National Retail Federation says quickest way to boost security is to require PINs for all credit-card transactions
By Jaikumar VijayanMarch 27, 2014 03:35 PM ET Computerworld - Industry efforts to shore up payment card security after the massive data breach at Target appear to be devolving into a battle over chip vs. PIN technology between retailers and credit card companies.MasterCard and Visa want all U.S. retailers to install payment terminals capable of accepting Europay MasterCard Visa (EMV) smartcards by October 2015 or face increased breach liability exposure.
EMV chip cards are used widely around the world and are considered much safer than magnetic stripe cards, especially when used in conjunction with a Personal Identification Number (PIN).
However, retailers, which have to bear the bulk of the migration costs to EMV, say it's possible to improve U.S. payment card security quickly by simply implementing a mandatory PIN requirement for all credit and debit card transactions.
Just as PINs are required to withdraw money from ATMs, PINs should be required for all payment card transactions, they say.
"Protecting all cards with a PIN instead of a signature is the single most important fraud protection step that could be taken quickly," the National Retail Federation said in a statement Wednesday before the Senate Committee on Commerce, Science and Transportation.
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