That&#x27;s not true for card-present transactions.<p>Before October 2015, issuers ate the fraud, not merchants.<p>After October 2015, the &quot;liability shift&quot; means issuers won&#x27;t eat the fraud if it&#x27;s a chip card and the merchant didn&#x27;t use the chip reader. Otherwise, they still eat the fraud.<p><a href="http:&#x2F;&#x2F;www.emv-connection.com&#x2F;downloads&#x2F;2015&#x2F;05&#x2F;EMF-Liability-Shift-Document-FINAL5-052715.pdf" rel="nofollow">http:&#x2F;&#x2F;www.emv-connection.com&#x2F;downloads&#x2F;2015&#x2F;05&#x2F;EMF-Liabilit...</a>