2015 era of chip enabled cards

[QuarterMillionMan]

Has anyone gotten a new chip enabled card. The rollout of these chip enabled cards begins this year 2015. This is a link to Chase's chip cards (I have Chase so looking forward to getting mine).

https://www.chase.com/chip

[kork13]

Yep. About half of my credit cards are now chip cards. However, only a handful of places that I shop/spend money actually are able to use the chip (even though about 25% of the time they have the required card reader equipment). Also, I have only seen chip/signature thus far in the US, versus the chip/pin that is common overseas.

I don't remember the details, but I believe that all American credit cards will be required to be chip-enabled by sometime in 2016, or something like that. The US is only a decade or more behind the rest of the world... No big deal... lol

[safari]

The new "chip & signature" program is barely an improvement on security and fraud, said Mike Cook, Wal-Mart's assistant treasurer and a senior vice president, at this week's Electronic Transaction Association's Transact conference in San Francisco. Cook said Wal-Mart would have preferred a "chip and PIN" system that Europe and Africa have, since PINs would protect cards from being stolen.

"The fact that we didn't go to PIN is such a joke," Cook told CNNMoney.

Cook said signatures on checks were sufficient 100 years ago, but they're outdated today. PINs on debit cards were a major improvement to stop thieves decades ago. They'd do the same for credit cards -- which is why banks should use them for all cards.

"Signature is worthless as a form of authentication," Cook said during a presentation at the conference. "If you look at the Target and Home Depot breaches ... not a single PIN debit card needed to be reissued in those breaches. The card number was worthless to the individual thief and fraudsters, because they didn't know the PIN."

Link to the full article: http://money.cnn.com/2015/04/03/tech...t-credit-card/.

[CashUp Sammy]

Had a few of them for a while now.

It's a small thing but makes a big difference at check out. ask for it in your next cards!

[creditcardfree]

Yes, my Citi Thank You Preferred and the DiscoverIt cards have been issued or upgraded with the chip. I also have an American Express that was issued with the chip about this time last year.

[marvholly]

I wonder how chip & PIN is going to work for auto charged things. I have 2 cards that are charged for certain things of a regular basis.

Another thing I plan to do is use a special PIN for these auto bill cards separate from ANY other I have/use. If those PIN numbers are floating around the internet you can bet they can & will be hacked.

[disneysteve]

The US is only a decade or more behind the rest of the world.

Exactly!

My Marriott card switched to a chip a year or so ago. We actually got our new Chase Freedom cards on Friday. The only cards that haven't switched yet are our Discover cards.

[herdjohnson]

I signed up for a Barclaycard specifically because it's one of the few American cards that are true chip and pin cards. My wife and I are going to Ireland next month so I really didn't want to run into issues over there.

[disneysteve]

I signed up for a Barclaycard specifically because it's one of the few American cards that are true chip and pin cards.

What do you mean by this? Are the chip cards we're all getting not "true chip and pin cards" that will work overseas?

[rennigade]

The only card I have with a chip is a citi mastercard. As run down as puerto rico is...even they had the machines that made you stick the credit card in and not swipe. I didnt know how to use it the first time.

[disneysteve]

The only card I have with a chip is a citi mastercard. As run down as puerto rico is...even they had the machines that made you stick the credit card in and not swipe. I didnt know how to use it the first time.

The first time I went to WalMart with my new Marriott card I had the same experience. I had never done it but the cashier knew the system just fine and showed me what to do.

[ua_guy]

I was just reading up on this, wondering when my slow bank is going to upgrade my card to a chip and signature version.

So, EMV technology comes in two flavors... Chip and signature, and Chip and Pin. The rest of the world uses Chip and Pin, whereas most issuers in the US have elected to go with Chip and signature. Chip and Pin reduces card-present fraud a bit more, as it would be pretty tough for a thief to guess your PIN at the transaction terminal. Anyone can scratch a fake signature on a terminal or paper receipt.

The goal of EMV is to reduce card-present fraud where your card data is encrypted/tokenized at the terminal where you swipe/insert the card, and that token is then sent to the issuing bank to complete the transaction.

It doesn't reduce online fraud if your card payment data is stored.

There is no US government mandate that anyone transition to the new technology that I'm aware of, however, starting in October 2015, there will be a "fraud liability shift" where the card copanies like Visa, MC, Amex, will hold issuing banks fiscally responsible for fradulent transactions if they do not begin using EMV for card transactions. Right now, the card company (Visa, MC, Amex) eats the cost of fraud instead of the issuing bank (Chase, Bank of America, First National, etc).

You can get Chip and Pin cards in the US, however, finding transaction terminals where the PIN is required will probably be pretty slim. Most will be Chip and Signature.

Welcome to the United States...where our infrastructure, education, healthcare, and financial transaction technology is the best!!* (As of 15 years ago, and in a lot of cases, even longer than that!).

[herdjohnson]

What do you mean by this? Are the chip cards we're all getting not "true chip and pin cards" that will work overseas?

The vast majority of chip cards that are going out right now are chip and signature, not chip and pin - you don't have a pin code with your card to verify your identity. In the US it doesn't really matter since they aren't required, but overseas (especially Europe) some places won't take chip and signature (mostly self-service ticket stations and such). I don't know if it will come up, but I'd rather be prepared than have to deal with it while I'm over there.

[Thrif-t]

I have a Chase Freedom Card and got my chip card sometime last fall. The only place I can use it by putting it in the slot is at WalMart, and even there if I want to swipe it I still can. Other places have the slot for me to put it in, but the employee's say it's not set up to use that way.

[ua_guy]

So, I had drinks last night with a friend of mine that has his hand in this stuff for a living.

Come October 15, the liability shift will be on the merchants for card fraud (and not the issuing bank, as I originally thought). So, if a retailer (say, Walmart) doesn't update their POS systems and back-end processing to be EMV -enabled to accept the new chip cards, then they will be forced to eat the cost of any card fraud going forward. If they enable and utilize EMV and also are in PCI compliance (Payment Card Industry Data Security Standards), then any mass card fraud is assumed liability of the card issuer (MasterCard, Visa, Amex, etc) and not the retailer.