Please explain to me the advantage of these new credit card readers.

Speaking as someone who's been installing these terminals for the past few months, the biggest blame comes on the terminal manufacturers who can't keep up with the demand.

My company wanted to stay with Verifone equipment, but the huge merchants like a Walmart, Target, etc were taken care of first by Verifone and we basically got put on a waiting list. Once it got to a point that we had to have a large quantity of terminals in a short amount of time, we had to switch over to Ingenico... which their chip reader isn't currently supported/certified though our EFT processor. So now that we have chip readers in place, we're having to wait on our processor.

From my observations though, customers are eager to start using the chip readers.

 

Multiply everything by a factor of 10 here vs. Canada. One of the reasons for the slow roll out of the chip readers in the US is due to delays in getting merchants' terminals certified. Because of this delay, merchants are on the hook for fraud.

But I do like how restaurants in Canada handle CC transactions. The waitress came to the table with a wireless credit card reader and printed out a receipt, the card never left my possession.

 

EMV- to fight Multi-Billions in Fraud

The switch is to assist in the fight-vs-Multi-Billions in C.C. Fraud.

To:Joe, it's not your Credit card in your wallet, it's your Credit card # that's being stolen from Processors,
merchants, like target & home depot & skimming operations, to proceed with the fraud, you don't have to loose your card for the # to be stolen.

The short course:
It's Called EMV, for Euro-Pay MasterCard-Visa

One thing I like in Europe is, they bring the CC terminal to your table.
No Sneaky Waitstaff doing Juju on your CC. in the back room.

The new standard went into effect Oct 1, 2015, and the whole switch is a ClusterF%%K
& is why many merchants still use the swipey method of a point of sale credit/debit transaction-at their peril.
The Card processors were not at all prepared for the "forced switch", lacking in software, registers,
support & even a shortage of EMV Terminals to supply merchants for the switch,
Even the banks waited mostly till the last min to issue EMV Credit cards to their customers.

I have still yet to ever see one single EMV Gas-pump, so until it's more commonplace,
the fraud will continue.

 

1 - Until it is reported stolen/lost, it can be used. Keep in mind, it could be lost for weeks and some folks would not know.
2 - The chip is much harder to make counterfeit cards.
3 - This is not so much about being lost or stolen at all.
4 - If and when we go to the chip AND a pin, a stolen or lost card will be much harder to use.

 

https://www.rbcadvicecentre.com/how-will-chip-and-pin-technology-benefit-me

The sooner America starts getting on board with credit card security the better. My chip and pin card has been ripped off twice in the states because all the details are retained.

The chip and pin machines you use are really crap at the moment though. In Europe we use contactless for most purchases under $40 (every now and again it asks for your pin, otherwise you just tap your card on the reader) and everywhere has bluetooth wireless machines that take less than a couple of seconds to authorise a transaction.

 

Your comfort level shouldn't be quite so high with this process.

Nick

 

The credit card readers are still new here in the US. It will be slow to start as it it. It will be ok as we adapt. It won't be long before we don't ever talk about them again.

 

It was my understanding that gas stations, at the pump purchases, were exempt from this law.

 

No, they were just given an exemption for the initial rollout date. They have an extra year to comply.

As for the long time to rollout in the US, the original problem was that no one wanted to pick up the tab for the switchout. The Target breach made them take notice, especially since everyone affected got free credit monitoring at minimum. I am not convinced that even a full chip and pin system will protect us from skimmers as US thieves are quicker than anyone to adapt. Plus none of this helps for internet transactions. But I think this will help at least with data breaches at retailers that fully implement.

 

Chip-Card Payment System Delays Frustrate Retailers

Here is a good article that explains the delay.

http://www.nytimes.com/2016/03/23/business/chip-card-payment-system-delays-frustrate-retailers.html?_r=1

 

Yes, US merchants have a year (from Oct 2015) to convert their machines over to the new chip machines so unfortunately Joe you will have to live with the new chip machines.

One of the reasons for merchants to convert is that cc companies will no longer be responsible for loss from stolen cards being used at stores that don't have the chip machine. The store will have to eat the loss. The cc companies hope that this will stop people from using stolen cards at stores (when the pin thing is implemented). This has been in place in Europe for a number of years and many countries warn tourists that they can't use a cc without a chip and pin.

But that doesn't stop the online or phone cc use so those will probably go up since people (eventually) won't be able to use the stolen card at a physical store without the pin.

I had my cc number stolen last month. My cc company called me to report some questionable use of my cc but the moron used my cc to pay for things like parking and traffic tickets and government bills - in Washington and California so my cc company quickly had them flagged so called me, cancelled the charges and gave me a new number. Should be interesting to see those government agencies tell the user that their charge was denied, hope that they will require some ID before accepting charge cards from those people.