While finance company executives know it’s important to originate vehicle installment contracts, they also understand it’s vital to keep those accounts current and monthly payments flowing into the company’s account.

In an analysis sent this week to SubPrime Auto Finance News, BillingTree head of corporate marketing Dave Yohe previewed three trends that will impact payments in 2016.

1. EMV? The next step is EMVco compliance and tightened CNP security

In 2015, EMV — which stands for Europay, MasterCard and Visa — was the “hot topic” as the industry looked to the liability shift on Oct. 1. Reports say the U.S. is migrating slowly to the new chip-and-PIN payment method with MasterCard reporting 46 percent of Americans had not received chip-and-PIN cards, and only 41 percent of merchants had installed terminals to accept them.

But as take-up of the new system increases, so will the importance of new compliance measures set up by EMVco — the consortium that manages EMV standards.

We predict a double edged sword for vendors in 2016. They will have to make sure they comply with EMVco standards for all payment methods — including contact, contactless, mobile and tokenization. At the same time security for card-not-present payments needs to be as tight as possible, as industry opinion predicts fraud moving towards these types of transactions due to the EMV liability shift.

2. Millennials disrupting traditional banking

In the 2015 Banking Industry Growth Strategy Survey, Bank Director found 60 percent of banking executives felt they didn't have the right products, services and delivery methods to address a “decidedly untraditional digital generation.”

In the payments space in 2016 as the number of millennials taking out loans, buying houses and signing up for auto finance increases, organizations that offer 'Generation Y' their preferred payment method will gain a competitive edge. This means offering them a path of least resistance at the payment stage — which means offering digital payment channels such as online portals, mobile and automatic interactive voice response.

3. Continued FinTech development

With the disruptive influences of a changing regulatory landscape and millennials' payment preferences, financial technology will continue its rapid development.

The U.S. is the global leader in Fintech investment according to Statista research, with $3.97 billion invested in 2014. We will see the emergence of modernized gateways to support the latest banking and compliance rules alongside an appetite for modern technology and devices.

Financial technology will be developed to support traditional and non-traditional channels in order to appeal to the widest possible customer range in 2016.