New Technology Focuses on Reducing Credit Card Fraud

Technology is advancing and new innovations are being explored to help fight fraud. One of the newest technologies is replacing swipeable credit cards with cards that have a tiny computer chip within it. This new technology is currently in Canada, but if results are well received, it is only a matter of time before it is adopted in the United States. Apparently this technology is also utilized in Europe as well.
The credit card has a chip embedded in it rather than a readable magnetic stripe. During a purchase the customer inserts his or her card into a reader. A personalized identification number (PIN) is then entered into the reader by the cardholder and then the transaction is complete. There is no signature and the merchant or the employees do not physically touch the card.

This new technology is aimed at reducing fraudulent transactions.