Via The Hustle Blog, Chase is changing some of their cards from Chip-And-Signature to the more secure and more widely used Chip-and-PIN technology.
Unlike Europe and other countries, most US banks issue credit cards with only a magnetic strip on the back. This old technology can make them easy for criminals to hack. If your card is hacked, your liability is limited to $50 as long as you report the fraudulent charges within 2 business days.
Both Chip-and-Signature and Chip-and-PIN cards have a Chip which encrypts your card information to protect from fraud. While Chip-and-Signature cards only require a signature (which is easy to forge), the Chip-and-PIN cards have the added security of requiring a 4 to 6 digit PIN.
Chip-and-PIN cards are most common outside the US. When Emily and I traveled to Europe, we discovered there were certain places that wouldn’t accept cards with only a magnetic strip. We had to use our Chip-and-Signature cards to buy train tickets, rent bicycles, and use vending machines.
But US Chip-and-Signature cards won’t work in all vending machines or at gas stations, so this change to Chip-and-PIN will make it more convenient for folks who travel overseas.
Which Cards Are Changing?
Here are the Chase cards which currently have a Chip:
- Chase Sapphire Preferred Card
- Chase British Airways Visa Signature Card
- Chase Hyatt Card
- Marriott Rewards® Premier Credit Card
- Chase Ritz-Carlton Rewards Card
- J.P. Morgan Palladium Card
- J.P. Morgan Select Visa Signature Card
Why Is Chase Changing These Cards?
We can speculate why Chase is changing the cards to the Chip-and-PIN versions, but the bottom line is that it will be easier to use certain Chase cards outside the US – especially in automatic machines!
I personally wouldn’t rush to get one of these cards just for the Chip, unless you were already planning to get one.
You don’t *need* one to travel to Europe, but it does make it a little easier. Just be sure to use a card that doesn’t charge foreign transaction fees!
Chase is changing several of their cards to Chip-and-PIN versions later this year. This will improve security and make them a lot easier to use outside the US.
The new Chip-and-PIN versions of the cards will be good for folks who travel to Europe and other places where Chip-and-PIN cards are used. But you don’t have to have a Chip-and-PIN card to get by in other countries!