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With the exception of Amex and Discover and a few others that issue their own cards, Visa and MasterCard don't issue the cards. Thousands of banks and credit un
by krebsonsecurity 6y ago
With the exception of Amex and Discover and a few others that issue their own cards, Visa and MasterCard don't issue the cards. Thousands of banks and credit unions do. They're the ones responsible for managing fraud on those accounts.
The banks decided the PIN part of chip and PIN only protects against physical theft -- what they call "lost and stolen" fraud.
Assuming that is accurate, given the costs associated in dealing with customers who forget their PINs, and the fact that Visa massively pushed for chip and signature, it's not hard to see why none of the banks wanted to be the hardest card to use in the wallet: Lost and stolen is an infinitesimal amount of loss for them when compared to counterfeits and e-commerce fraud.