From July 1, credit card users will have the option of punching in the personal identification number (PIN) as an additional security measure while making payments at merchant outlets. This is in addition to signing the charge slip on completion of a purchase. This is part of a move by the RBI to secure card payment transactions in the face of rising cyber fraud.
In recent times, top banks in the country have seen unauthorised transactions to the tune of nearly Rs 30 crore. While punching in the PIN will be an option for card users as of now (they can choose not to use the feature), the banks which set up swiping machines will have to ensure that the devices are PIN-number compliant.
Converting all the existing magstripe cards to chip-based ones is another task that banks are taking up to prevent the fraud.
So banks says this would be a second layer of security measure to prevent the cyber crime and let us how will it works against the cyber crime.