The British are famed for chips with their fish, but now it seems (micro)chips are everywhere. Leaving aside worries of biometric data being stored in ID cards, chips have been standard in debit and credit cards for a while.
Since the introduction of chip and pin machines in more and more ... Read review
Advantages: Apparently more secure (maybe), they say it's faster (not really) Disadvantages: Another number to remember (but not a big problem)
.../>
Since the introduction of chip and pin machines in more and more shops, you now no longer need to sign for credit/debit card transactions - instead you can simply type in a four digit pin as you would at an ATM. Anyone who regularly uses credit/debit cards will probably have tried this themselves. What you may not have been aware of is that as of 14/2/06 you'll no longer be able to sign for purchases - you'll need to know your PIN.
...that suggests it's banks imposing chip and pin, but it's still largely up to individual shops whether they let us sign or not. Some - the report picked out Clinton Cards (though I don't know whether this applies to the whole chain or only a particular branch) - aren't even ready for chip and pin. What's actually the case is banks will hold shops liable for any fraud if they allow customers to sign - so, needless to say, there will be increased pressure ... more
The British are famed for chips with their fish, but now it seems (micro)chips are everywhere. Leaving aside worries of biometric data being stored in ID cards, chips have been standard in debit and credit cards for a while.
Since the introduction of chip and pin machines in more and more shops, you now no longer need to sign for credit/debit card transactions - instead you can simply type in a four digit pin as you would at an ATM. Anyone who regularly uses credit/debit cards will probably have tried this themselves. What you may not have been aware of is that as of 14/2/06 you'll no longer be able to sign for purchases - you'll need to know your PIN.
In fact, this isn't entirely true. I've just seen a report on Newsnight that suggests it's banks imposing chip and pin, but it's still largely up to individual shops whether they let us sign or not. Some - the report picked out Clinton Cards (though I don't know whether this applies to the whole chain or only a particular branch) - aren't even ready for chip and pin. What's actually the case is banks will hold shops liable for any fraud if they allow customers to sign - so, needless to say, there will be increased pressure on customers to use their pin.
Until I saw it on the news (very) recently, I'd hardly heard anything of this compulsory switchover date. I had had a few emails, and even perhaps a letter, from my main credit card provider (Egg) but that was it. I don't think everyone could rely on this, as neither of my other two banks have contacted me as far as I recall. If so dramatic a shift is being introduced, in a relatively short space of time, I think it could've been better publicised.
Anyway, chip and pin is clearly here, and what's more presumably here to stay - at least, until we get fingerprint/iris scanners in all shops or something… The question is, is it a good thing?
I try to use my credit card as much as possible. Aside from eliminating the hassle of carrying cash and frequent trips to the cashpoint, I get cashback and purchase protection. What's more, I've been using my pin for most transactions in the last few months. So far, the practice hasn't changed my initial views.
*Pluses*
Pin is (supposed to be) more secure. Pin is (claimed to be) faster.
*Minuses*
Pin is something else to remember.
As the qualifications above suggest, I'm not entirely convinced by the supposed advantages. I'll now turn to evaluating the supposed pros and cons of the pin system:
Security
The pin is supposed to be more secure than a signature. I'm not entirely convinced by this. It's true your pin is much harder to discover than a signature. Unless you use a different signature for letters and credit cards, then an awful lot of people will probably get to see your signature - and besides, another example is conveniently on the back of your card. While signatures are supposed to be distinctive, if yours is rather scribbly (like mine), then it's probably relatively easy to fake - and given cashiers sometimes don't even check, let alone carefully anyone could use your card signature. When it comes to your pin, someone is very unlikely to guess it, so it's pretty secure. The only problem is if they do get your pin (e.g. because you write it down) then they can use it just as easily as you.
Speed
Using the pin is also supposed to be faster, though I don't really see how. It doesn't take long, but nor does signing my name (unless one has to search ages for a pen). I'm not buying this one, I don't think there's any real difference. Indeed, the need for pins could lead more people to write cheques - which as a former checkout operator I hate, and which are certainly slower than simple card + pin or signature.
