More Chip-Card Headaches, This Time for Merchants
The introduction to chip-card created a big headache in the US. Many didn't want to get a new card with the chip, but the chip card was introduced to cut down the fraudulent transactions. Merchants were given a certain time frame to convert their machine into chip enabled machine, but we see that not many have done that. this lead to rise of the cost of charge backs which is counterfeit transactions that used to be covered by card-issuing banks. Banks are forcing the merchants to accept the chip based card in-order to cut down fraud. Big retailers like Target Walmart have already started to accept the chip cards. Small retailers are still on the hook. Do you think Chip-card will eliminate the fraudulent activities in a credit-card?
http://www.wsj.com/articles/more-chip-card-headaches-this-time-for-merchants-1462613582
Its great that they have made the chip cards in order to cut down fraudulent transactions!
ReplyDeleteTechnology is always evolving and this is great for the time being but just like the magnet, sooner rather then later someone will come up with a sneaky way. However I think the banks should supply the small merchants with the upgraded machinery. First of all they already receive revenue from every transaction so why not supply what they need in order to keep their transactions going.
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