Monday, May 8, 2006
Chip and PIN Fraud in UK
Thre is a lot of noise in the security feeds about this fraud in UK. Most articles from the press gives the impression that the chip on the cards were victim of the fraud. The problem, however, seems to be on the old magnetic stripe fall-back feature. This is another situation that shows why supporting old technologies for backward compatibility is a bad idea for security. If you have a card that uses chip technology and it can be used also as a magnetic stripe, that has a very lower security level, its general security level will be the same as the one from the stripe. That old thing about the weak chain, again.Chip cards vulnerable to skimming are just a waste of money and a false sense of security.