What I can't understand is, why can't they have PIN numbers for credit cards? This facility is available only for Maestro debit cards. Let me explain with an example.
Point of Sale (POS) Purchase
- Master/VISA (debit or credit card): One just needs to swipe the card at the POS and sign the receipt.
- Maestro (debit card): One news to swipe the card, enter the ATM PIN into the Verifone, and then sign the receipt.
- The Issue: In case of card theft the Master/VISA can be easily misused at any POS. The Maestro, however, can not be used without the PIN at all. Why can't the Master Cards and VISAs have this extra level of security? Beats me!
Internet shopping
- Master/VISA (debit or credit card): One needs to enter the card number, name of the card holder, expiry date, and the CVV number (three digit number printed at the back of the card).
- Maestro (debit card): Just doesn't work online. Have tried a number of time but have always failed :-)
- The Issue:With Master/VISA cards all the details required to shop online are given on the card itself! An unscrupulous person need not even have physical possession of your card to shop online -- he just needs the card details. The "apparent" security cover -- the CVV number -- is also given on the card itself and can not be changed!
Sample this - you purchase something at a restaurant, the waiter takes your card, charges you honestly for your current bill, but writes down your card detail (including the CVV number), and poof -- you've crossed your card limit even before you know!
One solution to this problem is to memorize and scratch off the CVV number as soon as you get your credit card. But such obscure techniques could be avoided if one could have a PIN aka debit/ATM cards.
I've mailed the HDFC people about the liability of the card holder if the credit card is misused to make fraudulent online purchases. Let's see what their response is....
Beats me too!
ReplyDeleteBut probably the whole concept is that you do not need to memorize andy numbers and even a dumbest of ass can easily use it.
Abroad (and even for ICICI, as they claim), you need not pay for any transaction you did not make. Just report to them that you lost your card at such and such time, and nothing after that would be credited to your accont. But this scheme is difficult to work out in India :P
ReplyDeleteIn general, the concept can be called a second verification, which is missing from a credit card. As far as I understand the reaosn is that ubiquitous "historical reason". When they first thought of the concept, they just did not take this into account. And now that so many cards and hence the card frauds are there and people have woken up, there are compatibility issue. You have to change so many things to include a second verification - front end, back end etc. It can actually be a good business opportunity, if one could come up with a way of second verification such that
ReplyDelete1. It can be securely "plugged in" to the existing system
2. It can be selectively deployed - meaning the old and new system can co-exist together. The change can be brought about slowly. So, if at some of the places the card-reader with this plugin, you must have the second verification. While, at the places where the plugin has not yet been deployed, you should be able to do work otherwise.
hi - please email me your postal address. Wanted to send you JAM copy with yr food reviews!
ReplyDeleteWell abroad credit cards have a pin and you can't sign for anything now. You HAVE to use your pin for all offline shopping.
ReplyDeleteIndian consumers always get treated like crap I wonder why...
Can I be robbed wit people knowing my credit card number & last 3 digits but not the expiry date?
ReplyDeleteAn SBI agent came over and offered me a new credit card. He wanted xerox copy of front and back panels of my earlier HSBC credit card.
ReplyDeleteI gave it all to him but now I am feeling tense. Right now he would be booking Air tickets online looking forward to some terrific vacations time in some posh holiday resort all at my expense. : (
Congratulations! I actually found Credit Card Offer to be a pretty useful resource on credit card data in India. I just got a nice credit card from icici bank.
ReplyDeletebut dude if sum one is using ur credit card details for online shopping or any kind of booking then he will ener his address to get that product or thing delivered,even if he puts sum c/o address, still u can get that asshole, further i think even they can track IP of the machine from which that order is placed.
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ReplyDeleteit's true that only debit cards has pin because that is your personal pin that you have input when you settle the account on your bank. Credit card doesn't need pin because there is a routing number that the bank or the terminal can detect if this is a unique card or not.
ReplyDeleteBeing a first time credit card holder feels like heaven. You can buy anything you want. Just swipe it then it yours but as a cardholder you must be a good money handler because if not you'll end up paying your whole salary for your debt.
ReplyDeleteThanks for post. It’s really informative stuff.
ReplyDeleteI really like to read.Hope to learn a lot and have a nice experience here! my best regards guys!
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This post is really very appreciable. I think some new things if you add to your post like current affairs will increase It is popularity. your post is very advantageous for me and very good. I always read your blogs something everyday because I like your thought and I get many advice after read you article. I want you always make new articles like this.
ReplyDeleteThanks.
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Rigo
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Credit Cards
Your blogs are very informative.
ReplyDeleteI liked your post. Keep posting interesting matters here. And now that so many cards and hence the card frauds are there and people have woken up, there are compatibility issue.
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Great article! Thanks for that! Also thanks to Victoria for sharing borrowernews.com
ReplyDeleteforeign currency - Foreign Currency Exchange is a UK foreign currency broker, providing currency exchange and exchange rate services using the best exchange rates.
ReplyDeleteA credit card is a plastic card issued to users of the payment system. Many people lie to use credit card as it make easy shopping for people, I think that allows consumers a continuing balance of the debt, subject to interest rate being charged.
ReplyDeleteWell, the credit card debt is a problem that can happen very easily. The convenience of using the small plastic object that has to rely on cash on hand and wait for change is an unconscious habit of many. By using payment cards need not always be detrimental to the financial well being.
ReplyDeleteOne of the most important things you should know before taking your credit card will be your credit score. Individuals have a good credit card rewards market. Your credit score can be obtained in various ways.
ReplyDeleteYou all share very useful information related with the credit card.It so important that you have to careful when taking a credit card.you give really nice tips for that.
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ReplyDeleteI like the fact that I have to type in PIN numbers. It gives me a sense of security.
ReplyDeletethanks for the information and keep them coming.
ReplyDeleteAdding a pin # to a crdit card would make me feel a little more sure about using that card in places that I don't normally go.
ReplyDeleteThe scenario that you gave about the waiter is exactly why you should run by the atm and get cash before you go by the resturant and use that card.
ReplyDeleteBrings us all back to reality use CASH.......and also that way if you do not have cash you can not spend what you don't have.
ReplyDeleteWonderful article very well written and very informational.
ReplyDeleteWith all the devious transactions being put on our credit cards it makes more sense to use cash!
ReplyDeleteVery informative information, keep up the good posts.
ReplyDeleteWe should all keep a very close eye on our credit and debit cards............our world has become very ugly.
ReplyDeleteThanks for sharing such good information.
ReplyDeleteIt is a shame our world has come to this but by all means keep track of your credit card numbers.
ReplyDelete