Memory
The pin is indeed something else to remember. I already have lots of things to remember. I have four credit/debit cards (different pins), e-banking log in numbers, a four digit security code to get into my flats (changed termly), a combination bike lock… And that's just numbers, to say nothing of email passwords etc. This is a lot to remember. I've already hinted that so much can lead people to write things down, only making them less secure. One the other hand, the fact is I do remember all this. If you use your pin regularly, you probably won't find it too hard. (I can also check my pins through internet banking, though this presumably depends on your provider).
I should add two things: Firstly, you can change your pin to an easily memorable number (I suggest not anything too obvious like 1234, year of birth, etc though). Secondly if you forget, your card is locked after three incorrect attempts. To change your pin or unlock your card, simply insert the card into a cash machine, type your pin (correctly), select 'pin functions' (or some such) then either just wait or enter a new pin. I managed to lock my card in Tesco after mis-keying, and the retrieval process was relatively pain-free.
Conclusion
As you can see, I'm not particularly persuaded by either the advantages or alleged downsides of chip and pin. The banks seem to think it will reduce fraud though, and that's good enough for me. While it may seem a bit different at first, it'll soon be second nature, and since it's probably here to stay we'd best get used to it.
p.s. One thing I didn't mention is that - just as you wouldn't sign before - you don't need to enter your pin for online transactions.
Advantages: Much better security (as harder to forge a pin you can't see), so less fraud! Disadvantages: Having to remember PIN numbers of multiple cards
The new Chip and PIN system is definitely quite different from standard credit and debit card use as it was before, and personally, I think it's a fantastic idea.
I've always considered a signature for verification purposes to be a bad idea when the very signature you'd need to verify the card somebody could have stolen can easily be forged by looking at the card itself!
With the new system, verification is performed on a separate machine for the ... ...PIN numbers changed.
The Chip and PIN system is going to eventually become standard with chips being all almost all new issued cards, and many cards are being reissued with chips, so look out!
Whether you agree with it or not, Chip and PIN looks like it's here to stay, so my adivce would be to embrace it and hopefully enjoy higher security and less fraud, which we could all appreciate, especially if it's happened already
The specific criteria ...
moxmalin 28.07.2004
· Read full review
Ciao members have rated this review on average: helpful Review of Chip and PIN
Advantages: Much better security, faster transactions Disadvantages: remembering your numbers
...A swipe machine (or chip reader in some advanced models) is used in stores to swipe the debit card, and the purchaser asked to choose which account they are using for the transaction - "Cheque or Savings?" Most debit accounts at banks are classified as savings accounts, but if you have a second account many banks will let you classify it under the "cheque" option, so that you actually have access to two accounts with the one card. It's a great idea, ... ...option will become available in the UK - it may still be necessary to have separate cards for separate accounts.
Credit cards are swiped in a similar manner, but the owner is asked to sign the slip, as in the UK. Banks are starting to introduce PINs for credit cards now, and you usually have the option of using a PIN or being able to sign for purchases. A purchase using a debit card is usually much faster, as the purchaser merely punches in their ...
Kianastar 28.07.2004
· Read full review
Ciao members have rated this review on average: helpful Review of Chip and PIN
Advantages: quicker in theory Disadvantages: less safe
chip and pin has to have been one of the daftest ideas i have ever been subjected to.
The whole idea of this was supposed to be to stop credit card fraud happening but i think it has just mede it easier.
Instead of signing the reciept every time you make a purchase now all you do is type in your 4 digit pin number, since the introduction of chip and pin i have had my card swiped through a card reader at a resturant we ate in and someone made a ... ...month the money was taken on both occasions.
Chip and pin also cannot stop credit card fraud over the internet.
