A growing number of U.S. retailers are being victimized by data breaches, leading to millions of consumers at risk of identity theft and fraud - and now President Obama has stepped in, signing an executive order to enforce increased payment security measures. The federal government will now use chip-and-PIN technology for all government credit cards, providing an additional layer of security for all agencies that handle monetary payments.
"We applaud the administration for taking proactive and positive steps by adopting PIN and chip technology for government-issued debit and credit cards, among other things," said Matthew Shay, National Retail Foundation (NRF) CEO, in a statement. "From insisting our PIN and chip cards to facilitating greater information sharing among retailers and other sectors, we are committed to finding the right answers with the latest technologies to stop these cyber thieves."
Moving forward, the President also wants additional transparency when companies suffer a data breach and consumers are impacted. Meanwhile, WalMart, Home Depot, Target, Walgreens, and other retailers plan to use chip-and-PIN point-of-sale (POS) terminals in their retail stores, starting in early 2015.