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There are a few inaccuracies in your comment. >If they refuse, they have to sue to get your money First, they wouldn't refuse (at least in the USA) because Vi

by rm999 13y ago

There are a few inaccuracies in your comment. >If they refuse, they have to sue to get your money First, they wouldn't refuse (at least in the USA) because Visa and Mastercard contractually require issuers to cover debit cards at the same level as they do for credit cards, which is complete protection from all liability. Second, with credit cards you can't just decide what to pay off and what not to. If the issuer refuses fraud protection to you for whatever reason your credit rating is on the line if you don't pay off the balance. They may sue you, and they may damage your ability to get credit for a long time. In other words, the situation between debit and credit card protection is basically the same: in both cases the issuer will almost certainly protect you, and you're screwed if they don't. > To hack a debit card, the attacker must intercept both the mag stripes and the PIN that goes with them. This is not true in the USA. Debit cards can be used in non-point of sale transactions (e.g. phone or internet) and point of sale non-PIN "signature" transactions where you use your debit card like a credit card.

cynwoody 13y ago
>Debit cards can be used in non-point of sale transactions (e.g. phone or internet) and point of sale non-PIN "signature" transactions where you use your debit card like a credit card. That's true of most debit cards, namely the ones that sport a Visa or MasterCard logo. They are called "check cards" and can be used in either debit mode (enter PIN on PINpad, no signature) or credit mode (sign if over the merchant-defined limit). Either way, the charge goes against your bank account as soon as the bank receives it. The difference between credit and debit mode is in who processes the charge. For PIN-less signature mode, the credit card network handles the transaction. For PIN debit mode, the debit network (e.g. NYCE) handles it. The debit networks are immediate: the money comes right out of your account. The credit card networks are slower. It may take a day or two for a transaction to hit your account. I remember fifteen or twenty years ago when my bank introduced check cards. I called them and asked if the new MC logo meant the card could be used without entering a PIN. They said yes, and I said I didn't want it. A replacement minus the logo (and with a different PAN) arrived a day or two later.

by rm999 13y ago

cynwoody 13y ago

>Debit cards can be used in non-point of sale transactions (e.g. phone or internet) and point of sale non-PIN "signature" transactions where you use your debit card like a credit card. That's true of most debit cards, namely the ones that sport a Visa or MasterCard logo. They are called "check cards" and can be used in either debit mode (enter PIN on PINpad, no signature) or credit mode (sign if over the merchant-defined limit). Either way, the charge goes against your bank account as soon as the bank receives it. The difference between credit and debit mode is in who processes the charge. For PIN-less signature mode, the credit card network handles the transaction. For PIN debit mode, the debit network (e.g. NYCE) handles it. The debit networks are immediate: the money comes right out of your account. The credit card networks are slower. It may take a day or two for a transaction to hit your account. I remember fifteen or twenty years ago when my bank introduced check cards. I called them and asked if the new MC logo meant the card could be used without entering a PIN. They said yes, and I said I didn't want it. A replacement minus the logo (and with a different PAN) arrived a day or two later.