Remember when you were sent a new debit card in the mail with that shiny little emblem on it and how annoying that was because you had to replace all your online accounts with a different number?
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With old cards, someone could pull your card number from the transaction device and use it over and over again. However, with the new chip card, the technology it uses has a piece of the number and your card has the other piece. So, if one or the other is ever obtained, the credit card thief will only have part of the puzzle. Pretty cool, huh? Encryption technology advances security.
How has chip technology helped?
Quite a lot for swipe transactions. According to Visa, “Merchants who accept chip cards witnessed a 76 percent dip in card present (CP) counterfeit payment fraud since the U.S. payments industry began the shift to EMV chip.”
Vulnerability with Credit and Debit Cards Still Exists
Chip cards are only effective with in-person transactions where card is present. When it comes to online shopping, cards are still manually entered and therefore the encryption technology within the EMV chip cards cannot be utilized.
While Ecommerce Sales still lag behind In-store Retails Sales, Ecommerce is growing rapidly and accounted for $517 billion in total retail sales in 2018.
Protect Your Online Identity
With digital transactions on the rise, hackers get evermore resourceful as evidenced by the recent Capital One data breach where 100 million Capital One accounts and applications were compromised. Results of this breach may impact some victims immediately and others not for several years. Implementing monitoring and protection of your accounts is prudent and very affordable.