Chip
and PIN
 |
You
have probably by now heard the phrase "Chip and PIN",
but do you know what it means and how it will affect the use
of your credit card or debit card? If you have not shopped with
Chip and PIN yet, it is unlikely to be very long before you
do. |
Traditionally,
when making a purchase using a credit card or a debit card the retailer
would have swiped your card through their point of sale terminal.
This would have produced a receipt that they would have asked you
to check and sign. Given that the signature will appear on the back
of your credit card or debit card, it would not be difficult for
a thief to make fraudulent card transactions by simply copying your
signature should your card be stolen or lost.
So
the banks have come up with Chip and PIN. This involves you having
to enter a PIN into the point of sale terminal instead of signing
your name. In effect it is similar to taking money from a cashpoint
machine when you also have to enter a PIN.
How
likely is your PIN to be at risk?
This
somewhat depends on you! To state the obvious, DO NOT keep a record
of your PIN with your credit card or debit card. This would make
it even easier for a thief to make fraudulent purchases using your
card that if they had to try to copy your signature. They would
simply have to type in your PIN for the transaction to be accepted.
If
you do keep a copy of your PIN alongside your card your credit card
or debit card company may decide that you have been negligent and
they would likely not compensate you for any losses.
Can
I let the shop assistant type in my PIN?
No!
If you hand over your credit card to make a payment and the assistant
inserts it into the chip and PIN terminal and then asks you for
your PIN number so that he (the assistant) could type it in, refuse!
Tapping in the PIN to the chip and PIN terminal is something you
do. Do not tell it to somebody else so that they can do it for you!
And
don't say it alound as you key it in either!
Is
there anything I should bear in mind when typing in my PIN?
Be
wary also of just how secure the position of the chip and PIN terminal
is. If you think that someone in the queue behind you, or anywhere
else nearby, can see what you are typing, try to move your body
in order to mask the terminal - your PIN is a valuable and confidential
piece of information that should not be discovered by others.
What
happens if I forget my PIN or I type it in incorrectly?
When
you pay using a chip and PIN terminal, you will usually have three
chances to enter your PIN correctly, after the third attempt the
card will be frozen to protect against unlawful use and you will
need to contact your bank so that they can reactivate it for you
to start using it again.
How
can I remember my PIN, I have too many to remember!
It
is important that you remember your PIN number. But just how do
you do that?
Most
card issuers will allow you to change you PIN to one that is memorable
to you using a cashpoint terminal. But how can you remember the
PIN?
Here
are some ideas:
Remember
the pattern of the numbers as it is entered on the key pad. For
example the keys you press may be in an "L" shape on the
keypad.
Use a combination of your favourite footballers' shirt numbers (or
Rugby player if you aren't a football fan!).
If you are a soldier, policeman/policewoman or the like you could
use part of their service number or badge number.
Do
not use numbers that can be easily linked to you, such as part of
a telephone number, year of birth or street address.
Avoid
obvious number sequences like 4321, 1234 or 9999.
What
should I do if I think that the secrecy of my PIN has been compromised?
If
you believe that someone knows your PIN, contact the card issuer
so that they can reset the PIN, or use a cashpoint terminal to change
it yourself if the card issuer offers this facility.
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