Some eftpos terminals risk being deactivated

With less than a week to go before outdated 5.1 versions of eftpos terminals will be deactivated, the latest figures from Paymark show about 180 businesses in Otago are still to update them.

About 116,000 terminals are connected to Paymark's network nationwide, 4500 of which are now at risk of being deactivated if they are not upgraded by next Wednesday, June 1.

Paymark chief executive officer Simon Tong said the remaining businesses which used the terminals were a concern because they had ignored "a multitude of communications and warnings".

"The response from most merchants has been fantastic and we are pleased to report that come June, over 97% of all transactions through our network will be processed by compliant terminals.

"The last thing we want to do is deactivate merchants from our network - we have been communicating with businesses for the past 18 months and our aim is to ensure that beyond June, everyone is able to operate as normal."

As a last measure, the company was telephoning each of the affected merchants. However, this would be their final communication, he said.

Christchurch merchants whose businesses were affected by the February earthquake would be offered an extension on their upgrade cut-off date.

"Come June 1, those merchants who have not upgraded will be deactivated from the network in a staged, automated process.

"The process will run over all of June and early July if necessary.

"We acknowledge that the upgrade is a cost to their business during tough times.

"However, the June 1 date has been public since 2008, and we have been communicating the need to move for over a year."

Mr Tong encouraged any Otago businesses with a 5.1 version eftpos terminal, or older, to contact Paymark immediately.

Paymark eftpos terminals are used by more than 74,000 merchants nationwide, and the network processes more than 75% of all electronic transactions in the New Zealand retail market on behalf of more than 50 card issuers and acquirers.

- john.lewis@odt.co.nz

 

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