Did you know about this already? If you didn't got your chipped credit card yet, don't worry, it's probably still in the mailbox. Almost everyone already got their chipped credit card and yet not many experienced the supposed higher level of security they provide.
ABC News NY went to a few of the big retailers along with hidden cameras and their findings were shocking. Even though many stores like Staples and Bed Bath had the CC readers, they were telling customers to avoid using them – a bit odd since the credit card companies required the stores to use them since October 2015. A few retailers put duct tape over the slot where the card should be inserted
What's the problem with that, you ask?
It poses an enormous threat to credit card users.
Author of "Swiped" says that if a chipped card is swiped, the responsible for covering fraud charges will NOT be the merchant or the bank but the consumers - AKA, us!
“A lot of businesses have not read the memo. They don’t understand what kind of damage that’s brought on consumers anytime you have something like this,” Levin said.
The retailers put the blame on the credit card companies for delaying the chip use. They say that in order for the chip readers to be implemented, they first need to be certified. Retailers have many devices ready to use but still awaiting for the CC companies. Meanwhile, CC industry blames the retailers for waiting 'til the last minute to participate.
Although the response from MasterCard was "[...]we extended our already existing Zero Liability policy to all consumer and small businesses card in the U.S.; the consumer is protected.", ABC shared some advice on the matter:
- if you want to eliminate the risk at a merchant who still swipes, use cash or simply walk away.
- if you swipe, monitor your accounts carefully and make sure you report the fraud ASAP
While you might have to wait to use your chipped card, be on the lookout for phishing scams. Inbound calls, texts or e-mails wanting you to verify info on your new card is the latest of phishing scams out there.
Around me all merchants use the chip now. However this is a nice warning!
That's great, hope many people don't fall for this. I know Steemians are smart but just in case...
the irony of this is that my understanding was that the merchant loses, not the consumers.. so if you are right i'm going to use Crypto even more now!
Props for the amazing gif, hahahha!
Much appreciated!