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If you have a chip credit card, you MAY want to read this alarming news
Pretty much all of us received us have our chipped credit cards in the mail, but we’ve yet to experience the “high level of security” that they’re supposed to provide.
ABC News New York took their hidden cameras to a few major retailers and their findings were disturbing. Many stores, including Staples and Chick-fil-A, had the credit card readers, but were telling customers not to use them – even though they were required by credit card companies to begin use in October 2015!
Why is this a big deal, you ask? Because it poses a tremendous threat to credit card users!
Adam Levin, founder of Identity Theft 911 and author of “Swiped,” says that if a card with a chip is swiped, the consumer will be responsible for covering fraud charges – not the merchant.
Whaaaaaaaaaaaaaat?
According to the ABC News NY, chipped cards only provide more security than cards with magnetic strips if used properly.
“A lot of businesses have not read the memo. They don’t understand what kind of damage that’s brought on consumers anytime you have something like this,” says Levin.
On the other hand, retailers are blaming the credit card companies for the delay in chip use. The chip readers must be certified before they implement, and a lot of them are waiting for card companies to do so. And in true B2B fashion, the credit card industry blames the retailers for waiting until the last minute to participate.
Come. On.
Since many of us aren’t in the financial position to cover major fraud charges, ABC News NY shared a few tips to help keep your chances of theft down while we wait for the card industry and retailers to get their ducks in a row.
Like, if you have a chip and the merchant requires you to swipe your card, use cash or simply walk away. And if you happen to swipe your chipped card, be sure to monitor your bank accounts closely and report any fraudulent activity ASAP.