Credit Card Anyone who knows about credit cards knows that credit cards in the United States can usually be paid by signature. After the introduction of credit cards in China, credit cards will also be brought into China by signature consumption. Credit cards are paper from the embryonic form to the date of birth, and have no payment function. Its actual function is only as a certificate issued by the card issuer to the cardholder as a proof of identity to the special merchants.

evolution of credit cards

first of all, European and American countries attach great importance to the legal effect of signatures. In Europe and America, personal signature has a strong legal effect, and signature represents a person's legal attitude. For example, all kinds of documents and contracts are confirmed by signatures, and there is no such thing as China? Official seal? System, the so-called corporate seal is generally only used as an institution identification, and the effectiveness is subject to the signature. Secondly, the United States has the habit of using personal checks for many years, and checks also confirm the holder's willingness to pay by signature, so it has a perfect signature authentication system. Therefore, after the credit card appeared, it also followed the habit of checking.

thirdly, the responsibility for signature identification lies with the institution. Bankers and merchants in Europe and America have a strong awareness to identify signatures. Otherwise, if the signatures obviously do not match, institutions are likely to bear the responsibility of stealing, which makes the security risk control measures related to signatures more mature.

the signature transaction of credit cards is also based on the perfect legal system in the United States, not just because it is simple, not to mention? Handsome? . The Truth inLending Act stipulates that if a consumer's credit card is used without authorization, the cardholder's legal liability is at most $5. Honesty and Credit Law, right? Unauthorized use? The definition is also very beneficial to cardholders? The user of unauthorized use is not the cardholder, the user has not obtained the real or implied authorization of the cardholder or there is no apparent agency, and the cardholder has not benefited from unauthorized use. It is precisely because the sound legal system in the United States provides strong security for cardholders to use their cards. Card organizations such as VISA, MasterCard and American Express, as well as card-issuing banks or institutions, have perfect processing procedures for stolen cards and stolen cards. Cardholders don't need to worry about being stolen after losing their cards. Just call the card-issuing institutions after losing or stealing their cards, and the rest is what the card-issuing institutions worry about.

more importantly, because the personal credit system is very perfect, most people don't joke about their own credit. Even so, when spending a lot of money or swiping a foreign card, merchants still have to check the identity certificate, passport information and other forms to confirm the cardholder, and the unsigned card will be rejected.

because of the sound credit card security, IC card migration in the United States is not active. However, from October 1st this year, the US government requires all merchants' POS terminals to support the EMV standard, otherwise, in case of credit card fraud, the losses will be borne by the merchants.

In terms of bank card security, the United States lags behind many other countries. One important reason is that the magnetic stripe credit card fraud cases in the United States were much lower than those in other countries more than a decade ago. However, in recent years, due to the active migration of IC cards in other countries, the phenomenon of credit card fraud has shown a downward trend, so credit card fraud groups have shifted their target areas from Europe to the United States, and half of the global credit card fraud cases have occurred in the United States, and the number continues to grow.

the United States is forced to update its credit cards. According to statistics, there are 1.2 billion debit cards and credit cards in the United States that need to be replaced, and 12 million POS terminals need to be upgraded. Major banks in the United States have been sending credit cards with chips to users since 211, but a recent survey shows that 54% of Americans have not received credit cards with chips, and 56% of Americans don't know what chip cards are for.

At present, in the process of completing the IC card migration, foreign countries also begin to use the verification method of password+signature to conduct transactions. However, due to the deep-rooted traditional habits, even if the IC card migration is completed, it only reduces the risk that the card itself will be copied and stolen, and signature is mainly used in use. When China introduced the credit card business, it didn't take into account the current situation of signature transactions in China's legal environment and the differences in signature recognition habits with the West.