The credit card shell game

https://plus.google.com/+LaurenWeinstein/posts/gFeicN4qqd6

I guess I forgot that most people have never been merchants who
accepted credit cards. I have been. And so most people don't
understand that signatures at point of sale are not for verification
of the POS purchase, but to provide an additional historical data
point for examination in case of disputes. 

Even when people tend to scribble their signatures on modern
terminals, there is a typical pattern across purchases that is
difficult for a forger to duplicate.  The signature on the back of the
card itself is irrelevant. 

When chip-based cards were introduced, the intention was that they'd
be used with PINs. This is the way that most of the world does it. It
was realized from the start that the card alone was not secure. But
here in the U.S. they didn't even want to bother with PINs, so they
use card+signature. Now they're dumping the signature. 

If you read the historical discussions leading up to the adoption of
these cards, you'll see that what U.S. card processors are doing is
exactly what was considered to be the worst security case. Why are
they doing it?  Because the laws in this country are so lax that it's
easy for them to pass along additional fraud costs in increased
merchant fees, and the merchants then pass those along to consumers.
It's the same shell game as always. Don't be fooled!

--Lauren--
Lauren Weinstein ([email protected]): https://www.vortex.com/lauren 
Lauren's Blog: https://lauren.vortex.com
Google Issues Mailing List: https://vortex.com/google-issues
Founder: Network Neutrality Squad: https://www.nnsquad.org 
         PRIVACY Forum: https://www.vortex.com/privacy-info
Co-Founder: People For Internet Responsibility: https://www.pfir.org/pfir-info
Member: ACM Committee on Computers and Public Policy
Google+: https://google.com/+LaurenWeinstein
Twitter: https://twitter.com/laurenweinstein
Tel: +1 (818) 225-2800
--- Impeach Trump ---
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