Is NAB Visa pay wave secure?

davo101 said :

JC said :

Yes paywave allows people to make unauthorised transactions, however if your card is stolen then Visa will pick up the tab for any unauthorised transactions so YOU are protected.

From the NAB terms and conditions:

15.2 Your liability
You remain liable for any cash advance or purchase made by any other person before you notify NAB of the loss or theft up to a maximum of:
(a) in relation to all the uses of the card through an extra facility – the amount determined under
the terms and conditions for the extra facility (if any);
(b) in relation to all other uses of the card– a total amount of $150.

They are NABs standard conditions. Pay wave is slightly different in that Visa offers the guarantee so you should read their terms and conditions. In fact that is the major difference. Oh you will also find the low value transactions that don’t need a pin or signature are also part of pay wave and the MasterCard equivalent.

davo101 said :

c_c™ said :

For over a year now, many retailers including Woolies and Maccas have allowed swiped/chip cards to process transactions below a certain amount without a pin or signature. At Woolies, it was below $75.

Do you know if this is the same thing as the easy payment service? It seems to have only a $35 limit. I did laugh at the security provided:

Visa small ticket transactions are for low value purchases of $35 or less, which makes them an
unattractive target for fraud.

Seems to be, $35 is lower than I recall.

Then again Woolies did claim to disable certain functions on it’s card terminals, even put signs up saying so, but as anyone who continued to use those functions found, they hadn’t really.

arescarti42 said :

Don’t most credit cards not require a pin for purchases under a certain amount irrespective of whether you swipe/insert/paypass it? If security is your concern then I suspect bank card/eftpos card with a pin might just be your best bet.

That’s true. It seems to be around $30-75 depending on the store/partnerships with visa.

I reckon others are right that the risk is ATM skimming. A low value bank account with only a few hundred, and the rest in another bank account that only allows transfers between linked accounts is your best bet.

c_c™ said :

For over a year now, many retailers including Woolies and Maccas have allowed swiped/chip cards to process transactions below a certain amount without a pin or signature. At Woolies, it was below $75.

Do you know if this is the same thing as the easy payment service? It seems to have only a $35 limit. I did laugh at the security provided:

Visa small ticket transactions are for low value purchases of $35 or less, which makes them an
unattractive target for fraud.

JC said :

Yes paywave allows people to make unauthorised transactions, however if your card is stolen then Visa will pick up the tab for any unauthorised transactions so YOU are protected.

From the NAB terms and conditions:

15.2 Your liability
You remain liable for any cash advance or purchase made by any other person before you notify NAB of the loss or theft up to a maximum of:
(a) in relation to all the uses of the card through an extra facility – the amount determined under
the terms and conditions for the extra facility (if any);
(b) in relation to all other uses of the card– a total amount of $150.

Yes paywave allows people to make unauthrosied transactions, however if your card is stolen then Visa will pick up the tab for any unathorised transactions so YOU are protected.

So in ways it is better than having cash stolen because no will will cover the cash but Visa will cover transactions on a stolen card.

So really a good convienant product with enough safeguards to protect your money.

Deref said :

I got severely finger-wagged here when I suggested the same thing a couple of months back. I was reminded in no uncertain terms how the banks would never do anything that might risk the security of our private information or our money. I was grateful to be corrected. Stop being the ungrateful panic merchant that I was – embrace the technology and remember that they have nothing but our best interests at heart.

Oh shut up – you don’t know what you’re talking about! 🙂

How does the pay wave facility differ to the previous method of securing a credit card with a signature? It doesn’t, as long as you have the card, you can use it as the signature is surprise surprise on the back of the card. Pay wave on credit cards is just as secure as using a card with a swipe and signature. If someone has your card that doesn’t have a pay wave on it, they’ll have access to your signature and can swipe away.

A small metal shield around your card wont stop someone from stealing the information on your card, but thankfully in Australia it is mandated that the data is encrypted and it actually is. With a powerful enough radio you will get the data back from the card. But there is no point in doing this as its cheaper, easier and you get more cards by skimming them at the point of sale or in an ATM.

JonahBologna is on the right track, but there are no losses from fraud from the bank. They make money from consumer fraud, not only do the banks get the money back from the point of sale, they charge the merchant for the investigation and money recovery. Its brilliant.

The bank bears the risk with the paywave payments, therefore as long as you go through the correct process to report the cards stolen, you shouldn’t have a problem.

I got severely finger-wagged here when I suggested the same thing a couple of months back. I was reminded in no uncertain terms how the banks would never do anything that might risk the security of our private information or our money. I was grateful to be corrected. Stop being the ungrateful panic merchant that I was – embrace the technology and remember that they have nothing but our best interests at heart.