 |
This is a three-step process that culminates, in October 2015, with Visa shifting some forms of fraud liability from itself to those merchants who haven't adopted chip technology. That's quite an incentive. Credit card companies ...
The Capital One VentureOne rewards card offers major rewards & flexibility with no annual fee and 0% intro APR on purchases until July 2012.
Cardholders earn 1.25 miles per dollar on every purchase. No limit to miles earned & miles never expire. Use VentureOne rewards points for flights, cruises, hotels or rental cars from ANY web site or travel agency. There are no foreign transaction fees.Excellent credit required.
Chip technology greatly reduces a criminal?s ability to use stolen payment card data by introducing dynamic values for each transaction. Even if payment card data is compromised, a counterfeit card would be unusable at the point of sale without the presence of the card?s unique elements.
The Capital One VentureOne rewards card offers major rewards & flexibility with no annual fee and 0% intro APR on purchases until July 2012.
Cardholders earn 1.25 miles per dollar on every purchase. No limit to miles earned & miles never expire. Use VentureOne rewards points for flights, cruises, hotels or rental cars from ANY web site or travel agency. There are no foreign transaction fees.Excellent credit required.
Chip & PIN doesn?t come cheap. The credit cards themselves cost a little more to produce, but the real burden comes from having to upgrade the entire payments infrastructure. That?s one thing in Europe, where each country tends to have a population ranging from a few million to a few tens of millions. It?s quite another in the United States, where there are so many more people. Imagine the cost of swapping out every credit card terminal in the country.
Well, that money?s going to have be found anyway pretty soon, because near field communication (NFC) ?contactless? payments are gradually but inevitably taking off. NFC payments occur when you wave your card or smartphone near a terminal rather than hand it over to a clerk or waiter for processing.
So Visa has decided to seize the opportunity to introduce Chip & PIN at the same time as NFC. It?s doing so by incentivizing merchants to buy the necessary new technology. This is a three-step process that culminates, in October 2015, with Visa shifting some forms of fraud liability from itself to those merchants who haven?t adopted chip technology. That?s quite an incentive.
Of course, Chip & PIN can only take off in this country if credit card companies issue cards with chips. Few have done so yet, and those that have (including American Express, Chase and Wells Fargo) have naturally targeted business and other regular travelers, who often experience problems with credit card use in Chip & PIN territories. Just last week, Citi announced that it was to launch its Citi Corporate Chip & PIN card.
So will card issuers do the same for purely domestic customers? The chances look good. Anything that makes credit card use more secure has to be a good idea, providing the costs don?t outweigh the benefits. Up until now, those costs have been too high, but if a new processing infrastructure has to be introduced anyway, then the whole equation changes. So stand by for Chip & PIN.
Share this article with:Digg It! Stumble It! Tip It! Delicious Facebook Leave a Comment Name (required) Mail (will not be published) (required)
How much interest do I pay when I revolve my credit card balances?How much could I save with a lower interest credit card?How much do I need to pay each month to pay off my credit card?How long will it take to pay off my credit card?