Community

"Data is protected from the point of swipe and through Heartland's processing network" unfortuantely it's not protected AT the point of swipe. For better protection EMV secures the token not just the pathway. The original arguements about cost of new terminals in the US is now diminishing as most devices installed over the last few years are EMV capable. Come on USA join the the rest of the world and introduce EMV cards and terminals.

Chip and PIN - Resistance is Futile, You will comply.

What seems to have escaped the Banks attention is that the disputes cost them money to delay sorting out. I know that merchant acquirers balance the cost of defending a chargeback against the administration cost of gathering the required data i.e chargeback £12, cost of getting the information in time and resources £25 - it's cheaper to just give the £12 back. In prolonging a dispute the bank is not only upsetting the customer they are running up their own cost. A speedy resolution would benefit everybody but unfortunately the compartmentalised institution just don't see it.

Didn't this used to be Girobank plc before it was sold to Aliance and Leicester.

Sounds to me like a very stong steel door on a grass hut. It doesn't matter how secure the medium over which the data is transmitted if the device supplying the data is insecure (the magnetic stripe). I understand one of the reasons raised for the US not implemeting EMV is the cost of replacing the terminal estate. I would guess a lot of the terminals already have chip readers in and those older terminals that don't probably won't be able to support the crypto or security requirements for this solution.

Robert,

There is the point that you haven't mentioned "he yelled for the women who were already using my ATM to stop" - pepole were prepared to use the ATM and to a fraudster it would have been worth parting with a few dispensed dollars to get not just the card numbers but the PIN numbers as well.

There have been cases in Europe of vacant stores next to Banks being fitted with an "ATM" then after the Bank has closed the fraudsters cover the real ATM with an Out of Order sign and direct customers to the fake ATM.

With a real ATM the options are endless you could even fit a camera inside to read the Card Security Code off the signature strip.

David I thought "RyanAir" and "free" were mutually exclusive in any sentence!

So I can use my iPhone to skim cards. All I need is the ability to key in the security code from the back of the card "There'll be an app for that". Oh you could change it to ask for a PIN (you know how persuasive fraudsters can be) then twitter the details to all you criminal followers "There'll be an app for that".

Marite,

I didn't say the two card idea was novel - yes it's been around for years.

"How can you possibly motivate a country to solve your problem when its fraud rate is less than half yours?"

Shouldn't this be OUR problem because ultimately we all pay for fraud and I would question the statement that the US has less fraud; they tend to measure it in a different way which makes it look less than it is.

EMV isn't just about fraud it also offers control to the issuer to manage cardholders' spend at the point of sale and to develop other products and services. With EMV it is possible for an Issuer to issue cards that may only be used in a restricted type of retail environment (eg T&E) the terminal and card can determine this without reference to the Issuer host - try doing that with a magnetic stripe.

CNP does continue to be an issue - I'm currently working with a company that have a new approach (NDA means I can't say much) but it won't be a rapid adoption as it is reliant specific enviromental changes (sorry it's vague) but when it was demonstrated to a global card scheme it created an OMG moment - and yes it uses EMV.

For the international traveller it has been suggested, in the past, that you have two cards with different numbers - one for the EMV world and one cheap magstripe for the non-EMV world. On a different but practical point even a chip only card would have to have some mag tape on - it's how ATMs detect you have the card in the right orientation. Additionally removing the tape would reduce the life of the magstripe reader (magnetic tape is soft compared to plastic) that would have to remain for non-EMV vistors.