Concerns are reportedly growing on MCB’s “Touch and Pay” or contactless payments, particularly among older customers.
Some have expressed worries about potential unauthorised use of their cards.
According to experts, contactless payment debit cards offer convenience, speed, and ease of use, but like any technology, they come with certain risks.
Here are some potential dangers associated with contactless payment debit cards:
- Unauthorised Transactions: If a contactless card is lost or stolen, it can be used for small transactions without requiring a PIN or signature. This means that someone who gains possession of the card can make multiple small purchases, potentially adding up to a significant amount.
- Data Theft via NFC (Near Field Communication): Contactless cards use NFC technology to communicate with payment terminals. In theory, a criminal with an NFC reader could attempt to intercept data during a transaction.
- Accidental Payments: It’s possible for a contactless payment to be made accidentally if a card is too close to a reader during a transaction. This can lead to unintended charges.
- Lack of Physical Verification: Unlike traditional chip-and-PIN transactions, contactless payments don’t require physical verification. This means that if a card is lost or stolen, it can potentially be used by anyone who finds it.
- Reliance on Trust: Contactless payments rely on trust between the cardholder and the merchant. The cardholder trusts that the merchant won’t misuse their card details, and the merchant trusts that the cardholder is the legitimate owner of the card.
- Limited Transaction Value: Contactless payments typically have a maximum transaction limit, beyond which a PIN is required. While this is a security feature, it can be a limitation if a higher-value transaction is attempted without additional verification.
- Potential for Card Cloning: While it’s more difficult to clone contactless cards compared to magnetic stripe cards, it’s not impossible. Criminals with the right equipment and expertise may attempt to clone cards for fraudulent use.
Reacting to critics, the bank has argued that customers have control over this feature, and it can be disabled and re-enabled through the MCB Juice app.
Stephanie Ng Tseung, Head of Payments, highlighted the safety of contactless cards, stating that the customer’s card remains in their possession during transactions. She also explained that in case of theft, the bank can trace and reimburse the customer after an investigation.
Source: Le Mauricien
