Credit card security - paywave, chip, magnetic strip

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Forums › Finance and wealth management › Credit card security - paywave, chip, magnetic strip

Lightbulb

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#311584 28-Jan-2024 19:13

This has possibly been asked before - but couldn't find a suitable thread.

I'm going to South America shortly and am a bit concerned about using my credit cards. My concerns / questions are:

I think I am right in saying that using a credit card via Apple Pay is totally safe ie the card details can't be cloned / taken?
similarly a chip and pin transaction is also secure ie again details of my credit card can't be 'taken'if the card is inserted in a chip type reader?
using the magnetic strip is NOT secure; there are readers than can easily take the credit card info (number, expiry date and CCV) if the card is simply swiped. Is this correct?
I am not sure about getting cash out of a bank ATM. Does the ATM read the chip or the strip? Also I understand that ATM can sometimes be modified to read the magnetic strip.
Paywave using a bank provided reader is secure?
But are there 'fake' paywave readers that can steal the credit card information.

I suspect that the main security problem is that credit cards still have a magnetic strip which contains all the card information? If so, is it possible for a bank to provide a card without a magnetic strip. If not, is it possible to physically disable the magnetic strip eg scratching it, holding it against a magnet or something else?? And if I do this, would it affect the chip or the paywave part of the card?

My concern is that when I was in Brazil around 10 years ago, my card was compromised (I think I know how) and then magically, multiple ATM transactions withdrawing money appeared. Westpac was great, reimbursing everything, but I'm trying to minimise the risk this visit.

Sorry lots of questions, but are probably relevant to many travellers.

ps maybe I have the wrong forum - if so, can someone transfer please, maybe to the travel forum??

roobarb

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#3187849 29-Jan-2024 01:22

Don't use magnetic swipe, ever.

Use PIN, not signature.

Don't let anyone copy your card details that includes the CVV value on the reverse, hotels often want to do this.

While the card number, expiry etc can be read, the card cannot be actually cloned. There is a private key used to sign transactions that cannot be exported from the chip.

Use a credit card, not a debit card. You are in a better position to dispute a fraudulent credit card transaction and the risk profile is different.

Monitor regularly your transactions online.

Be prepared to cancel the card while still abroad ( and having it stolen ), so suggest having more than one.

nztim

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#3187852 29-Jan-2024 06:59

roobarb: Don't let anyone copy your card details that includes the CVV value on the reverse, hotels often want to do this.

For most hotels this is a requirement of check-in I would keep a low limit card for this purpose

Any views expressed on these forums are my own and don't necessarily reflect those of my employer.

Eva888

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#3187968 29-Jan-2024 08:42

Consider getting a Wise card which is really a debit card and loading it with smaller amounts as needed. You can add it to Apple Pay and also withdraw from ATM with it using the Credit option on the ATM machine. With the option of three cards, one physical and two virtual you have a number of options.

Last trip we made using Wise I felt very secure and in control. Kept my other cards at the accommodation as back up.

Jase2985

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#3187971 29-Jan-2024 08:51

roobarb:

Use PIN, not signature.

easier said than done when in places like the USA just completely ignore that and make you sign for stuff

OldGeek

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#3187974 29-Jan-2024 09:02

nztim:
roobarb: Don't let anyone copy your card details that includes the CVV value on the reverse, hotels often want to do this.

For most hotels this is a requirement of check-in I would keep a low limit card for this purpose

If a transaction is put through by the hotel without your consent, and you have a PIN set, that transaction will come through as not pin-verified. You will see it on your credit card account but you can query it with your bank. The fact that no PIN was entered is a sign you did not authorise the transaction.

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Batman

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#3187976 29-Jan-2024 09:04

roobarb:

Don't use magnetic swipe, ever.

Use PIN, not signature.

Don't let anyone copy your card details that includes the CVV value on the reverse, hotels often want to do this.

While the card number, expiry etc can be read, the card cannot be actually cloned. There is a private key used to sign transactions that cannot be exported from the chip.

Use a credit card, not a debit card. You are in a better position to dispute a fraudulent credit card transaction and the risk profile is different.

Monitor regularly your transactions online.

Be prepared to cancel the card while still abroad ( and having it stolen ), so suggest having more than one.

follow everything here (if possible)

re While the card number, expiry etc can be read, the card cannot be actually cloned. There is a private key used to sign transactions that cannot be exported from the chip.

- that means no need for those tin foil wallets that are sold?

nztim

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#3187995 29-Jan-2024 10:13

OldGeek:

If a transaction is put through by the hotel without your consent, and you have a PIN set, that transaction will come through as not pin-verified. You will see it on your credit card account but you can query it with your bank. The fact that no PIN was entered is a sign you did not authorise the transaction.

Yes but its a pain and the butt to query, try get money back - mean while that card may need to be cancelled

Hence my point about having a low limit card for hotel check in purposes that is not your main card that you use

Any views expressed on these forums are my own and don't necessarily reflect those of my employer.

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roobarb

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#3188078 29-Jan-2024 12:16

Batman:

- that means no need for those tin foil wallets that are sold?

Technically somebody could bump into you with a contactless payment terminal and get your card to make a low value payment if it's close enough. A card may not require a PIN for a low-value transaction. Different with a phone where you can set it up so you have to unlock it to make a payment.