MasterCard first introduced contactless cards back in 2003 with the goal of giving customers an easy, safe and fast way to pay for items. MasterCard also developed the contactless cards with an extra layer of security by utilizing embedded chips and radio frequency antennas to create secure transactions. However, since the payment information is being transmitted wirelessly many customers and business owners question whether it is safe. According to MasterCard, the answer is a resounding yes, and they dispel the top myths about contactless cards.
Myth #1: Thieves can electronically pickpocket your contactless card or contactless card reader. In reality, smartphone applications only read the account numbers, and expiration date of the credit card your customers use, and a thief would need to get really close to get that information.
Myth #2: Thieves that do capture a contactless card’s information can create fake cards and use it at a store. Contactless cards use advanced encryption technology that provides one-time unique identifiers for every transaction. It would, therefore, be very difficult for a thief to be able to copy that advanced encryption technology
Myth #3: Thieves may not be able to create a counterfeit card, but they can steal credit card information wirelessly and then use the credit card online or by phone. To make an online or phone purchase one needs a billing address, the security code on the back of the card, and the card holder’s name which is all information that is not included in the contactless card transaction and therefore even if it was possible to steal contactless card information remotely the relevant information to make online or phone payments would not be taken.
As the facts above suggest, both consumers and businesses owners should know that contactless payments are not a security threat and therefore businesses should embrace them to improve their customers’ purchasing experience. In fact, with contactless card use increasing in Canada, it is important that business owners embrace this growing and secure technology by making sure they have payment processing machines that can process contactless payments.