credit cards. Q. Will an EMV-Capable Terminal support Apple Pay, Google Pay or NFC Capable Cards? A. Yes, some but not all. Only contactless terminals with NFC (near field communication) are able to process Apple or Google Pay. Some of these terminals are more expensive than others. You should contact us to determine what would be best for your needs. For any questions concerning EMV, please contact Simplêfy at (888) 341-2999 or send an email to EMV@simplefy.com. 1 Cards with mag-strips will continue to be used until replaced with EMV-Capable Cards by a consumer’s financial institution. For that reason, cards issued by U.S. based banks can still be swiped by standard credit card terminals or readers or EMV-Capable equipment until all credit cards and equipment have been upgraded or replaced. 2 Approximately one third of merchants already have a terminal that is or can be EMV-Capable (chip-ready). If the POS terminal is currently in use, it will need to be re-downloaded with the EMV baseline load followed by the standard processing download. All of the major card issuers have expedited issuance of EMV-Capable (chip cards) and getting them to their customers as quickly as possible. Call us to find out whether your terminal is or could be EMV-Capable.