Remember that the credit card company's and the bank's ultimate goal is to shift liability for…
Rosyna Keller
81

Hey Rosyna, thank you so much for responding! There are a lot of things in your post that I was completely unaware of. A couple things I want to respond to:

The Signature is supposed to be used in case the customer claims “fraud” in order to cheat a retailer out of money.

Maybe I’m too naïve, but I always imagined credit card security existing to protect the purchaser, not the retailer. I wonder how much credit card fraud is legitimate (someone stole you’re information) versus fake (someone claims their own card has been stolen). I’d like to believe that the majority of fraud claims are legitimate.

in countries (like Canada) that adopted Chip and PIN, the amount of fraud didn’t go down at all. The fraud type just shifted to Card not present fraud.

Yeah, this makes a ton of sense, and is really unfortunate. I never said Chip and PIN was perfect, and apparently it’s not even all that better. If people want to take your stuff, they are going to do it one way or another I guess.

Also, due to privacy laws, it’s not legal in many jurisdictions for retailers to ask for ID if the information on the ID is not used to verify the identity of a person

This really confuses me. Why would you be asking for someone’s ID during a transaction if it wasn’t being used for verification? What was the employee of the Apple Store doing with that person’s ID? I don’t agree that this is a reason to not ask for an ID (where it’s legal). I also think that those area’s that have made it illegal are doing a disservice to the residents there. Everyone who has and uses a credit card should want the retailer to check their ID.

Again, thank you for your detailed and thoughtful response!