What is Credit Card Truncation?<\/strong>
\nCredit Card Truncation is the removing of all but the last 4 digits of the credit card number and the expiration date from the customer’s transaction receipt. The merchant’s copy of the receipt is not required to be truncated. Many businesses complain that customers cross out their numbers on the merchant’s copy of the receipt, but the merchant is allowed to keep these. <\/p>\nI don’t recommend storing them unless you can provide security for them, due to the ease of an employee or a thief to commit credit card fraud with them.<\/p>\n
Why is truncating important?<\/strong>
\nPeople being very careless with their credit card receipts has led to a rise in credit card fraud from receipts getting found by the wrong people. Truncating the customers copy of the receipt protects the customer and other merchants from fraud when the consumer looses or disposes of their receipt.<\/p>\nWhat are the penalties?<\/strong>
\nAs of now Visa and MasterCard policies are still not completely in effect for all business in all states. New terminals must all be truncation compliant, and existing terminals have until July, 1 2006 to be truncation compliant. But, many states have stepped forward and created their own regulations. Regulations in states are anything from a small monetary penalty to a class D felony in Kentucky.<\/p>\nVisa and MasterCard penalties are as follows:<\/strong>
\n1st Violation – $5,000
\n2nd Violation – $10,000
\n3rd Violation – $25,000
\n4th Violation – $50,000
\nWillful or Egregious Violation – $500,000\/month<\/p>\nVisa and MasterCard can also shut down a businesses credit card processing and prevent them from accepting credit cards ever again.<\/p>\n
Besides these reasons, it is just a bad business practice to not truncate. Why should a business have the right to jeopardize the security of a consumers credit card. <\/p>\n","protected":false},"excerpt":{"rendered":"
I wrote a lengthly truncation article about two years ago on my business website, and I think it is important enough to post an article about it here. Visa and MasterCard have slightly different policies regarding truncation so I will cover the most restrictive here. Please refer to Credit Card Truncation if you would like […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2,1],"tags":[],"class_list":["post-32","post","type-post","status-publish","format-standard","hentry","category-credit-card-equipment","category-merchantaccounts"],"_links":{"self":[{"href":"https:\/\/www.merchantequip.com\/merchant-account-blog\/wp-json\/wp\/v2\/posts\/32","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.merchantequip.com\/merchant-account-blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.merchantequip.com\/merchant-account-blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.merchantequip.com\/merchant-account-blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.merchantequip.com\/merchant-account-blog\/wp-json\/wp\/v2\/comments?post=32"}],"version-history":[{"count":0,"href":"https:\/\/www.merchantequip.com\/merchant-account-blog\/wp-json\/wp\/v2\/posts\/32\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.merchantequip.com\/merchant-account-blog\/wp-json\/wp\/v2\/media?parent=32"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.merchantequip.com\/merchant-account-blog\/wp-json\/wp\/v2\/categories?post=32"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.merchantequip.com\/merchant-account-blog\/wp-json\/wp\/v2\/tags?post=32"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
![\"Credit](\"https:\/\/www.merchantequip.com\/merchant-account-blog\/images\/receipt.jpg\")