This Is Why You Should Never Swipe Your Chip Credit Or Debit Card


Keeping your banking information secure is a vital part of not losing your money to a whole world of problems, thieves and just downright bad luck are two of the big ones.In order to help create a more secure way of making purchases with your cards without having to worry about skimmers, card companies have designed a new set of cards equipped with little microchips. These chips are meant to make using the card itself safer for all those involved, but because not every establishment is equipped with the chip readers themselves most of – if not all – of the cards still carry the swiping strip. While it would seem normal to just use the strip instead of the chip when applicable, you could actually be putting yourself at great risk when you do so. But why?


As it turns out the chips are designed to protect both the purchaser and the seller by having the bank cover any fraudulent charges, but when you swipe instead of inserting the chip the seller is liable for the charge. Sounds like you’re protected either way, right? Well that type of thinking is also very wrong, as when the seller can’t cover the extra charge the person fronting the bill in the end is still YOU. That means that if your card information is stolen and the card is used at say, a mom & pop shop who can’t cover the thousands of dollars in purchases, you’re still liable and the money remains out of your account!

So knowing the customers are at risk here, why doesn’t every establishment have one of those chip readers? It’s a very good question, and one seemingly without a proper answer depending on how many people you ask. If you ask the banks they’ll state that the establishments are the ones to blame, that they’re simply dragging their feet in getting optimized; though when you ask the stores they’ll tell you that the readers themselves have to be certified by credit card companies and they’re waiting on that. Some of the readers have been “in the process” of getting certified for the past six months, so who can you really blame for the lack of consumer support in the end?

If you ever do end up at a place without a chip reader and you’re using your chipped card, either pay cash or monitor your account for the next few days to ensure nothing fraudulent occurs. This wouldn’t be such a problem if large companies, banks and credit firms have your best interests in mind – but we all know they don’t and likely never will. Protect yourself as best as possible out there folks! Pass it along and prevent any trouble for friends and family