

Please Replace Credit Cards - seanmonstar
http://seanmonstar.com/post/81400378235/please-replace-credit-cards

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onion2k
I have a better solution: keep everything exactly as it is now, but have
credit card companies accept that the system is _slightly_ susceptible to
fraud, and consequently have them take the hit if your card gets stolen. The
customer (people who buy things and merchants who take cards) shouldn't ever
lose out if they're victims of a crime.

Currently credit card companies charge (some) users to have a card, charge all
merchants a fee and a percentage, and take none of the risk. That's the thing
that ought to change.

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dalke
They do take the hit. Under the Fair Credit Billing Act, your responsibility
for unauthorized charges is $50, and if you report it before any unauthorized
charges are made, then it's $0.

~~~
onion2k
Things are not the same here in the UK. Since we got chip and pin cards the
onus is on the cardholder - it is assumed that you didn't keep your pin
secure.

~~~
seanmonstar
And what about online shopping, where you just typed in your card number into
a site?

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onion2k
There an "online pin" system called 3DSecure (also known as Verified By Visa)
that uses a system of tokens passed by JavaScript to present the user with a
form that's held on their bank's servers. Implementing it is optional for the
merchant, but if they choose not to then they're accountable for any fraud. If
they do then liability is passed to the customer.

It's all very favourable to the credit card companies.

