Mastercard’s vice president of public policy and corporate affairs - Brent Thomas. Photo: au.linkedin.com

Mastercard’s vice president of public policy and corporate affairs – Brent Thomas. Photo: au.linkedin.com

From August 1st credit cardholders will be made to pay for their purchases through their PIN. Currently it is estimated that more than one million cardholders sign for purchases. Habitual signers (around 80 per cent of cardholders), risk having their transactions rejected, should they not have their security PIN memorised by August 1st.

It is estimated that more than 800,000 payment terminals been upgraded to comply with the new measures. Doing away with signatures in favour of a security number is predicted to significantly lessen card fraud; and further inflate the already overblown profits of banks and lending institutions.

Mastercard’s vice president of public policy and corporate affairs Brent Thomas believed the use of a security number benefited the consumer. “We know not all merchants check the signature at the point of sale,” he told new.com reporters, “so by using a PIN you know for certain the machine is checking your PIN.”

Current methods of swipe payments will continue as they are. The need for PIN identification will likely only be necessary for purchases in excess of $100.

Having one or two transactions declined will be a sure way to get people to memorise their PIN. Hopefully it won’t come to that, though there will always be some.

Leave a Reply

Your email address will not be published.