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MasterCard and Visa to push PIN-based cards in the US late next year

MasterCard and Visa to play credit card catch up in the US, will push PIN-based cards late next year

Anthony Garreffa | Feb 7, 2014 at 8:28 pm CST (0 mins, 55 secs time to read)

Something that has been normal for quite sometime in most parts of the world, a PIN-based credit card, is being pushed in the United States by MasterCard and Visa late next year.

MasterCard and Visa to push PIN-based cards in the US late next year | TweakTown.com

The credit card giants will phase out the face-to-face signature-based cards that most people have, with new cards that feature a microchip inside that replaces the magnetic strip on today's cards. Over 25% of all credit card transactions are done so within the US, but MasterCard's Caryoln Balfany talked with the Wall Street Journal recently, saying that there is a good reason why the US market hasn't moved toward this sooner.

Most markets moved to the new PIN-based system in order to fight against high levels of fraud, while others struggled with robust telephone networks, liked the appeal of still doing transactions offline. As other markets became zipped up and more secure, criminals moved most of their operations to the US, where the signature is still used. This low level of security is a major driving force as to why nearly half the world's credit card fraud is done within the US.

Last updated: Apr 7, 2020 at 11:42 am CDT

NEWS SOURCE:techspot.com
Anthony Garreffa

ABOUT THE AUTHOR - Anthony Garreffa

Anthony is a long time PC enthusiast with a passion of hate for games built around consoles. FPS gaming since the pre-Quake days, where you were insulted if you used a mouse to aim, he has been addicted to gaming and hardware ever since. Working in IT retail for 10 years gave him great experience with custom-built PCs. His addiction to GPU tech is unwavering.

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