I dont think the idea works very well at all and we would be better of with signatures as they are harder to copy than a pin number ...
danniell 09.05.2008
· Read full review
Ciao members have rated this review on average: helpful Review of Chip and PIN
Advantages: Higher security Disadvantages: Still a small risk
...everyone 'has' to use their Chip and PIN that's not actually fully true. You see what a lot of people don't realise is that you can still be asked to sign for things in shops but only when the card machine automatically decides to do this -- no-one can really have an influence in this.
Now then ... for those who may not know how this works let me just explain.
1> Customer (call him John Doe) with chip-less card gets sent a new 'chip' card from ... ...card ('360Money') which doesn't even have a chip, it's just a signature!!
Apparently this whole Chip and PIN is meant to save time for the customers but that really depends on who the customer being served is and who's serving them.
Chip and PIN is the future really! ...
T1mm3h 29.05.2006
· Read full review
Ciao members have rated this review on average: helpful Review of Chip and PIN
Advantages: great amount of security Disadvantages: need to remeber pin
...tell you all about the chip and pin.
chip and pin is slowly being introduced to the u.k what it is, is soon you will have to type in your pin number instead of signing a slip. that is great because only you know your pin. this will bring down card thefets. the banks are bringing out new cards with chips in them. the banks that have already done this are
*barclays
*natwest
all the major cards are to be changed soon visa,visa electron, switch, ... ...have started the system yet. wilkinson have tho and i have tryed my new barclays visa there. i must say its better than signing the slip. you should get a new card soon or go to your local bank for more info. this new system will hopefully reduce crime
forget your pen just dont forget your pin. ...
BarclayClark 30.04.2004
· Read full review
Ciao members have rated this review on average: somewhat helpful Review of Chip and PIN
Similar reviews »
Reviews which might be of interest for "Chip and PIN"
Advantages: Lower interest than parent company Provident Disadvantages: High Interest compared to other lenders, no online banking or online account management.
-paid Debit Card. I recommend Paypal's as you can avoid top fees if topped up via your bank account on their site. Of course other cards are available but they all charge for topping up along with the Paypal card if topped up at a Pay Point (£1). Also paypal's has a chip and pin and is issued by The Royal Bank of Scotland. You have to pay for the cards however no credit check is required. ...
Advantages: You can't go overdrawn Disadvantages: Not widely accepted.
, BP, Tesco?s petrol stations (?), Carphone Warehouse, WH Smiths, Avon (hmmm handy that?.not!)and Play.com. And I?m sure there are others, what I do now is check before I buy or take cash if I?m purchasing for the first time. It is a hassle I know. Other than that you use the card in the same way as a switch or solo and debit cards are most definitely the most convenient ways of paying.
My card has also come with its own little chip in it ready for when the chip and pin process comes into action. The chip and pin process will eliminate signatures all together and upon payment you will be asked for a pin number which you enter into a hand held device given to you by the retailer, this is supposed to be discreet but I?ve seen them and its not. It would be very easy for someone behind you to see the number. I also understand that the pin ...
sarahpervin 21.06.2004
· Read full review
Ciao members have rated this review on average: very helpful Review of VISA Electron
Advantages: Easy access to money, safe and convenient, you can only spend what you have in your account Disadvantages: I spend my money more quickly!
is located. The chip (for chip and PIN) is on the front as well as a holographic logo to prove it is a genuine card. The usual expiry date etc. is also shown on the front of the card. On the back of the card is a place for my signature, my issue number, the usual black band for when the card is swiped and a maestro and cirrus symbol which allows me to use it when I'm abroad providing the cash machine or shop display these logos. Unfortunately there is usually a charge for the service, so I make sure I take enough cash with me when I go.
According to the website www.solocard.co.uk there are now 927,000 outlets in the UK where the Solo card is accepted and acceptance continues to expand all the time. You can check to see if a shop accepts solo by looking for the purple solo logo. However not all retailers put up stickers showing which ...
bluejules 12.02.2006
· Read full review
Ciao members have rated this review on average: very helpful Review of Solo
