Never Do This If You Have A Chip-Enabled Credit Card

Credit Card With Gold Chip

The banks have been on a roll and have churned out a huge number of chip-enabled cards. The experts claim that these cards are much more secure and offer protection against scammers.

However, one is left wondering why some stores do not have the chip card readers for their consumers. In fact, some go as far as taping over the insert slot for the chip card, allowing their customers only to swipe the magnetic strip card.


Never Do This If You Have a Chip-Enabled Card_Image 2
Image Source: CNN


The enhanced protection of the chip cards is ensured by generating a code between the consumer and the retailer. The codes mean nothing to the scammers who are trying to skim and scan the card number off a swipe. The retailers were advised to adopt the new system by October 2015.

The reason why the stores prefer swiping to inserting is that the merchant must cover any fraudulent charges on the swiped chip card. Since some retailers can’t afford to cover significant security infringements thus, the consumer is forced to bear the brunt.


Never Do this if you have a chip card
Image Source: CNN


On the other hand, the retailers insist that the chip card readers need to be certified by the credit card companies to ensure that they are functional. Some stores claim that they have been on the hold for up to six months to get certified.

The best way to tackle this situation is to opt for a cash payment if the chip reader is not installed in the store. If you swipe the card, keep a close tab on your account to check for the fraudulent charges. Stay safe!

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