Americans to be guinea pigs in vast chip-and-PIN security experiment

[jaebsf]

Interesting read

http://www.theregister.co.uk/2014/08/07/americans_about_to_become_guinea_pigs_in_chip_and_pin_experi...

[Open123]

"He warned that banks were changing their terms and conditions to make consumers liable for fraudulent use of smart-cards and, unless regulators get involved, this move will accelerate."

One of the main reasons I've always esched chip & pin.  The only time I'd ever use a chip & pin is for certain Merchants abroad.  Until consumer protection laws keep pace with the new technology, I will refuse any kind requring a pin to use period.

[Closingracer99]

---

@Open123 wrote:

"He warned that banks were changing their terms and conditions to make consumers liable for fraudulent use of smart-cards and, unless regulators get involved, this move will accelerate."

One of the main reasons I've always esched chip & pin.  The only time I'd ever use a chip & pin is for certain Merchants abroad.  Until consumer protection laws keep pace with the new technology, I will refuse any kind requring a pin to use period.

---

Isn't still illegal to do to move Liability to consumers ? 

[Open123]

---

@Closingracer99 wrote:

---

@Open123 wrote:

"He warned that banks were changing their terms and conditions to make consumers liable for fraudulent use of smart-cards and, unless regulators get involved, this move will accelerate."

One of the main reasons I've always esched chip & pin.  The only time I'd ever use a chip & pin is for certain Merchants abroad.  Until consumer protection laws keep pace with the new technology, I will refuse any kind requring a pin to use period.

---

Isn't still illegal to do to move Liability to consumers ? 

---

Not sure, since the letter of law applies only to signatures.  The law hasn't quite marched at the pace of new technology.  The last thing I'd want is to have a CC issuer use any ambiguity to try and make me responsible for fraudulent charges.

Until there's a precedent, I'm not using chip & pin in the US.

[Anonymous]

Awesome article! Thanks for the info. Did not like the part where the banks may change cardholder agreements holding the cardholder responsible for fraud! GADS! Aw ... the answer is CASH and no credit.

[cashnocredit]

Banks can't just change T&Cs to shift fraud to consumers. Consumers aren't responsible for card fraud unless they or someone they have let use their cards commt fraud which is the same as it is today. TC's can't override laws.

[jaebsf]

While this maybe true the fact is that most don't fully read the T&C's. The other fact is that under those exact circumstances people sign away rights everyday. Let's hope that the marketplace takes care of this as a competitive matter, because the law is likely to be slow to address this issue. Many of you may remember the point at which fraud protection became a competitive matter with debit cards. Soon every financial insituition was offering it.