New Poll Reveals Consumers Lack Education, Knowledge about New Chip Credit/Debit Cards
November 24 2015 - 9:00AM
Business Wire
Survey Shows Potential Security Threat as More
than 75 Percent of Those Issued Chip Debit/Credit Card Mistakenly
Think Chip Card Technology Protects them During Online
Purchases
A new survey from CA Technologies (NASDAQ:CA) showed consumers
lack knowledge and education about the new microprocessor chip
credit and debit cards they have been receiving from card issuers
to replace their standard magnetic stripe cards. The survey was
conducted online by Harris Poll on behalf of CA Technologies
earlier this month.
Although more than half of U.S. adults who have a credit/debit
card have been issued a new chip card (59 percent), only two in
five (41 percent) know what the benefits of the chip card are, and
even fewer (37 percent) say their card issuer provided information
or education on how to use it.
Further demonstrating the lack of knowledge and education, more
than three quarters of the credit/debit card owners who have
received a chip card said they believe their new chip card will
better protect them from fraud during an online purchase (77
percent).
“What’s most disturbing from the survey is that people think
their chip card technology will help protect them in their online
purchases,” said Carol Alexander, marketing director for CA
Technologies payment security business. “The fact is a more secure
point-of-sale solution, which the chip cards are supposed to offer,
will spark an increase in online, card-not-present fraud. We saw
this phenomena in Europe and other regions who have adopted chip
card technology. The strength of the U.S. e-commerce market makes
card-not-present fraud an equally important security issue that
card issuers and merchants need to consider in the shift to chip
cards for point-of-sale transactions.”
Will New Chip Cards Influence Holiday Shopping?
With the holiday shopping season upon us and Black Friday and
Cyber Monday in the days ahead, the poll showed an even mix of how
those issued a chip credit/debit card who intend to shop for gifts
this holiday season planned to shop. Twenty-seven percent said they
would shop mostly or completely online; 25 percent said will shop
mostly or completely in stores; and 47 percent said they’d spend an
even mix shopping online and in store. And seven in 10 of those
issued a chip credit/debit card said that the shift to chip credit
and debit cards has had no/not much influence on how they will shop
this holiday season (71 percent).
The new chip cards are part of the U.S. shift to the Europay,
Mastercard and Visa (EMV) specifications for smart card payments
and acceptance devices. The EMV specifications were developed to
define a set of requirements to ensure interoperability between
chip-based payment cards and terminals. EMV chip cards contain
embedded microprocessors that provide strong transaction security
features and other application capabilities not possible with
traditional magnetic stripe cards.
This data comes just over a month after the October 1 deadline
where liability for card-present fraud will shift to whichever
party is the least EMV-compliant in a fraudulent transaction – the
merchant or card issuer.
To learn more about card-not-present fraud, payment security and
the CA Technologies survey, visit CA.com.
About this Survey
This survey was conducted online within the United States by
Harris Poll on behalf of CA Technologies from November 4-6, 2015
among 2,071 adults ages 18 and older, among whom 1,101 have been
issued a chip credit/debit card. This online survey is not based on
a probability sample and therefore no estimate of theoretical
sampling error can be calculated. For complete survey methodology,
including weighting variables, please contact Leanne Agurkis at
Leanne.Agurkis@ca.com or 813-371-0692.
About CA Technologies
CA Technologies (NASDAQ:CA) creates software that fuels
transformation for companies and enables them to seize the
opportunities of the application economy. Software is at the heart
of every business in every industry. From planning, to development,
to management and security, CA is working with companies worldwide
to change the way we live, transact, and communicate – across
mobile, private and public cloud, distributed and mainframe
environments. Learn more at www.ca.com.
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Copyright © 2015 CA, Inc. All Rights Reserved. All trademarks,
trade names, service marks, and logos referenced herein belong to
their respective companies.
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version on businesswire.com: http://www.businesswire.com/news/home/20151124005331/en/
CA TechnologiesLeanne Agurkis,
813-371-0692Leanne.Agurkis@ca.com
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