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Visa Modifies Policies on Debit Routing

V

Visa Modifies Policies on Debit Routing

Visa (NYSE:V) today modified and clarified existing debit network routing rules to help merchants and acquirers better understand implementation options related to the adoption of EMV chip technology in the U.S. The modifications and clarifications follow new guidance recently issued from the Federal Reserve and address a Federal Trade Commission inquiry.

With Visa chip cards, debit routing and processing are enabled by two payment application identifiers (AIDs) on the chip – the U.S. Common Debit AID or the Visa Debit AID. The Common Debit AID can support any of the more than one dozen domestic debit networks that issuers can choose to offer in addition to Visa Debit. This provides merchants with the ability to select the network over which a debit transaction is processed or routed.

Visa is providing additional clarification that merchants can use the Common Debit AID exclusively to route U.S. debit transactions if they choose. Merchants are also not required to ask the cardholder to choose the AID or network for processing debit transactions. Merchants can continue to automatically ask, or prompt, a Visa cardholder to enter a PIN on in-person transactions, provided the cardholder can still use their card without a PIN if they prefer.

Additional information and supporting materials for merchants and processors can be found at www.visachip.com.

About Visa Inc.

Visa Inc. (NYSE:V) is a global payments technology company that connects consumers, businesses, financial institutions and governments in more than 200 countries and territories to fast, secure and reliable electronic payments. We operate one of the world's most advanced processing networks — VisaNet — that is capable of handling more than 65,000 transaction messages a second, with fraud protection for consumers and assured payment for merchants. Visa is not a bank and does not issue cards, extend credit or set rates and fees for consumers. Visa's innovations, however, enable its financial institution customers to offer consumers more choices: pay now with debit, pay ahead of time with prepaid or pay later with credit products. For more information, visit usa.visa.com/about-visa, visacorporate.tumblr.com and @VisaNews.

Visa Inc.
Connie Kim, +1 212-521-3962
cokim@visa.com
or
Sandra Chu, +1 415-805-4124
sanchu@visa.com