eli5 How did Credit/Debit Cards work before Chip & Pin Machines?
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There was a book of known bad card numbers and you could call an 800 number to get an Auth (or at least check if card was bad). Later with modems the register would call. This was in very early 1980’s.
There was a book of known bad card numbers and you could call an 800 number to get an Auth (or at least check if card was bad). Later with modems the register would call. This was in very early 1980’s.
You used to get £50 for spotting and retaining a stolen card! That was 30 years ago, so worth quite a lot.
I worked in shops while I was a student, and most would have a “floor limit” which meant if it was over you needed to call for authorisation. You could also call if the customer looked dodgy.
You used to get £50 for spotting and retaining a stolen card! That was 30 years ago, so worth quite a lot.
I worked in shops while I was a student, and most would have a “floor limit” which meant if it was over you needed to call for authorisation. You could also call if the customer looked dodgy.
You used to get £50 for spotting and retaining a stolen card! That was 30 years ago, so worth quite a lot.
I worked in shops while I was a student, and most would have a “floor limit” which meant if it was over you needed to call for authorisation. You could also call if the customer looked dodgy.
To look at the issue backwards, modern technology has allowed credit card companies to issue credit to less worthy individuals.
Being able to closely monitor every transaction and instantaneously truth off a card has caused an exponential increase in credit card issuance.
So it’s not that lack of technology made fraud easier, that was just the default status that was used in the risk calculation of determining who gets credit.
Over time the calculus has changed and pre-approved credit cards are sent out in the mail.
To look at the issue backwards, modern technology has allowed credit card companies to issue credit to less worthy individuals.
Being able to closely monitor every transaction and instantaneously truth off a card has caused an exponential increase in credit card issuance.
So it’s not that lack of technology made fraud easier, that was just the default status that was used in the risk calculation of determining who gets credit.
Over time the calculus has changed and pre-approved credit cards are sent out in the mail.
To look at the issue backwards, modern technology has allowed credit card companies to issue credit to less worthy individuals.
Being able to closely monitor every transaction and instantaneously truth off a card has caused an exponential increase in credit card issuance.
So it’s not that lack of technology made fraud easier, that was just the default status that was used in the risk calculation of determining who gets credit.
Over time the calculus has changed and pre-approved credit cards are sent out in the mail.
Originally there were only credit cards, basically vendors would note the number on your card and later go to the bank to get payed, the bank then in turn charge you that amount
Originally there were only credit cards, basically vendors would note the number on your card and later go to the bank to get payed, the bank then in turn charge you that amount
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