Credit card fraud

[manning]

Just got my new American Express credit card today.

It has the new chip technology. Now to find the machines that will use them

It still has the magnetic strip.

 

[Gigi22]

If it still has the magnetic strip, you card can swiped on non-chip machines.

 

[mrsp1030]

Any card with chip and pin will work the same way as your older card. Until the US adopts the system used in Europe, it will not change. The chip and pin is there so if you travel internationally you won't have difficulty using the card. Our Marriott card has been like this for over a year now.

 

[bdcp]

We just got notified that our USAA credit card will be changing later this year to chip, but will still have the magnetic strip. It specifically said, it can be swiped just like it currently can, but can also be used anywhere they have a chip reader, such as Europe. It will be some time before the US switches over completely.

 

[Jeff_G]

If it happens it will take the US at least 5+ years to switch over to chip and pin.

I don't think we will switch unless we have a few more major data breaches and only then after congress forces the industry. Right now its simply easier to pass the costs of the fraud onto us consumers.

 

[manning]

At least it is a start. Like everything it is evolution not revolution that takes place.

 

[clh2]

One of our credit cards has had a chip in it for about 9 months or so.

The last time I used it at Walmart - they now have chip readers in addition to the magnetic stripe readers.

 

[pigletto]

Where we are in Canada it's been entirely chip and pin for a few years at least. I don't remember the last time I swiped my card as every machine in every store I use takes the chip. The machines do still have the swipe option though.
Make sure not to leave the card in the machine. I was so used to swiping (which leaves the card in your hand) that I forgot my card quite a few times with the chip.. Stores had signs up because people were forgetting them. Now most machines have an alarm or beeping that occurs to remind you to take your card back.

 

[sunshinehighway]

If it happens it will take the US at least 5+ years to switch over to chip and pin.

I don't think we will switch unless we have a few more major data breaches and only then after congress forces the industry. Right now its simply easier to pass the costs of the fraud onto us consumers.

Credit card companies in the US are supposed to switch by the end of 2015, October 2015 I think.

 

[njmom47]

Credit card companies in the US are supposed to switch by the end of 2015, October 2015 I think.

By October 2015, merchants are required to have updated their systems to accept chip and pin technology.

(I work for a very large company where at least 40% of our customers use credit cards. I also deal with the fraudulent transactions that occur in our company. This technology is supposed to virtually eliminate fraudulent transactions....maybe I won't have to spend so much time on this after that date!)

 

[ellochka]

By October 2015, merchants are required to have updated their systems to accept chip and pin technology.

(I work for a very large company where at least 40% of our customers use credit cards. I also deal with the fraudulent transactions that occur in our company. This technology is supposed to virtually eliminate fraudulent transactions....maybe I won't have to spend so much time on this after that date!)

That's good info, thanks!

 

[tvguy]

By October 2015, merchants are required to have updated their systems to accept chip and pin technology.

(I work for a very large company where at least 40% of our customers use credit cards. I also deal with the fraudulent transactions that occur in our company. This technology is supposed to virtually eliminate fraudulent transactions....maybe I won't have to spend so much time on this after that date!)

In store fraud has gone down with chips. Online fraud has gone up.

http://www.bizjournals.com/bizjourn...doption-will-boost-online-fraud.html?page=all

 

[bdcp]

In store fraud has gone down with chips. Online fraud has gone up.

http://www.bizjournals.com/bizjourn...doption-will-boost-online-fraud.html?page=all

I was going to post that. I had read that. The fact is, there will always be theft and fraud because someone will figure out how to. My concern is that people buy into thinking chips are 100% safe and get lax with their cc's.

 

[lost*in*cyberspace]

We just got notified that our USAA credit card will be changing later this year to chip, but will still have the magnetic strip. It specifically said, it can be swiped just like it currently can, but can also be used anywhere they have a chip reader, such as Europe. It will be some time before the US switches over completely.

