Credit Cards Changing To Chip + PIN

[nynor]

Originally Posted by jyl

Huge credit card data thefts that have hit US retailers in the last few years. Target was a huge one recently, TJ Maxx before that, and smaller thefts occur all the time.

There were some weird charges to my MC last month. Walmart purchases I never made. I called the card company to contest the charges and get a new card. The call center lady told me they have been slammed with similar calls, but expect the real wave of fraudulent charges in a few months.

It turns out that by 2015, credit cards in the US will move to a European system of chips embedded in the card, and a PIN that the consumer keys in. This is supposed to be more secure than the current magnetic stripe and signature system.

My question is, what do you think about the chip/PIN system? Those who have used it?

not sure how it would help, honestly. what i read re. the target breach was that they got the card numbers from debit cards AND the PIN. so, how would the above be any different?

[ossiblue]

Originally Posted by LakeCleElum

Chip cards have been common in Europe since the mid-90's.

The problem is the new "Chip" cards in the US is they still have the magnetic strip also. Called a "Hybird" card.......That were most of the fraud comes from, so no more secure at all.

For a true "chip" card in the US, retailers would have to have new hardware to read the card.

Also, card companies produce cards with the strip for about $1 a card. A chip card is more like $3 per card......Some banks have chosen to pay the cost of fraud vs more to produce the more expensive card.

There is a push to require retailers to have the chip reading systems by some date in 2015.....

October, 2015 to be exact.

Both MasterCard and Visa have stated that merchants who don't accept the chip cards by that date will be liable for the loss should a fraud occur. Conversely, if the merchant has the new chip reader but the bank does not issue the chip card, the bank will be liable for the fraud. I see the pace of the changeover accelerating in the coming months as more news breaks about the hackings and the fallout from the Target breach really begins to bubble to the surface.

[mikesride]

Originally Posted by Christien

I think the tap to pay is only usable up to certain amount, for small purchases. It's really convenient for things like a coffee, couple things at the convenience store, etc.

I don't think they still provide non-chip cards in Canada anymore - we've had chips for years now. Feels weird when I'm in the states and have to swipe my card

This was for $130.00.... See guys using the tap n go feature for gas all the time....my truck takes well over $130.00 to fill up. I would assume you are right about a limit, but I wonder what the limit actually is?

[livi]

You Americans still have the primitive magnetic stripe cards??

[JJ 911SC]

[QUOTE=Christien;7901079]... I don't think they still provide non-chip cards in Canada anymore - we've had chips for years now.../QUOTE]

I just got my American Express Costco renewal card and no chip as it got my photo on it.

Very useful in place like Las Vegas as they normally want to see a pic when you buy with a CC.