Last night, the MasterCard fraud department supporting Scott Credit Union called me to ask if I had just made a $400 charge at the Walmart in Katy, Texas. When I asked where Katy, Texas, was, they advised me the charge was being denied, and my MasterCard was being rendered inactive since my card account had been compromised. I’ll be issued another MasterCard soon.
Earlier yesterday, I received my new Scott Credit Union Visa replacement card. I was surprised and disappointed to see the new card did not comply with the law for issuing MasterCard and Visa cards with the embedded chip designed to prevent credit card fraud. I’m guessing my replacement SCU MasterCard will also be non-compliant.
When banks and credit unions continue to issue non-chip credit cards, and merchants continue to subvert these features in their checkout machines, they are making a conscious decision to accept credit card fraud as a cost of doing business regardless of the inconvenience imposed on card account owners. Walmart has gone so far as to not require entry of a PIN for your debit card transactions that are below a certain value. SCU has revealed their decision about the relative importance of fraud to them. Yes, I’m not responsible for the fraudulent charge, but I am denied use of my MasterCard until a new one arrives.
Over twenty countries in Europe implemented chip and PIN credit cards, and Europeans are happy, but our banks, credit unions and merchants are still balking? Why?
David Vail, O’Fallon