I have a USAA chip and pin cc. You don't have to wait for USAA to issue the cards; you can ask for one now. All chip and pin cards still have a magnetic strip.

Please note AMEX chip cards issued to US cardholders are not chip and pin cards, they are chip and signature cards.

You can still have difficulty using a true chip and pin card in Europe. I tried using mine about a week ago in Oslo at the post office; they wouldn't take a US bank issued card! First time that has happened to me.

 

[ellie05]

My Amex has had a chip since I open it 7 years ago. Never had an issue with fraud.

 

[Anthony1971]

Do not see how this will stop fraud being most information is stolen from online transactions... or at the POS as in Targets case.
I buy the systems for our company as well as deal with the fraud.. I can tell you there will always be a way but now it is all on the retailer not the credit card companies. As far as passing the burden to the consumer... all the new rules that have to be followed and fees for mandatory services cost more than the fraud these days... and yes the consumer pays them in the price of what they buy how else could it be paid for
Just an FYI should these rules not be followed and your Fraud is at a high level V/MC and AMEX will raise the rate the retailer pays or drop them depending on the percentage of Fraud. (although it is not actually V/MC and Amex there is an in between processor) I could write a book on the what I have seen and learned through the years.

 

[sunshinehighway]

I have a USAA chip and pin cc. You don't have to wait for USAA to issue the cards; you can ask for one now. All chip and pin cards still have a magnetic strip.

Please note AMEX chip cards issued to US cardholders are not chip and pin cards, they are chip and signature cards.

You can still have difficulty using a true chip and pin card in Europe. I tried using mine about a week ago in Oslo at the post office; they wouldn't take a US bank issued card! First time that has happened to me.

Most US chip cards are chip and signature. I have cards from three different banks with chips, Chase, Bank of America and Amex. They are all chip and signature.
I actually looked for a chip and pin card for a European vacation but could only find one or two and they were only issued by credit unions ( I think). Luckily I had no problems using my cards on that trip though.

 

[lost*in*cyberspace]

Most US chip cards are chip and signature. I have cards from three different banks with chips, Chase, Bank of America and Amex. They are all chip and signature.
I actually looked for a chip and pin card for a European vacation but could only find one or two and they were only issued by credit unions ( I think). Luckily I had no problems using my cards on that trip though.

I have a true chip and pin MC issued by USAA. This flyertalk.com discussion may be of interest:

http://www.flyertalk.com/forum/cred...-available-today-chip-pin-chip-signature.html

 

[Jeff_G]

By October 2015, merchants are required to have updated their systems to accept chip and pin technology.

(I work for a very large company where at least 40% of our customers use credit cards. I also deal with the fraudulent transactions that occur in our company. This technology is supposed to virtually eliminate fraudulent transactions....maybe I won't have to spend so much time on this after that date!)

That means by 2015 they must accept the chip and pin, it does not mean that must do away with the older magnetic stripe technology. Until the processors will no longer accept a transaction from anything but chip and pin, credit card fraud from duplicating the card will still be possible.

"The new EMV credit card system the U.S. is set to migrate to by October, 2015 will use microchip-enabled credit cards, but still allows customers to sign for their payments. Banks can choose to issue cards that require a PIN number instead of a signature, but the switch to PINs will not be required in October 2015"


Also we should be aware that in some parts of Europe the liability now falls on the consumer to prove a transaction was not make by the owner of the card. So it shifted liability from the credit card processor to the individual.


Overall I think the Chip and PIN move is a good thing, I just dont see the fraud being eliminated, they will just switch to something else...

 

[Tanzanite]

I had so much trouble with my credit card in Europe cant wait until US finally gets chip and pin Heathrow Airport my Bof A card would not work through machine as no chip and pin so annoying thank goodness I had cash as my kids would not have got food. Also one time because no pin on it the guy at a restrauint run it 3 times thought it no good when I got home 3 charges they only know chip ones .I called Bof A could not do anything to solve problem until get up to date system. I got extra charges taken off but I try to take cash as I worry I will get stuck with no card.