October 1st marked the start of a new way of making purchases locally and across the U.S. but with the new technology comes new regulations.
The new chip and pin cards are now in effect in the Untied States and switching is not only better protects you as a consumer but also protects local business owners.
Matt Ray Amarillo National Bank Credit Card Manager says, "Nothing is going to change for the consumer except the way that they are going to swipe their card at the machine. Instead of wiping it they are going to insert the card into the machine and leave it there until the transaction is done."
When you swipe a traditional card your credit card information is transmitted in its entirety and can easily be stolen. With the chip your numbers become scrambled when making purchases keeping you safer from crooks. Amarillo national bank says they have started issuing these new cards to their customers.
Ray explains, "This is definitely safer than what we have today, but it is the first step into becoming safer in the future. So by implementing these chips on our cards its going to give our customers a better sense of security."
If you own a local business accepting this new technology could save you money.
He says, "If a merchant ever accepts a counterfeit card they never had to worry about any liability in the past. As of yesterday, like I said the bank is going to start sharing that with those merchants who are not taking the proper measures to upgrade their equipment."
If you do not accept chipped cards your business is now liable for fraudulent activity that happens at your store. If you own a business it is in your best interest to switch as soon as possible. However, this is an expensive process. The machines can cost up to a few hundred dollars each but it needs to be done.
It is important for the consumer to remember that no matter what you are covered if fraudulent activity appears on your card.
Yeah you can go into a merchant if I steal your card and use it but the bank has you covered where you will never be liable for those fraud losses that you did not authorize. That's the biggest thing for us here at the bank is that we're always going to have the customers money back to them if they didn't authorize something"))